ok thank you very much for starts.

1. I didn't know there was old and new way, I saw that website, and went with the instructions, because I thought it would be faster to have debian boot by itself than chrooted. Also I thought using maemo's kernel would provide basic hardware functionality (I need wlan and 3g basicly - and of course touchscreen and keyboard)

2. I didn't use uboot because I have multiboot installed and I was afraid to mess them up.

3. I have used the tarball method, but after some failed attempts, I re-did some of the steps of the manual install. Copied kernel and modules again, replaced watchdog configuration (even after I saw that the uncommented part was actually the same, but I tried anyway)

4. Gparted shows 3 partitions, 1 FAT (empty, boot flag), 2 ext3 (NITdroid - booting fine with ${EXT_CARD}p2), 3 ext3 debian
also I can mount it fine using /dev/mmcblk1p3 and chroot into it so yes I am pretty sure it is debian on partition 3

5. I have powerkernel installed but it;s 2.6.28-omap1 that I moved into /mnt/debian/lib/modules. I also tried specifying the kernel in the .item file but no joy

6. When I reboot and select debian at the multiboot screen it returns