Hi Robert,
1. Kindly check whether iaik_jce.jar files are located in the below directory or not /usr/sap/DAA/SMDA<XX>/SMDAgent/lib and /usr/sap/DAA/SMDA<xx>/SMDAgent/lib/iaik.
2. Also run the above setup with daaadm user or if you are running with different user then check whether the file is access by the user or not.
With Regards
Ashutosh Chaturvedi