Hope this helps someone with the same problem I had. With the help of Informir's guidance this is what i had to do to get rid of
the unlock password I was getting at boot up. (I didn't set a password to begin with). Tried to factory reset from the system utility menu. Also tried to do a firmware update, nothing helped. Tried using all password found on the web e.g. 1111 0000 9875 7274 etc.
Pressing the reset button at the back of the mag 322w1 device will get you into 3 mode types as follows.
mode 1 = slow blinking of the front led
mode 2 = fast blinking of the front led
mode 3 = continuous led on
They told me to get into mode 2 which is fast blinking. I had to press the reset button till the led cycles from mode 1 to 2 then release it when its in mode 2. The device will do a factory reset then restart.
Finally the mag322 booted up to factory setting without the unlock password.
Could not find this information any where on the web.
Thanks again Infomir for your kind and prompt support.
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