Failed with error code invalid_response

First off, I like this plugin a lot, it lets you pick and choose which images you want compressed, and I have been using it frequently on my GoDaddy hosted site, and I love it.

However, I am having an issue compressing my images on my HostGator hosted site, I keep getting the error:

“Failed with error code invalid_response – The compression apparently succeeded, but WP-Optimize could not retrieve the compressed image from the remote server.”

After some research I tried making some php.ini adjustments thanks to this thread.

After making the changes I had the same issues, so I am stuck again as to why this works great on GoDaddy, and is having issues on my HostGator server. What types of server settings could be blocking the plugin?