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When using the sdegcdrules command to load custom geocoding rules into an ArcSDE database, the .MAT geocoding rule file must also be copied into the $SDEHOME/geocode folder.
Geocoding rules are read from the GCDRULES ArcSDE system table. However, there is a bug that causes the .MAT file to be read from the $SDEHOME/geocode folder, rather than from the GCDRULES table.
Follow the steps below.