It cannot fix bugs in its priors as for any other part of the system, e.g. sensor drivers, the AI can fix the hell out of itself. Anything which can be fixed is not a true prior though. If we allow the AI to change its prior completely then it is effectively acting upon a prior which does not include any probability 1 entries.
There is no reason to fix the red wire belief if you are certain that it is true. Every evidence is against it, but the red wire does magic with probability 1, hence something is wrong with the evidence (e.g. sensor errors).
How so? The AI lives in a universe where people are planning to fuse AIs in the way described here. Given this website, and the knowledge that one believes that the red wire is magic, there is a high probability that the red wire is fake, and some very small probability that the wire is real. But it is also known for certain that the wire is real. There is not even a contradiction here.
Giving a wrong prior is not the same as walking up to the AI and telling it a lie (which should never raise probability to 1).