MobyLinuxVM failed to start, Windows10 Pro 1709, Switch to Linux Container doesn't work, Windows Container works fine

I have installed docker on Window 10 Pro 1709, I am getting below error, this seems to be known issues, I tried the solutions provided on docker forums, but it did not help. Below is error I am getting.

Unable to start: The running command stopped because the preference variable “ErrorActionPreference” or common parameter is set to Stop: ‘MobyLinuxVM’ failed to start. (Virtual machine ID 4B0EB475-B9DE-4D28-A497-1BB4FCA8AD51)
at Start-MobyLinuxVM, : line 300
at , : line 395
at Docker.Core.Pipe.NamedPipeClient.Send(String action, Object[] parameters) in C:\gopath\src\github.com\docker\pinata\win\src\Docker.Core\pipe\NamedPipeClient.cs:line 36
at Docker.Actions.DoStart(SynchronizationContext syncCtx, Boolean showWelcomeWindow, Boolean executeAfterStartCleanup) in C:\gopath\src\github.com\docker\pinata\win\src\Docker.Windows\Actions.cs:line 77
at Docker.Actions.<>c__DisplayClass16_0.b__0() in C:\gopath\src\github.com\docker\pinata\win\src\Docker.Windows\Actions.cs:line 61
at Docker.WPF.TaskQueue.<>c__DisplayClass19_0.<.ctor>b__1() in C:\gopath\src\github.com\docker\pinata\win\src\Docker.WPF\TaskQueue.cs:line 59

During docker for windows install if you select option -> Windows container, then there is no issue works fine, but if you try to switch to Linux Containers then the same error you will get
PS C:\WINDOWS\system32> docker version
Client:
Version: 18.06.0-ce
API version: 1.38
Go version: go1.10.3
Git commit: 0ffa825
Built: Wed Jul 18 19:05:28 2018
OS/Arch: windows/amd64
Experimental: false

Server:
Engine:
Version: 18.06.0-ce
API version: 1.38 (minimum version 1.24)
Go version: go1.10.3
Git commit: 0ffa825
Built: Wed Jul 18 19:23:19 2018
OS/Arch: windows/amd64
Experimental: false

I have uploaded crash report with Diagnostic id 9AC3A831-B8A3-4419-8B44-B5833579B849/20180823031116