I am having the same issue with 1.7.1. I downloaded 1.7 until 1.7.1 can be fixed.
@thedeancorp thanks for the tip. Where did you go to download the previous version?
Go to the Developers tab, and you can see all the previous versions.
https://wordpress.org/plugins/new-user-approve/developers/
I read through the support here and I think the only thing changed from 1.7 to 1.7.1 that may be concerning is the password potentially not sending on approval if you have customized your email. Currently, I am just using the default settings and all my test emails have included that password just fine. Just a heads up.
Are you still having this problem?