I have this issue also on my Dell Vostro 1710 in 64bit mode with 
2.6.27-7-generic
also runnign intrepid which is fully upto date as of 28th Oct.

in lspci my card appears as .
Network controller: Intel Corporation PRO/Wireless 4965 AG or AGN [Kedron] 
Network Connection (rev 61)

if i disable wpa on the router and go unencrypted it works fine.

Let me know if you need logs

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[intrepid] alpha 6 - WPA & WPA2 Personal won't authenticate short passwords
https://bugs.launchpad.net/bugs/273336
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