What is the exact version number of the latest VirtualBox? Is it Version 3.2.2-62321? Also it would help me to know the exact error as stated (complete) and whether you can install the older version and if it works. Short answers and lack of information makes it hard to diagnose.
OK so you can use 3.1.8 but it give you an error when updating. Stay on 3.1.8 and file a ticket at bugtracker. I have seen 2 of these so far and the DEVs are looking into it but they are going to need some time, plus this is a weekend.