I was listening to music ages ago on the bus and I got an alert with the flashing led. I had the headset half on and there was a beep but I was sure that the sound came from the handset speaker and not through the headset - I remember thinking how odd that was - but unfortunately I cannot remember if it was a sms or new email alert. Anyway this was way back on the original firmware, I'm going to test this out later and vote on the bug if I can replicate it.