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I went back to basics- I tried to create a new small project and it compiled !!! :)
So, the problem, as you pointed out in beginning- that my existing project ( someone else was working on it); and am taking it over- might have used some paid or licensed IP.
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No, if you read the error message, it was probably because you were trying to use a Cyclone device. Go and look at the device settings in the non-working project and in the working project. See if one is a Cyclone I device and the other is a Cyclone II/III/IV device.
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So, figured out the mystery.
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No, you have just got a different result. You still need to find where you went wrong :)
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Thanks a lot for being here replying my questions.
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You're welcome.
Cheers,
Dave
PS. The Cyclone I vs Cyclone II/III/IV comment came about from another thread that appears to have the same error message:
http://www.alteraforum.com/forum/showthread.php?t=35333 Error (20005): A license file is required to enable compilation of your design for the Cyclone family of devices
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