encryption causes errors with gpgsm

I have been unable to successfully encrypt a message using gpgsm on windows xp using command line. From reading the forums I have done the following:

  1. Imported the root certificates into gpgsm and placed their fingerprints in the trustlist.txt file (in …Me\Application Data\gnupg).

#Serial number: 01

Issuer: /CN=Medicare Australia Root Certification Authority

8BE808C2254418B1855784B6E1934BF9ED66257C S

Also created the qualified.txt file (in …Program files\GNU\GnuPG\share\gnupg)

#Serial number: 01

Issuer: /CN=Medicare Australia Root Certification Authority

8B:E8:08:C2:25:44:18:B1:85:57:84:B6:E1:93:4B:F9:ED:66:25:7C au

  1. I have placed the root certificates in the dirmngr trusted certificates folder (…All Users\Application Data\GNU\etc\dirmngr\trusted-certs). I am unsure about the signing certificate here though.

  2. I made a file called policies.txt which is empty. (in …Application Data\gnupg)

  3. I have imported several certificates into gpgsm

when I try the command : gpgsm -a -vv --recipient example@example.com --encrypt helloworld.txt

I get the following error:
gpgsm: certificate’s policy list:
gpgsm: validation model used: shell
gpgsm: can’t encrypt to `example@example.com’: Line too long

I have read that a “Line too long” error can come from the trustlist.txt file by not having a line feed at the end of the line… but I have one. does anyone know how to fix this error?