Hi
I'm looking at the code and can see that the sending of these emails is done using Ajax.
The iform/client_helpers/prebuilt_forms/js/verification_4.js script has a sendEmail() function which hands the email to the server which processes it using the ajax_email() function in iform/client_helpers/prebuilt_forms/verification_4.php
The server responds with 'OK' or 'Fail' according to whether it thinks the mail has been sent. You should be able to use browser tools to inspect this network exchange. Ensure the information about the email looks sensible. If you are getting "The email was sent successfully" message this indicates that the server responded with 'OK'.
As the PHP documentation says, the mail() function used by the iform module "Returns TRUE if the mail was successfully accepted for delivery, FALSE otherwise. It is important to note that just because the mail was accepted for delivery, it does NOT mean the mail will actually reach the intended destination."
This function sends mail according to configuration settings in php.ini which is also the default Drupal behaviour. It is possible to use other mail-sending methods in Drupal e.g. by using a module like https://www.drupal.org/project/smtp. Do you do anything like that? If so, it could explain why Drupal can send email but the iform module is failing.
Jim Bacon.