Hi, I encountered this looping issue too. I changed the HDD Settings from RAID On to AHCI, then reinstalled the image. Encrypted and it's okay after that.
Thanks for the tip, i did take al ook in the BIOS and it looks like its setup to RAID+AHCI, the only other option is IDE. I looked into the raid configuration but it looked like the only options there were to recreate/delete etc.
To provide a little more information, it does initially come up to the encyrption login screen, and then after you login, while its trying to start windows it will then restart.
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you need to turn off the automatic reboot on error so you can see what the problem is..Either use the f8 screen to disable it, or..
Thanks for the tips, while having them go to do this, it looks like we may have found a work around. The machines had come with Windows 7 64bit SP1, trying the encryption once the machine was fully up to date seems to work vs. encrypting the machine from the manufacturer with SP1. This was reproducable and it looks like it is working fine now. It does make me nervous about future updates however.
They weren't able to reproduce the error since they had all the questionable machines fully patched at that point, if we encounter it again I think we will go through the steps of identifying the error so we can know exactly what happened. Thank you.