Same problem here. Medion Akoya (MSI-Wind clone?) with Ralink RT2860STA.
Upgrade from Ubuntu 9.10 to 10.04 broke wireless (Bad Password - which
it is not). Same with a fresh install. Tried all i386 versions (Ubuntu +
Netbook remix, Kubuntu + Netbook Remix) with no succes. Tried both
network-manager and wicd - same result: "Bad Password"). Reinstalled
9.10 versions and everything is OK again (typing this on 9.10).

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MSI Wind U100 with RALINK RT2860 wireless adapter will not connect to WPA or 
WPA2 encrypted networks
https://bugs.launchpad.net/bugs/575402
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