iPad 2 Camera color glitching issues

My iPad 2 running iOS 4.3.2 has got curious color glitching issues with camera. In high contrast areas of the screen, there are strange neon colors, blue, red, green and etc. It happens both in pictures, video and FaceTime.The issue seems to happen in situations of large light contrasts and the iPad can't make sense of very bright light. Any video I take with the iPad 2, appears crazy colors. But