I'm having this same issue. I'm testing with the standard 2.6.35 images from Freescale, booting from 4 GB SD card.
I boot the board, and then log-in via the debug serial port. To start eth0 and eth1, I issue the commands:
udhcpc -b -i eth0
udhcpc -b -i eth1
We have two imx28evk boards. On one board, it works fine. On the other board, eth0 works, but eth1 endlessly prints:
PHY: 0:01 - Link is Up - 100/Full
PHY: 0:01 - Link is Down
PHY: 0:01 - Link is Up - 100/Full
PHY: 0:01 - Link is Down
PHY: 0:01 - Link is Up - 100/Full
PHY: 0:01 - Link is Down
PHY: 0:01 - Link is Up - 100/Full
PHY: 0:01 - Link is Down
PHY: 0:01 - Link is Up - 100/Full
PHY: 0:01 - Link is Down
PHY: 0:01 - Link is Up - 100/Full
PHY: 0:01 - Link is Down
The LEDs flash momentarily, periodically, which isn't the behaviour of the functional board.
What could be different between the functional board and the non-functional board? Both boards have stickers saying:
700-26241 REV A
SCH-26241 REV D
https://groups.google.com/forum/#!topic/meta-fsl-arm/eQW7vTobZ00
I had the same problem... Had to move to a new kernel.