What documents have you been reading?
Take a look at the actual vulnerability advisory.
http://www.cpni.gov.uk/Docs/Vulnerability_Advisory_SSH.txt
Or the original posting by OpenSSH
http://www.securityfocus.com/archive/1/498558/30/0/threaded
Where is there any condition related to National
Curious. This problem doesn't happen for me with version 2.7.
As root
# cd /root
# mkdir dir
# chmod 711 dir
# cd dir
# touch hiddenfile
# cd ..
# /usr/bin/slocate -c -u
As an ordinary user
$ ls -l /root/dir
/usr/bin/ls: /root/dir: Permission denied
$ slocate hiddenfile
$ slocate -V
Secure