On Red Hat Satellite v 5.4.1, starting cobbler service fails with error " 'serializer: error loading collection distro. Check /etc/cobbler/modules.conf' "

Issue

• On Red Hat Satellite v 5.4.1, starting cobbler service fails with error -

Starting cobbler daemon: Traceback (most recent call last):
  File "/usr/bin/cobblerd", line 76, in main
    api = cobbler_api.BootAPI(is_cobblerd=True)
  File "/usr/lib/python2.6/site-packages/cobbler/api.py", line 134, in __init__
    self.deserialize()
  File "/usr/lib/python2.6/site-packages/cobbler/api.py", line 956, in deserialize
    return self._config.deserialize()
  File "/usr/lib/python2.6/site-packages/cobbler/config.py", line 266, in deserialize
    raise CX("serializer: error loading collection %s. Check /etc/cobbler/modules.conf" % item.collection_type())
CX: 'serializer: error loading collection distro. Check /etc/cobbler/modules.conf'
                                                           [  OK  ]