OK, I just watched the last 2 segments of VH1 100 Greatest Songs of the 90's on Tivo, so please forgive the back-dated back reference. Maybe I should have gone with "D'oh, FINALLY Got Blogger Backlinks Working."
Using RAGE Google Sitemap Automator has been all the rage with me during the holiday break, but I kept learning from Google Webmaster Tools that I was getting pages with weird links ending with %3C$BlogBacklinkURL$%3E. It turns out that Backlinks have been broken here since forever. However they are now fixed, thanks to the informative (but 2 year old) post I found at A Consuming Experience, Display links to your posts via Blogger Backlinks, Icerocket Link Tracker etc. If you're having a problem like this, you probably have a customized Blogger template, so you should see the section titled Blogger: backlinks for custom templates.
Watch for some real content to appear here soon.