When I ran the gradle -v in the windows cmd shell, I am getting "The system cannot find the path specified" error.
NOTE: I have properly set the GRADLE_HOME and the path as given in the gradle documentation.

Looks like this is only a problem in my Windows XP 5.1 machine since when I ran it in Windows 7 it worked fine.

Temp Fix that works for me:

After looking inside the gradle.bat, the output of :fixpath call returns a wrong jdk path even though the input is correct path. Doing the below fixes the issue (atleast for me)...

from

set JAVA_HOME=%_FIXPATH:~1%

change to

@rem set JAVA_HOME=%_FIXPATH:~1%

This is a temp fix that worked for me but I am not sure how to fix this in general.