Since you don't have a clear question and your question title is pretty much the copy paste of the error I'm going to assume the following:
You are using Proguard to obfuscate a fat jar with nested jars inside.
Proguard compress the jar, that is why you are getting that error. Nested jar files must be stored without compression. Meaning the jars you have inside your fat jar need to be store without compression. Since Proguard compress the fat jar it compress the nested jars. There is no control over this for proguard, at least not that I know of.
A fix could be to unjar it, after Proguard is done, and then create the jar again without compression.
To do this you can unjar it and then use:
jar c0mf
To create the jar again, the key is in the 0.
0 (zero) Indicates that you don't want the JAR file to be compressed.
"Creating a JAR File"