After some research I managed to get some output which should clarify matters:
[EMAIL PROTECTED]:~# sh -x `which update-grub` 2> update-grub.txt ** Attachment added: "update-grub.txt" http://librarian.launchpad.net/5248147/update-grub.txt ** Summary changed: - Postinst script fails running update-grub + [Feisty] update-grub fails mysteriously on feisty -- [Feisty] update-grub fails mysteriously on feisty https://launchpad.net/bugs/73966 -- ubuntu-bugs mailing list ubuntu-bugs@lists.ubuntu.com https://lists.ubuntu.com/mailman/listinfo/ubuntu-bugs