The problem appears to be that $description is no longer being supplied to the import_image() function in blogger-importer.php
To work around, in this file look for the line
$att_id = media_handle_sideload($file_array, $post_id, $description, array('post_excerpt' => $description));
and just before this add
if ($description === '' || $description === null){
$description = $new_name;
}
This will check to see if $description is blank and if so set the description to the short filename.
