Question: how did you edit your file? Could it be that you have extra ^M characters (from a WinTel based editor) at the end of those lines?

No, I am using vi under linux, and transfer the file by ftp to the player. Other entries are OK (I have also added notify=1 in [output], and it partially works - no serial but /proc OK).
I also have moved the [hijack] section from the end to the begining of the config.ini file - no change.