'Fetch Out of Sequence'?

Can anyone see why the following program causes a 'fetch out of sequence' error in my outer loop 'outer1' when a user defined exception is raised, and handled, inside the p_validate procedure:  

 CREATE OR REPLACE PACKAGE itf_package AS
--
--***************************************************************
--
--

• Author: Paul Swallow
• Creation Date: 16/03/98

--

• Date Changed By Change
• ---- ---------- ------
• 16/03/1998 Paul Swallow Initial version
  --
  --***************************************************************
  *
  --
  
• -------------------
• Create Package Body
• -------------------
  --
  

--

• -------- -------
  • -------- -------
    • -------- -------
  • -------- -------