Never heard of that, in all honesty. Is the SCLogin module showing up where you want it to show up? In general, the SCLogin module is not required, but it's the easiest way to show the Login with Facebook button to your users. There are other ways, including adding the {JFBCLogin} tag anywhere else you'd want it to show.
So, from a functional standpoint, it's not required. If you can't get the SCLogin module to show though, that could be bad. Can't imagine why it's showing as not published, but hopefully it doesn't matter.
Let us know if you need any assistance investigating further though, and we gladly will!
Thanks,
Alex