Titanium Developer SDK version 1.60
I struggled for days with Titanium.UI.createTextField and its passwordMask property. The passwordMask simply would not work.
Finally, a fluke worked. I set the autocorrect : false property and the passwordMask also started working.
The createTextField looks like this now
var tfPassword = Titanium.UI.createTextField({
color :'#336699',
height :35,
top :50,
left :100,
value : '',
font : {fontSize:12,fontFamily:'Helvetica Neue'},
hintText :'Enter Password',
autocorrect : false,
passwordMask :true}) ;
Cheers