Is there really a difference between mental and spiritual?

I think that in the essence there isn't; in the state of mind there is.

I see people who do meditations but are declared atheists (e.g. many of the people who storm the Osho ashram in Puna), I see people who go to a psychologist and analyze their problems based on past events while others go to their gurus and analyze their problems based on past lives events...

There is a difference and there isn't...

Personally I feel that when you remove god, paranormal, supernatural from the scene and live by the what-you-see-is-what-there-is reality then it is not spiritual anymore. It is still a valid and efficient way of life but the spirit is not there anymore.