kde 4.1 does not automount LUKS encrypted external USB harddisks

Just updated my sources.list and installed KDE 4.1 (the release that is not supposed to be a developer release, unlike 4.0). When I plug in a LUKS encrypted external USB harddisk, I am no longer prompted (like I am for KDE 3.5.9) for the passphrase. Once I go to the command line and do "sudo cryptsetup luksOpen /dev/sdf1 backup", the new device notifier immediately pops up notifying me about an available ext3 volume. When I plug in an unencrypted USB memory stick, the same happens. This suggests that KDE 4.1 hal subsystem is ok but the LUKS decryption link is either missing or broken.

$ lsb_release -rd
Description: Ubuntu 8.04.1
Release: 8.04

$ apt-cache policy hal
hal:
  Installed: 0.5.11~rc2-1ubuntu8.2
  Candidate: 0.5.11~rc2-1ubuntu8.2
  Version table:
 *** 0.5.11~rc2-1ubuntu8.2 0
        500 http://us.archive.ubuntu.com hardy-updates/main Packages
        500 http://archive.ubuntu.com hardy-proposed/main Packages
        100 /var/lib/dpkg/status
     0.5.11~rc2-1ubuntu7 0
        500 http://us.archive.ubuntu.com hardy/main Packages

$ apt-cache policy kubuntu-kde4-desktop
kubuntu-kde4-desktop:
  Installed: 0.14-0ubuntu1~hardy1~ppa1
  Candidate: 0.14-0ubuntu1~hardy1~ppa1
  Version table:
 *** 0.14-0ubuntu1~hardy1~ppa1 0
        500 http://ppa.launchpad.net hardy/main Packages
        100 /var/lib/dpkg/status
     0.14 0
        500 http://us.archive.ubuntu.com hardy/universe Packages

What was expected to happen ?

I expected a nice popup box offering to decrypt the volume.

What happened instead ?

Nothing.