Failed Updating Soures

Hello, we have a teamcity server running 2 agents. Then we decided to add a 3rd agent and deployed it to the server with almost identical configuration. But somehow, while other 2 agents were working without an issue this new agent fails every time with the error given below:

[Updating sources] Failed to perform checkout on agent: '"C:\Program Files\Git\bin\git.exe" reset --hard ea833bef34b4c76932d5afdf010827fa1f18e78d' command failed.

exit code: 128

stderr: git-lfs smudge -- 'SomeDir/BaseImage/assets/MyAssets/bin/SomeCode.dll': git-lfs: command not found

error: external filter 'git-lfs smudge -- %f' failed -1

error: external filter 'git-lfs smudge -- %f' failed

fatal: SomeDir/BaseImage/assets/MyAssets/bin/SomeCode.dll: smudge filter lfs failed

At first, it looks like that we need to install git-lfs on agent machine but it is working with the same environment like the other 2 agents.

Will appreciate any ideas or solutions, I am stucked!

Thanks in advance.. 

Note: TeamCity Professional 10.0.4