Hm, just a wild guess, but can you try to connect to Converter Server using IP address instead of connecting to local server? I mean you would still connect to the local server, but through the network interface. If you have installed it locally on the source then you can connect to 127.0.0.1. If you have installed Converter in local mode (default) then you would need to run the installer again, select the Modify option and add the Remote connection feature.
If this doesn't help you can try to install the Converter Server on another machine and point it to the physical source.