On a recent thread here someone purchased a new crankshaft position sensor. It was defective. Possibly your camshaft sensor is defective. Also, the shop manual emphasizes having the correct clearance between the sensor and its target on the camshaft, and it mentions using shims of varying thickness. Another possibility is your engine management controller is defective. Finally, your timing chain may be stretched and causing the cam sensor signal to arrive too late with respect to the crankshaft signal.
I had a '96 C220 with a code for the cam sensor. The sensor checked good on an oscilloscope, though I also tried a different sensor. I concluded the engine controller must be the problem. Since the cam sensor had no effect on engine running and a new engine controller is very expensive, I decided to live with problem.