Signature encoding error. Unable to process digital signature

ISSUE :

There is a new error which pops while trying to upload the XML file with Digital Signature which is as follows :

REASON :

As per CPC Banglore, the same is due to "Schema File" of ITD not working properly.

SOLUTION :

Nothing as of now. Wait till the same is rectified from ITD.
ERROR RECTIFIED as Schema File by ITD updated as at 2-Jun-2012.