Mulesoft-CXF WSDL-First Web service error - web-services

Question

All,
I have an issue with developing a contract-first SOAP web service in AnyPoint Studio (July 2014, with Muleserver 3.5.1 on max OS X, JDK 7). My process is:
Create WSDL by hand (XML Schema embedded inside WSDL for simplicity)
Create Synchronous HTTP flow in Anypoint
Generate Java classes from WSDL (no errors, works fine)
Start Flow from inside IDE (no errors,works fine).
Import WSDL and generate SOAP request in SOAPUI (no errors, works fine)
invoke SOAP request
AT this point I get the following error on marshalling the SOAP request (my flow has no backend logic and will fail - but that is not the issue):
org.apache.cxf.phase.PhaseInterceptorChain: Interceptor for {http://login.demo/}LoginServiceService has thrown exception, unwinding now
org.apache.cxf.interceptor.Fault: Message part {urn:MYNAMESPACE}requestParms was not recognized. (Does it exist in service WSDL?)
at org.apache.cxf.interceptor.DocLiteralInInterceptor.validatePart(DocLiteralInInterceptor.java:231)
at org.apache.cxf.interceptor.DocLiteralInInterceptor.handleMessage(DocLiteralInInterceptor.java:201)
at org.apache.cxf.phase.PhaseInterceptorChain.doIntercept(PhaseInterceptorChain.java:263)
at org.apache.cxf.transport.ChainInitiationObserver.onMessage(ChainInitiationObserver.java:122)
at org.mule.module.cxf.CxfInboundMessageProcessor.sendToDestination(CxfInboundMessageProcessor.java:338)
My WSDL:
<?xml version="1.0" encoding="UTF-8"?>
<wsdl:definitions targetNamespace="urn:MYNAMESPACE"
xmlns:tns="urn:MYNAMESPACE"
xmlns:http="http://schemas.xmlsoap.org/wsdl/http/"
xmlns:mime="http://schemas.xmlsoap.org/wsdl/mime/"
xmlns:soap="http://schemas.xmlsoap.org/wsdl/soap/"
xmlns:soap12="http://schemas.xmlsoap.org/wsdl/soap12/"
xmlns:soapenc="http://schemas.xmlsoap.org/soap/encoding/"
xmlns:wsdl="http://schemas.xmlsoap.org/wsdl/" xmlns:xs="http://www.w3.org/2001/XMLSchema"
xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance">
<wsdl:types>
<xs:schema xmlns:xsd="http://www.w3.org/2001/XMLSchema"
targetNamespace="urn:MYNAMESPACE"
xmlns="urn:MYNAMESPACE"
elementFormDefault="unqualified" attributeFormDefault="unqualified">
<xs:element name="requestParms" type="LoginRequestType" />
<xs:element name="responseParms" type="LoginResponseType"/>
<xs:complexType name="LoginRequestType">
<xs:sequence>
<xs:element name="username" type="xs:string"/>
<xs:element name="password" type="xs:string"/>
</xs:sequence>
</xs:complexType>
<xs:complexType name="LoginResponseType">
<xs:sequence>
<xs:element name="success" type="xs:boolean"/>
<xs:element name="authenticatedToken" type="xs:string"/>
</xs:sequence>
</xs:complexType>
</xs:schema>
</wsdl:types>
<!-- MESSAGES -->
<wsdl:message name="LoginRequest">
<wsdl:part name="parameters" element="tns:requestParms"/>
</wsdl:message>
<wsdl:message name="LoginResponse">
<wsdl:part name="parameters" element="tns:responseParms"/>
</wsdl:message>
<!-- WSDL Port Types -->
<wsdl:portType name="AuthenticatePortType">
<wsdl:operation name="login">
<wsdl:input message="tns:LoginRequest"/>
<wsdl:output message="tns:LoginResponse"/>
</wsdl:operation>
</wsdl:portType>
<!-- WSDL Bindings -->
<wsdl:binding name="AuthenticateBinding" type="tns:AuthenticatePortType">
<soap:binding style="document" transport="http://schemas.xmlsoap.org/soap/http"/>
<wsdl:operation name="login">
<soap:operation soapAction="login"/>
<wsdl:input>
<soap:body use="literal"/>
</wsdl:input>
<wsdl:output>
<soap:body use="literal"/>
</wsdl:output>
</wsdl:operation>
</wsdl:binding>
<!-- WSDL Services -->
<wsdl:service name="LoginService">
<wsdl:port name="LoginPort" binding="tns:AuthenticateBinding">
<soap:address location="http://localhost:8081/demo"/>
</wsdl:port>
</wsdl:service>
My Mule Config XML:
<http:endpoint exchange-pattern="request-response" host="localhost" port="8081" method="POST" name="HTTP" doc:name="HTTP"/>
<flow name="loginFlow" doc:name="loginFlow" initialState="started">
<http:inbound-endpoint exchange-pattern="request-response" path="demo" doc:name="Demo" host="localhost" port="8081"/>
<cxf:jaxws-service doc:name="CXF" validationEnabled="true" serviceClass="demo.login.LoginService"/>
</flow>
My SOAP Request:
<soapenv:Envelope xmlns:ns="urn:MYNAMESPACE"
xmlns:soapenv="http://schemas.xmlsoap.org/soap/envelope/" >
<soapenv:Header/>
<soapenv:Body>
<ns:requestParms>
<username>aa</username>
<password>bb</password>
</ns:requestParms>
</soapenv:Body>
</soapenv:Envelope>
Also, I have not modified the generated java code (wsdl2java I assume inside Anypoint) - just run it.
Any suggestions?