EEA2 COA doesn't confirm right to work

My eea 2 application was denied sometime in November 2013 siting the proxy marriage I had done with my eea spouse was not done properly and therefore not a legal binder. I turned down the offer to appeal and I made the necessary adjustments stated in the refusal letter and I reapplied in march 2014 only for my COA stating my right to work cannot be confirmed.
The reasons given in the letter are:
1.No proper ID from me or my spouse ( my passport from my previous application was retained therefore it was impossible for me to include it in the new application.
2.We are unmarried( That doesn't fit in as our proxy marriage has been registered and legally accepted.)
3. She might not be exercising her EU treaty or insufficient evidence to show our claim as a couple( my partner has got 2 jobs which shows she's exercising her EU treaty,we live together and I sent in utility bills and bank statement for at least 6 months before reapplying)
it's starting to get highly frustrating as I do not know if I should continue working and ignore the letter from the home office.