Was this ever fixed? It seems like I'm having the same issue and I'm running the 1.7 version of Nuget.Server with the 1.7 version of Nuget.Core.
I've seen it fail with two different error messages:
Message 1: System.IO.InvalidDataException: Failed to download package correctly. The contents of the package could not be verified.
Message 2: System.Exception: The package could not be downloaded from NuGet. Please see above errors for details. If you are getting a package verification error, try switching to a Windows File Share package repository to see if that helps.
I get the error when Octopus deploy (which I use for deployment) tries to download the packages. I can't swith to file share since we need the server so that the infrastructure team has control over how we access the network (I know it is redicolous, but
that is the reality I have to live in).