Actually it is incredibly simple. Ignore my previous post.

1. Find:
$pod_dir =~ s/%([\dA-Fa-f]{2})/pack("C", hex($pod_1))/eisg;
Comment it out, and add
$pod_dir = pod_unescape($pod_dir);

2. Find:
print $pod_q->header(-type=>'text/html',

After it add:
-charset=>'UTF-8',

See attached file for more details