FULL PRODUCT VERSION :
java version "1.7.0-ea"
Java(TM) SE Runtime Environment (build 1.7.0-ea-b134)
Java HotSpot(TM) Client VM (build 21.0-b04, mixed mode, sharing)

A DESCRIPTION OF THE PROBLEM :
About sun.security.ssl.CipherBox class' "decrypt(ByteBuffer)" function : if a ByteBuffer(created by wraping a byte array) is passed to this function, it does array copy on this internal byte array without considering offset of the wrapper ByteBuffer.

As a result, copying on internal byte array is improper so data and mac values is corrupted. It fails in mac verification with bad_record_mac error.

ps: This problem also applies to encrypt(ByteBuffer) function of the same class.

 int decrypt(ByteBuffer bytebuffer) throws BadPaddingException
    {
        int i = bytebuffer.remaining();
        if(cipher == null)
        {
            bytebuffer.position(bytebuffer.limit());
            return i;
        }
        try
        {
            int pos = bytebuffer.position();
            ByteBuffer bytebuffer1 = bytebuffer.duplicate();
            int k = cipher.update(bytebuffer1, bytebuffer);
            if(k != i)
                throw new RuntimeException(/*...*/);

//some debug logging operation
            if(blockSize != 0)
            {
                bytebuffer.position(pos);
                k = removePadding(bytebuffer, blockSize, protocolVersion);
                if(protocolVersion.v >= ProtocolVersion.TLS11.v)
                {
                    if(k < blockSize)
                        throw new BadPaddingException("invalid explicit IV");
                    Object obj = null;
                    int lim = bytebuffer.limit();
                    if(bytebuffer.hasArray())
                    {
                        byte inarray[] = bytebuffer.array();
/*HERE IS THE FAULTY PART*/
                        System.arraycopy(inarray, pos + blockSize, inarray, pos, lim - pos - blockSize);
                        bytebuffer.limit(lim - blockSize);
                    } else
                    {
                        byte inarray[] = new byte[lim - pos - blockSize];
                        bytebuffer.position(pos + blockSize);
                        bytebuffer.get(inarray);
                        bytebuffer.position(pos);
                        bytebuffer.put(inarray);
                        bytebuffer.limit(lim - blockSize);
                    }
                    lim = bytebuffer.limit();
                    bytebuffer.position(lim);
                }
            }
            return k;
        }
        catch(ShortBufferException shortbufferexception)
        { /*error handling*/ }
    }

STEPS TO FOLLOW TO REPRODUCE THE PROBLEM :
Any TLSv1.2 protocol enabled client-server application with NIO(SSLEngine)!


REPRODUCIBILITY :
This bug can be reproduced always.

CUSTOMER SUBMITTED WORKAROUND :
System.arraycopy(inarray, pos + blockSize, inarray, pos, lim - pos - blockSize);

part can be replaced with:

System.arraycopy(inarray, pos + offset + blockSize, inarray, pos + offset, lim - pos - blockSize);