Manual and Auto java update are not working

We have issues with Java Update for Manual and Auto. I have tested on win_xp machine. I can also provide m/c details, if required.

1.) Manual update
When you try to do a manual update using java control panel, it will show an error dialog (Please see the attachment for more info)

How to reproduce

I.) Install Jre 6u5 b07 pit bundle (Full install).
II.) Create the "UpdateServletURL" registry and point to the Map.xml location. (We have hosted locally).
III.) Open JCP and click "Update Now" button.
IV.) Update bubble will be shown in the System tray.
V.) Clcik on Update bubble and Update Notification dialog will appear.
VI.) Click on "Install" on Update Notification dialog

After some time error dialog will be displayed. (Please see the attachment "updateError.JPG")

Expected Behaviour:
Java update installer should be launched and new JRE (6u6) should be installed.

2.) Auto update
When you try to do auto update; nothing happens

How to reproduce

I.) Install Jre 6u5 b07 pit bundle (Full install).
II.) Create the "UpdateServletURL" registry and point to the Map.xml location. (We have hosted locally).
III.) Open JCP and set the schedule to daily.
IV.) Modify the System time and date and match it with JCP schedule.
V.) Log off from the machine and login back to the machine
VI.) Make sure "jusched.exe" is running
VI.) Wait for the Java update to happen at schedule

Even after waiting for long time ( more than an hour or so), nothing happend. No prompt was displayed to the user. Registry entries are getting created and "jre-6u6-windows-i586-p-iftw.exe" is also downloaded (check system temp directory) in the machine but still no prompt/notification for Java update.

Expected Behaviour:
Java update bubble should be displayed in the system tray. Which will launch the Java Notification dialog.

I guess reason of auto and manual Java update failure are same. In Auto udpate also, it tries to donwload first all the required files but failing for some reason hence update is not working.