I think you are talking about Guest VLAN. When you configure a guest VLAN, clients that are not 802.1x-capable are put into the guest VLAN when the server does not receive a response to its EAPOL request/identity frame.
No, I am talking about wired Guest-Lan capability in releases starting with 4.1.
Another bug I just found in the new 4.130 release is that when the controller is rebooted it enables AUTO-ANCHOR on the GUEST-LAN and there is no way to disable it. Here is the SHOW output. Notice that AUTO-ANCHOR is enabled and no mobility anchor controllers are configured.....
(Cisco Controller) >show guest-lan 1
Guest LAN Identifier............................. 1