I don't think this can be called "fixed" as turning filesystem translation off is really not a viable option. With it off, it's impossible to create packages that install to /usr without root privileges, and I certainly do not want to run checkinstall as root! According to the checkinstall website, the git repository contains code to fix this bug, so perhaps Ubuntu should upgrade to a git version of checkinstall, if it's stable enough. But until then, this bug should be re-opened!
I don't think this can be called "fixed" as turning filesystem translation off is really not a viable option. With it off, it's impossible to create packages that install to /usr without root privileges, and I certainly do not want to run checkinstall as root! According to the checkinstall website, the git repository contains code to fix this bug, so perhaps Ubuntu should upgrade to a git version of checkinstall, if it's stable enough. But until then, this bug should be re-opened!