When a read error is encountered (and conv=noerror), the program should zero out the entire block before hashing/writing to the disk. This allows for repeatable reads of disks with errors.
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A potential fix for this problem has been checked into SVN (https://sourceforge.net/svn/?group_id=212454). This change will be tested before the issue will be closed.
The current patch does not work. Back to the drawing board!
The changes previously checked into SVN have passed testing and will be included in the next release.