Solved this by uninstalling Kaffeine through the GUI and then installed it by following the instructions at: https://help.ubuntu.com/community/Kaffeine. No more "Cannot find demux plugin for MRL dvbpipe.m2t" after this :)
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I did uninstall Kaffeine through the GUI, but I do not think there is any difference between uninstalling through terminal. Here is a solution with the terminal only.
sudo apt-get remove kaffeine
sudo apt-get update && sudo apt-get upgrade
sudo apt-get install kaffeine libxine1 libxine1-all-plugins phonon-backend-xine
This solution is tested on Ubuntu Lucid (10.04) 64bit. But should work on 32bit and Ubuntu Karmic (9.10). As you may see the key in the solution is installing the extra packages "libxine1 libxine1-all-plugins phonon-backend-xine". Of course all needed packages should be installed when installing Kaffeine, but for some reason it does not.
Thank you for you post. But now I have sound but no video. Do you know other solution.
SvaraRaderaworks great thanks
SvaraRaderaThanks you brow!!! It works:)
SvaraRaderain 32bits run perfect!
SvaraRadera64bits run perfect too!
SvaraRadera