It is not possible to "convert" TXT to GDOC. However, when you create a text document using Google Docs a link to that document with GDOC extension will be created. But that's just a link to the document, not the actual document.
This conversion entry was verified by us and conversion was flagged as wrong or not possible.
Usually this happens when the conversion would try to convert different types of data between each other, such as audio to image, or it is not possible because incompatibility between programs, caused by closed file formats, very limited support etc.
If you find entry that you feel is flagged as bad wrongly, please tell us in the discussion below with as much as information as possible so we can fix it.