If the client is writing that information to the file it means that it isn't reading the file properly.
Open your file, delete everything, and paste only this into it.
Code:
[LoginServer]
Host=eqemulator.net:5998
Notice the difference in case. I don't know if it is important or not, but it is inconsistent with what is in all of my host files. Make sure there is a carriage return after the last line.