DSO activation fails due to # values

Hi Experts,

The DSO activation is failing multiple times for each error for the Short Text field due to # values. ., The # values are not seen directly,but when we display single record the # values can be seen. I have written the below routine the transformation for field routine, Its not working, Would you please suggest if any changes required. ?

Please find the attachments of the records.

DATA: var1 TYPE C LENGHT 40

var1 = SOURCE_FIELDS-fieldname

  REPLACE ALL OCCURANCES OF CL_ABAP_CHAR_UTILITIES=>HORIZONTAL_TAB IN

   var1 WITH SPACE.

RESULT = var1.

Thanks.