VIC 4.U1 Unable to launch p2v

Issue:- vpxclient.exe runtime error while trying to p2v or import a VM.Microsoft Visual C++ Runtime Library error message is displayed during import or export of a machine.
vSphere Client :  4.0 update 1 build 208111
vCenter Server : 4.0 update 1 build 208111
ESX                     : 4.0 update 1
Resolution:
What worked for me:
Update the vSphere Client to update 2.

What did not work but may work for you:
http://michaelellerbeck.com/2009/11/16/vpxclient-exe-runtime-error-vsphere-vcenter-import-crashes/
http://kb.vmware.com/selfservice/microsites/search.do?language=en_US&cmd=displayKC&externalId=1011329