Firstly, can you try uninstalling and then reinstalling the Creator4.1 UP1 in the system.
Can you please post the project to check whether this is a system specific issue.
please try these steps-
#2 Open PSoC Creator 4.1 UP1
#3 Tools -> Find new components
#4 Search 'USB'
#5 Select version USBFSv3.20
#6 Click 'Install Checked Components'
Thank you very much for taking the time to reply.
I was curious to know what the underlying cause might be, rather than to 'blindly' fix it by uninstalling and re-installing.
I was able to work around the problem by accepting the downgrade of the project components. This allowed me to build and debug on that PC.