http://www.perlmonks.org?node_id=198843


in reply to Re: Re: How to use MD5?
in thread How to use MD5?

my  man adduser says:

-p passwd The encrypted password, as returned by crypt(3). The default is to disable the account.

That is, unless you use a modified adduser, you have to provide a crupt'ed password (not md5).