Bundler seems to install gem, but receiving gem "is not checked out" error when starting web service

I'm trying to install the spree_wholesale gem but receiving an error when I start passenger:

git://github.com/citrus/spree_wholesale (at 0.60.x) is not checked out. Please run `bundle install` (Bundler::GitError)

Here is my Gemfile:

source 'http://rubygems.org'

gem 'rails', '3.0.9'
gem 'passenger', '3.0.2'
gem 'mysql', '2.8.1'
gem 'spree', '0.60.1'
gem 'spree_wholesale', :git => 'git://github.com/citrus/spree_wholesale', :branch => '0.60.x'

Here is the output when I run 'bundle install'

me@me:~/w8_test$ bundle install
Using rake (0.8.7) 
Using abstract (1.0.0) 
Using activesupport (3.0.9) 
Using builder (2.1.2) 
Using i18n (0.5.0) 
Using开发者_Go百科 activemodel (3.0.9) 
Using erubis (2.6.6) 
Using rack (1.2.3) 
Using rack-mount (0.6.14) 
Using rack-test (0.5.7) 
Using tzinfo (0.3.29) 
Using actionpack (3.0.9) 
Using mime-types (1.16) 
Using polyglot (0.3.2) 
Using treetop (1.4.10) 
Using mail (2.2.19) 
Using actionmailer (3.0.9) 
Using braintree (2.10.2) 
Using activemerchant (1.15.0) 
Using arel (2.0.10) 
Using activerecord (3.0.9) 
Using activeresource (3.0.9) 
Using acts_as_list (0.1.2) 
Using bcrypt-ruby (2.1.4) 
Using bundler (1.0.17) 
Using cancan (1.6.4) 
Using daemon_controller (0.2.6) 
Using orm_adapter (0.0.5) 
Using warden (1.0.5) 
Using devise (1.3.3) 
Using faker (0.9.5) 
Using fastthread (1.0.7) 
Using spruz (0.2.7) 
Using file-tail (1.0.5) 
Using highline (1.5.1) 
Using rdoc (3.9.1) 
Using thor (0.14.6) 
Using railties (3.0.9) 
Using rails (3.0.9) 
Using jquery-rails (0.2.6) 
Using meta_search (1.0.5) 
Using mysql (2.8.1) 
Using nested_set (1.6.6) 
Using paperclip (2.3.11) 
Using passenger (3.0.2) 
Using rd_find_by_param (0.1.1) 
Using rd_resource_controller (1.0.1) 
Using rd_unobtrusive_date_picker (0.1.0) 
Using state_machine (0.9.4) 
Using stringex (1.0.3) 
Using will_paginate (3.0.pre2) 
Using spree_core (0.60.1) 
Using spree_auth (0.60.1) 
Using spree_api (0.60.1) 
Using spree_dash (0.60.1) 
Using spree_promo (0.60.1) 
Using spree_sample (0.60.1) 
Using spree (0.60.1) 
Using spree_wholesale (0.59.0.0) from git://github.com/citrus/spree_wholesale (at 0.60.x) 
Your bundle is complete! Use `bundle show [gemname]` to see where a bundled gem is installed.

Here is where the gem is installed:

me@me:~/w8_test$ bundle show spree_wholesale
/home/dan/.rvm/gems/ruby-1.9.2-p180@w8_test/bundler/gems/spree_wholesale-a74adcb64660

---

Version 0.60 is required but you got 0.59. Try bundle update spree_wholesale.

In the branch you are referencing, the version is 0.59

---

Perhaps it does have something to do with Spree versions but, in my case, I wasn't even using Spree and was having this issue.

I've spent a week trying everything to resolve a similar issue. Following ALL of the troubleshooting steps here finally resolved it:

https://github.com/carlhuda/bundler/blob/master/ISSUES.md

Good luck!