Rails 3.2.1
ruby 1.9.3p0 (2011-10-30) [x86_64-linux]
openssl-0.9.8e-20.el5 opens
rvm pkg has been deprecated.
Instead try this if you are running the latest version of rvm (e.g. 1.21):
rvm autolibs enable
rvm reinstall
Where is the version of ruby you are using. (e.g. rvm reinstall 1.9.3)
After you reinstall ruby check your .ruby-version file (replaces .rvmrc in latest version of rvm) and ensure it is set to the new version of ruby.
I ended up removing the gemset and recreating it before everything worked correctly.