Failed to create windows service Visual Studio Test Controller

I am trying to configure Test controller but getting error: I have MTM and Test controller installed on azure VM and want to setup Test controller. I have been added to Project Collection Test Service Accounts group in TFS with following permissions

**Error Log - only added relevant part of logs and made bold important ones

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BaseConfig: AddFirewallExceptionIfRequired: Firewall exception already enabled for port 6901 V, 2017/09/02, 09:03:48.090, Found that group TeamTestAgentService exists /? True. V, 2017/09/02, 09:03:48.090, Found that group TeamTestControllerUsers exists /? True. V, 2017/09/02, 09:03:48.090, Found that group TeamTestControllerAdmins exists /? True. I, 2017/09/02, 09:03:48.121, ControllerConfiguration: Registered the url http://+:80/AgentInstallerService for user CBIS\Tokci I, 2017/09/02, 09:03:48.121, Starting service configuration... I, 2017/09/02, 09:03:48.121, Started checking the status of controller service VSTTController. I, 2017/09/02, 09:03:48.121, Controller service VSTTController is not installed, attempting to install it now. I, 2017/09/02, 09:03:48.121, Installing service ServicenName=VSTTController, DisplayName=Visual Studio Test Controller, Path=C:\Program Files (x86)\Microsoft Visual Studio 12.0\Common7\IDE\QTController.exe, Description=Provides Distributed Test Engine controller services, userName=tocki@some.com, Dependencies=System.String[]
I, 2017/09/02, 09:03:48.121, Dependency string is dhcp
E, 2017/09/02, 09:03:48.121, Service failed to install. Error: 0 E, 2017/09/02, 09:03:48.184, Microsoft.VisualStudio.TestTools.ConfigCore.ConfigToolException: Failed to create windows service Visual Studio Test Controller. (Error Code: 0) at Microsoft.VisualStudio.TestTools.ConfigCore.Services.InstallService(String servicePath, String serviceName, String serviceDisplayName, String serviceDescription, String username, String password, String[] rawDependencyList) E, 2017/09/02, 09:03:48.215, Got Exception : Microsoft.VisualStudio.TestTools.ConfigCore.ConfigToolException: Failed to create windows service Visual Studio Test Controller. (Error Code: 0) at Microsoft.VisualStudio.TestTools.ConfigCore.Services.InstallService(String servicePath, String serviceName, String serviceDisplayName, String serviceDescription, String username, String password, String[] rawDependencyList) at Microsoft.VisualStudio.TestTools.ConfigCore.ControllerConfiguration.InstallControllerServiceIfRequired(ControllerConfigurationUpdatePack updatePack, DelegateStatusUpdate statusListener) at Microsoft.VisualStudio.TestTools.ConfigCore.ControllerConfiguration.Configure(ControllerConfigurationUpdatePack updatePack, DelegateStatusUpdate ProgressUpdateCB) at Microsoft.VisualStudio.TestTools.ControllerConfigUI.ControllerConfigUI.ConfigureWorker_DoWork(Object sender, DoWorkEventArgs e) at System.ComponentModel.BackgroundWorker.OnDoWork(DoWorkEventArgs e) at System.ComponentModel.BackgroundWorker.WorkerThreadStart(Object argument) I, 2017/09/02, 09:03:48.215, Work completed for GetConfiguration() call : got out of turn error E, 2017/09/02, 09:03:48.215, Failed to create windows service Visual Studio Test Controller. (Error Code: 0)