1. I'm not able to replicate it using that version. Please try updating it with the following updates:
Update one:
http://kmeleon.sf.net/files/K-Meleon74.0Beta3up1.7z
Update two:
http://kmeleon.sf.net/files/K-Meleon74.0Beta3up2.7z
2. Go to about:config and change browser.chrome.favicons to true.