AdSenseAdvisor - 3:20 pm on Mar 3, 2011 (gmt 0)
I just responded to the original post on this but will also c&p here just in case you missed it.
Thanks for bringing this to my attention. I spoke with the Product Manager and here is what they said:
"When using the authorized sites feature, any sites that you haven't authorized will trigger an error and a message. Note that we currently consider any framed or cached pages to be unauthorized, this includes when a user searches for your site from Google Images for example and your site displays via frame. We encourage you to add these framed or cached URLs to your authorized sites list. We're investigating ways to improve this feature."
I will alert this forum with updates as this feature is improved.
Thanks again for bringing this to our attention!