diff --git a/dbPort/src/org/compiere/dbPort/Convert.java b/dbPort/src/org/compiere/dbPort/Convert.java
index 945e1acbde..34e82e6698 100644
--- a/dbPort/src/org/compiere/dbPort/Convert.java
+++ b/dbPort/src/org/compiere/dbPort/Convert.java
@@ -286,16 +286,16 @@ public abstract class Convert
 	protected String recoverQuotedStrings(String retValue, Vector<String>retVars) {
 		Pattern p = Pattern.compile("<-->", Pattern.CASE_INSENSITIVE | Pattern.LITERAL);
 		Matcher m = p.matcher(retValue);
-		for (int cont = 0; cont < retVars.size(); cont++) {
+		StringBuffer sb = new StringBuffer();
+		// Parse the string step by step - teo_sarca [ 1705768 ]
+		for (int cont = 0; cont < retVars.size() && m.find(); cont++) {
 			//hengsin, special character in replacement can cause exception
 			String replacement = (String) retVars.get(cont);
 			replacement = escapeQuotedString(replacement);
-			retValue = m.replaceFirst(Matcher.quoteReplacement(replacement));
-			if (retValue.indexOf(replacement) < 0)
-				System.err.println("Failed to recover: " + replacement);
-			m = p.matcher(retValue);
+			m.appendReplacement(sb, Matcher.quoteReplacement(replacement));
 		}
-		return retValue;
+		m.appendTail(sb);
+		return sb.toString();
 	}
 	
 	/**
diff --git a/dbPort/src/org/compiere/dbPort/Convert_PostgreSQLTest.java b/dbPort/src/org/compiere/dbPort/Convert_PostgreSQLTest.java
index 3d5932c5e2..de2518d483 100644
--- a/dbPort/src/org/compiere/dbPort/Convert_PostgreSQLTest.java
+++ b/dbPort/src/org/compiere/dbPort/Convert_PostgreSQLTest.java
@@ -28,6 +28,13 @@ public final class Convert_PostgreSQLTest {
 		String sqe;
 		String[] r;
 		
+		// Convert.recoverQuotedStrings() error on strings with "<-->" - teo_sarca [ 1705768 ]
+		// http://sourceforge.net/tracker/index.php?func=detail&aid=1705768&group_id=176962&atid=879332
+		sql = "SELECT 'Partner <--> Organization', 's2\\$', 's3' FROM DUAL";
+		sqe = "SELECT 'Partner <--> Organization', E's2\\\\$', 's3'";
+		r = convert.convert(sql);
+		verify(sql, r, sqe);
+		
 		// [ 1704261 ] can not import currency rate
 		sql = "UPDATE I_Conversion_Rate i SET MultiplyRate = 1 / DivideRate WHERE (MultiplyRate IS NULL OR MultiplyRate = 0) AND DivideRate IS NOT NULL AND DivideRate<>0 AND I_IsImported<>'Y' AND AD_Client_ID=1000000";
 		sqe = "UPDATE I_Conversion_Rate SET MultiplyRate = 1 / DivideRate WHERE (MultiplyRate IS NULL OR MultiplyRate = 0) AND DivideRate IS NOT NULL AND DivideRate<>0 AND I_IsImported<>'Y' AND AD_Client_ID=1000000";