Eclipse:IWAV0171E Could not create a socket connection to remote vm

I had my Eclipse nicely setup for writing simple Java desktop applications untill today when I tried to open a class in Visual Editor I`m getting the error:

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Error:
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IWAV0138E Remote VM terminated too soon. See .log file for trace of output.  
For VM "Project (MyProj)-VM for MyProj".

In details the information is :

An internal error occurred during: "Create Remote VM for Visual Editor for Java".
IWAV0171E Could not create a socket connection to remote vm. 
This is often due to your firewall blocking access from your java 
to do local access.

Now I looked around and found that javaw.exe cannot make a local connection and the firewall is blocking , so I turned off the firewall, both Windows 开发者_运维百科and Kaspersky, but that didnt make any difference.

Further I tried modifying the host file in win/system32/drivers/etc, which already had 127.0.0.1 linked to localhost, but i added another line with real network ip and computer name and that didn't work too.

I tried running Eclipse that I have embedded in Oracle Weblogic , and it works, so I am guessing it is only with the JDK I`m using? anybody had this problem?

regards, Imran