Once magic_quotes_gpc has been turned on in a htaccess file, it can't be turned off again in a subsequent htaccess file.

Bug demonstration at http://www.fsr.ku.dk/people/troels/nomagic/

System: Red Hat 6 on an Intel CPU. glibc opdated to the glibc-2.1.2 package from Red Hat's "rawhide" distribution.

PHP running as Apache module. configure line:
--with-apxs \
--prefix=/usr \
--with-config-file-path=/etc/httpd/conf \
--with-gdbm \
--with-mysql \
--with-system-regex \
--with-gd \
--with-ttf \
--with-memory-limit \
--enable-url-includes

My php3.ini file:
[PHP_3]
include_path = ".:/home/httpd/includes";
mysql.allow_persistent  = On
mysql.max_persistent    = 50