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ISO1641: ISO1641B: SCL signals clipping

Part Number: ISO1641
Other Parts Discussed in Thread: ISO1640

Hi, we're trying the isolator ISO1641B to isolate I2C communication. Below is the schematic:

As the test circuit, both the master and slave devices are Arduino Uno operating at 5V. 

We're not able to get the communication properly. On scoping through the oscilloscope, below waveforms are observed

Blue - Master SCL

Green - Master SDA

Yellow - Slave SCL

Pink - Slave SDA

Why do the clock signals clip off during the transmission? The SDA seems to be working okay. 

Thanks

Yash