Also please show the results of:

dpkg -l | grep qemu

Does a reboot or a 'rmmod kvm_intel kvm;  modprobe kvm kvm_intel' fix
it?

You said earlier (in irc) that 'sudo apt-get install qemu-kvm' fixes it.
Is that still the case?

** Also affects: qemu (Ubuntu)
   Importance: Undecided
       Status: New

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https://bugs.launchpad.net/bugs/1387881

Title:
  qemu fails to recognize full virtualization

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