Yes, adding console output does fix this problem for me. It seems like
that does make a difference to hal, or the lack of console output
somehow screws up libpam-foreground or something?
Either way, it now seems like an upstart bug and not a hal bug anymore.
** Changed in: upstart (Ubuntu)
Status: Unconfirmed => Confirmed
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security policy error with hald after latest updates
https://launchpad.net/bugs/58165
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