Trunk Issue please help
 

My 99m3's trunk latch is not working. It latched fine yesterday and after 4 hours of driving I pulled over to get something out of the trunk and after i opened it it would not close and latch. The latch seems to be intact and everything seems to line up so I am stumped. I have played the latch mechanism with my hand and it moves and locks into position but for some reason it will not latch and close. Any suggestions?

Might have to adjust the catch upwards so it catches, but have seen numerous latches go bad