Unable to connect any USB device to the Virtual Machine

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Symptoms

I am unable to connect any USB device to the virtual machine with an error:

     "Unable to connect the USB device to your virtual machine. The device cannot be connected now. Please try again later." 

I am running Mac OS X 10.9 Mavericks

Cause

Major changes in OS X Mavericks.

Resolution

Parallels Desktop Development team is aware of this issue, and is going to include the fix in the next Parallels Desktop update coming out soon. Please keep your copy of Parallels Desktop up-to-date, and you also can subscribe to product updates by following this link:

http://www.parallels.com/mailinglists/subscribe/

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