The URL 'Shared Documents/file.pdf' is invalid. It may refer to a nonexistent file or folder, or refer to a valid file or folder that is not in the current Web.

I have configured RBS with filestream provider on 2 node SharePoint Farm with Active-Passive SQL 2008 R2 cluster. I am able to upload documents to document library which are size of less than 1 MB.

When I try to upload file of size more than 1 MB I get error:

The URL 'Shared Documents/file.pdf' is invalid.  It may refer to a nonexistent file or folder, or refer to a valid file or folder that is not in the current Web.

Please, guide me if I need to configure anything more!