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I just dealt with this. Go into your IAS console and select properties for your remote access policy 'Dialup Group.' Click ;Edit Profile' and then the 'Authentication' tab. Enable 'PAP'. That should do it!
go to technet.microsoft.com and search on "scep pix certificate"There's a good article on auto enroll using the SCEP module with PIX 6.3. You'll have to adapt the instructions for PIX 7.0. Good luck!