From submitter :

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After the database was upgraded from 11.2.0.4.0 to 12.1.0.2.0 (CPU and JavaVM July 2015), a UTL_DBWS stored procedure callout to a web service using SSL fails with SSLHandshakeException.

From database:

Caused by: javax.net.ssl.SSLHandshakeException: Remote host closed connection
during handshake
 at com.sun.net.ssl.internal.ssl.SSLSocketImpl.readRecord(SSLSocketImpl.java)
 at com.sun.net.ssl.internal.ssl.SSLSocketImpl.performInitialHandshake(SSLSocketImpl.java)
 at com.sun.net.ssl.internal.ssl.SSLSocketImpl.writeRecord(SSLSocketImpl.java)
 at com.sun.net.ssl.internal.ssl.AppOutputStream.write(AppOutputStream.java)
 ...

From back-end server:

Caused by: javax.crypto.BadPaddingException: Invalid TLS padding data
  at com.ibm.jsse2.k.a(k.java:158)[:7.0 build_20150707]
  at com.ibm.jsse2.k.a(k.java:468)[:7.0 build_20150707]
  at com.ibm.jsse2.a.a(a.java:244)[:7.0 build_20150707]
  at com.ibm.jsse2.b.a(b.java:30)[:7.0 build_20150707]
  at com.ibm.jsse2.nc.b(nc.java:519)[:7.0 build_20150707]