hostapd 1:0.7.3-4ubuntu1 on Precise doesn't work for 802.1x wired auth. Using the attached config for 802.1x wired with integrated EAP server, I get the following error when a wired client tries to authenticate:
Data frame from unknown STA f0:de:f1:66:4f:29 - adding a new STA
New STA
eth1: STA f0:de:f1:66:4f:29 IEEE 802.1X: start authentication
EAP: Server state machine created
IEEE 802.1X: f0:de:f1:66:4f:29 BE_AUTH entering state IDLE
IEEE 802.1X: f0:de:f1:66:4f:29 CTRL_DIR entering state FORCE_BOTH
IEEE 802.1X: 46 bytes from f0:de:f1:66:4f:29
IEEE 802.1X data frame from not associated STA
The "data frame from not associated STA" indicates that hostapd got traffic from the client and it expects the client to be associated with the wireless AP. However, this is wired, not wireless, so there's no AP association at all.
This was fixed upstream in http://hostap.epitest.fi/gitweb/gitweb.cgi?p=hostap.git;a=commit;h=bf689a40
The attached patch fixes the issue. A wired 802.1x client can successfully authenticate.
This patch is based on the git commit referenced in the bug description.