I have a fix for this issue on jQuery Autocomplete plugin 1.1.  The file is
attached.

I commented out the return false on line 222 and added a putCursorAtEnd()
function, so that after selecting an autoComplete item it moves the cursor
to the end of the field (IE fix).

http://old.nabble.com/file/p27659902/jquery.autocomplete.js
jquery.autocomplete.js 

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