Same issue here; worked just fine in Karmic
Desktop, Asus P5N-E SLI Motherboard, Intel Q6600 stock, no SDDs, GeForce 8500GT
Wireless Card: Rosewill RNX-G300EX 54M RTL from Newegg
"lspci -vnn | grep RaLink" results
03:06.0 Network controller [0280]: RaLink RT2561/RT61 802.11g PCI [1814:0301]
Subsystem: RaLink Device [1814:2561]
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[lucid] rt2860 frequently fails to connect to mixed mode WPA/WPA2 secured
wireless networks
https://bugs.launchpad.net/bugs/496093
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