I did a new install of 12.10 and experienced the same bug. I found a
simple workaround: Create an empty file /etc/initramfs-
tools/conf.d/cryptroot . Afterwards mkinitramfs will do the right thing
and fill this file with the right data.

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https://bugs.launchpad.net/bugs/1072180

Title:
  initramfs fails to mount LUKS root partition after upgrade to Quantal

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