In LR 3.4 I created a new Facebook publish service and selected to create a new album. After I saved it, the service uploaded the photos, but put them in the "wall photos" folder (though it did create an empty album with the name I asked for). I deleted the service and created another one, selecting the existing empty album (created in the last attempt) from the list, and after I saved it, the photos again ended up in the "wall photos" album. In each case, the service showed "wall photos" as the target album (even through that isn't what I selected).
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