I have a cisco 7206, It is constantly attempting to authenticate to the TACACS server, and is flooding the log. It is using c7200p-advipservicesk9-mz.124-4.XD4.bin.
You might also look on the server and look in the failed attempts report to see if the server is seeing the authentication request and if so why it is not authenticated. In my experience a common reason for this problem is either that the address used on the TACACS server to identify the client is not the address that the client is using to source packets or that the key is not correctly configured.
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