OK...2 questions:
1.) Is there anything else on the line like a cd-rom or other IDE device?..( eg. Zip drive, ls-120... )
If the cable is used with anything else besides the HD, does it happen when you unplug everything but the HD itself?
I don't know what your configuration is...whether you have a cd-rom or other device on the cable, so this is a shot in the dark....BUT, sometimes...and it's happened to me, for some reason connecting another device, even another HD, has made the HD light stay on, removing the aditional device and putting it on another ide port always fixed it.....has something to do with the 2 devices sharing the line ( as master/slave ) not being compatible with eachother....It happens. It may also be a bad cable, so you can try and swap in a new one.
2.) is the HD activity light connected properly on the motherboard header?
heh heh, we have all at one time or another stuck cables in backwards or plugged something in one pin to far to the left or right on those headers, make sure it's exactly where it's suposed to be,...again..it happens...
If all else fails, try another drive, just to check it, if it still does it after trying the previously mentioned suggestions with a different drive, then it's definetly something with the IDE controller, if it stops, then it may just be the signaling circuit in the drive itself.