Backtrack is a popular linux dsitrubiton known for...umm..well hacking WEP. Actually, as people like to say..used for testing out the security of their networks. So, there's an arm version available which means it can run an android devices, here's how.
Quick links:
Backtrack 5 for ARM:
http://www.backtrack-linux.org/downloads/
commands:
su
cd /sdcard/BT5
sh bootbt
export USER=root
vncpasswd
(make up any password)
Android VNC: download
Terminal Emulator: download
BusyBox: download
7Zip: download
Link to full instructions: here