Posting on behalf of Prateek who asked on my Data Connections blog article: http://blogs.datadirect.com/2011/04/windows-authentication-to-sql-server-from-unixlinux.html
The functionality is present in our 5.1 CfJDBC SQL Server driver, but it has not yet been released for our ODBC driver. I'd suggest adding this to the ideas section to receive updates.