test2.sh:
echo Using '"$@"';
for p in "$@";
do
echo "[$p]";
done

Calling test1.sh, the result is:
----------------------------------------------
Using "$@"
[-DMyTest="1]
[2]
[3"]
[-some]
["./Arguments.test"]
[-testpath="/my]
[test"]
["my]
[test"]
----------------------------------------------
Using "$@"
[-DMyTest=1 2 3]
[-some]
[./Arguments.test]
[-testpath=/my test]
[my test]

- where the first part is an issue as it does not read my arguments as expected.
The solution was very simple, in the first call use
eval ./test2.sh $cmdline
instead. Although the solution is really simple, it was difficult to Google anything useful thus this post.
Finally found a hint in http://www.linuxjournal.com/content/bash-preserving-whitespace-using-set-and-eval

P.S. If you need to call a Linux shell command using Java – Runtime.exec() method, use an array as the input and DON’T try to wrap every argument in spaces. It works on Windows but not Linux.

http://www.emotiv.com/

P.S.
F… I would like to live in US to order this gadget and try it out. Just to fell like a jedi you know

Btw. – the developers/sellers of the password recovery programs maybe should rethink their selling model. Now they try to sell a program that does crack passwords, for a relatively high price (price range 49eur – 399eur for this particular product). As most users (like myself) need to crack just 1 document, or some documents at most, it would be nice to have an option that cracks a password/key for a given document, for a smaller price (5 euros or so). I mean they can now use cloud computing solutions like Amazon EC2
The only problem with the model is that password protected documents are usually sensitive – which was not the case here.