I tracked down the problem. It's completely unrelated to encryption. Rather, mountall.sh seems to hang if you have /var/tmp mounted (specifically, I have /var on a separate partition from / and /var/tmp is a tmpfs fs).
from /etc/fstab: UUID=699c5b98-4d12-4a14-97d9-91d67e07cd05 / reiserfs noatime,user_xattr,acl 0 1 UUID=1c7dc52d-7abb-4462-a606-59e036824aee /var reiserfs noatime,nodev,nosuid,acl 0 2 #tmpfs /var/tmp tmpfs relatime,nodev,noexec,nosuid,mode=1777 0 3 Uncomment /var/tmp to cause the hang. -- [karmic] booting broken when /var/tmp is in fstab https://bugs.launchpad.net/bugs/431040 You received this bug notification because you are a member of Ubuntu Bugs, which is subscribed to Ubuntu. -- ubuntu-bugs mailing list ubuntu-bugs@lists.ubuntu.com https://lists.ubuntu.com/mailman/listinfo/ubuntu-bugs