There are many dynamic DNS updates getting refused by a Windows Server. How to resolve this issue?

We see the Dynamic DNS update are being refused to register on a Windows Server SP2. The server is configured with secure only dynamic updates. Could not find event errors associated with this issue. We have BMC monitoring which alerts when the secure dynamic updates fail beyond a threshold.

The DHCP activity log is as follows:

10        A new IP address was leased to a client.
11        A lease was renewed by a client.
12        A lease was released by a client.
13        An IP address was found to be in use on the network.
14        A lease request could not be satisfied because the scope's
          address pool was exhausted.
15        A lease was denied.
16        A lease was deleted.
17        A lease was expired.
20        A BOOTP address was leased to a client.
21        A dynamic BOOTP address was leased to a client.
22        A BOOTP request could not be satisfied because the scope's
          address pool for BOOTP was exhausted.
23        A BOOTP IP address was deleted after checking to see it was
          not in use.
24        IP address cleanup operation has began.
25        IP address cleanup statistics.
30        DNS update request to the named DNS server
31        DNS update failed
32        DNS update successful

A wireshark trace taken on the server shows the following DNS frames:
630      12.522869      192.168.249.136      193.63.65.49      DNS      Standard query A www.imrg.org
632      12.551783      193.63.65.49      192.168.249.136      DNS      Standard query response, Refused
633      12.551847      192.168.249.136      193.62.128.91      DNS      Standard query A isisaccreditation.imrg.org
634      12.552170      193.63.65.49      192.168.249.136      DNS      Standard query response, Refused
635      12.552238      192.168.249.136      193.62.128.91      DNS      Standard query A www.imrg.org
636      12.552291      193.62.128.91      192.168.249.136      DNS      Standard query response, Server failure
.......

Flags on refused frame shows:
.... ...1 .... .... = Recursion desired: Do query recursively

There are many refused frames in the trace.

link|improve this question
please reformat your posting. – Alnitak Nov 1 '10 at 13:48
What, exactly, is the question here? – joeqwerty Nov 1 '10 at 14:00
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