Unable to use CURL within GROOVY script for a REST PUT call
Try using the list variation of the string and see if that works:
println ["curl", "-i", "-X PUT", "-H 'Content-Type:application/json'", "-d '{\"Key1\":1, \"Key2\":\"Value2\"}'", "http://<hostname>/foo/"].execute().text
I was having a similar problem and this was the only way I could find to solve it. Groovy will split the string into arguments at each space and I suspect this was tripping up Curl and the -H argument pair. By putting the string into the list variant, it keeps each item together as an argument.