First of all, sorry for the delayed reply.
I upgraded to 1.6.8 using the sid package and it indeed solved the problem. 
I've been working with it for more than a week and it seems everything is in 
order.
I assume it will be adopted in Karmic and the problem will go away for everyone.

Thanks!

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apt-cacher causes apt-get update to fail signature verification
https://bugs.launchpad.net/bugs/386048
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