The day before we o got the Untethered Jailbreak for iOS 5.0.1 on iPhone 4, iPod 4, iPod 3, iPhone 3GS and iPad 1. The Untethered Jailbreak was only for all the A4 devices where as the A5 processor Devices are still in process for exploiting.

The day before we also got a tweak from the Chronic Dev-Team called Corona. The Tweak was released in Cydia to make the Tethered Jailbreak into Untethered just by installing that Tweak. The tweak had some issues with it. The issues notified by  @Planetbeing were of launchctl. The Corno 5.0.1 (Untethered) apparently breaks `launchctl` which is now patched.

 

Corona (5.0.1 untether) apparently breaks `launchctl`; @planetbeing figured out what caused it, and I patched the package: upgrade to 1.0-2.

So the Corona 5.0.1 (Untethered) was updated to 1.0-2 to fix the issue of launchctl.

Now those who Jailbreaked using Redsn0w0.9.10b1 also got the launchctl issues on their iDevice.

The launchctl issue also affects you if you used redsn0w to install the 5.0.1 untether. I have built 1.0-3, which can upgrade redsn0w users.

 The offiicial update release is as follows:
Update #2: The b2 version of redsn0w includes the launchctl-related fix by @planetbeing as mentioned by @saurik here and here.  As usual, you can just re-run redsn0w in jailbreak mode over your existing 5.0.1 jailbreak (even a PwnageTool one), making sure to de-select “Install Cydia” if you do.  Always be sure to do a controlled “slide to power off” shutdown of your device before running redsn0w.
Those of you were Jailbroken on iOS 5.0.1 using the old version of redsn0w are now requested to use this new version of Redsn0w to fix all the issues. Just re run the Jailbreak and UnCheck Cydia this time.
You can download the new version of Redsn0w from below.
You can follow our complete Jailbreak guide from here.
Thanks to Shouaieb Zayane for letting us know.