Crystal report - SQL Server - Application - error connecting creating report from application

Am facing a strange situation that if I run crystal report outside of application; from crystal report's print preview option; it asks for parameters and runs fine. In odbc connection test of 32 bit/64 bit; the test connection runs successfully. Have copied the needed dlls for this report to fun in syswow64. Still same message if I run from application.

However same setup runs on other machine fine. Please guide.