health Tiny brown spots on leaves

My reaper plant seems to have a few tiny brown spots on a few of its leaves.
I checked out that PDF on here but I didn't find what I was looking for.
The white stuff is diatom earth
 
Here is a pic, any ideas?
 
peppers_20140616.jpg
 
First - why the diatomaceous earth on the plant itself? Usual application is a circle on the soil around the plant. Note that diatomaceous earth does not work on soft-bodied insects such as aphids, but only insects with an exoskeleton.
 
The leaf looks rather yellow, but I realize that could just be the pic - is it deep green or yellow like in the pic? The most common cause of yellowing is overwatering; chiles like things somewhat on the dry side, but not bone-dry. The spotting is most likely from overwatering, too. Could you post a pic of the entire plant? I'm not inclined to think it is BLS (bacterial leaf spot) because of the quantity and size of the spots. 
 
The diatomaceous earth was from me spilling a bit on the plant :P
 
The leaf is slightly yellow however I do my best not to over water. The plant does have new green grow underneth tht is looking a lot more healthier.
 
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