The shell like application is probably differentiating between a terminal being connected to stdin and a pipe being connected to it. Many Unix utilities do just that to optimise their buffering (line vs. block) and shell-like utilities are likely to disable command completion facilities on batch input (i.e. PIPE) to avoid unexpected results. Command completion is really an interactive feature which requires a terminal input.
Check out the pty
module and try using a master/slave pair as the pipe for your subprocess.