Placed what you posted into my .login and it worked fine.
Check that it isn't bombing out before hand AND that PATH is equal to something before using it to set it (that was the only thing I didn't test).
Post your .login (and remove all the extra work you are doing - just put it in your .login).
Although I don't use c shell, use "export" command (or equivalent command, if any, in c shell) to make the environment changes applicable to the current shell and any new shells spawned by it.