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When adding connectivity rules to a geometric network, the following error is returned:
"Failed to add the rule to the geometric network
The connectivity rule is invalid/malformed
The subtype code does not exist. [feature class name]"
The error is caused by trying to add more than 64 junction subtypes to a particular edge-edge connectivity rule.
This error results from a known issue in ArcGIS.
There is no workaround for this issue.
Install the ArcGIS 9.3.1 SP2 QIP Geodatabase Patch for 9.3.1 or use ArcGIS 10.1 SP1.