WSUS server not downloading update files 2008 R2

[Dmitriy Tur]

WSUS 3.0 server not downloading update files 2008 R2

Errors I am getting

Log Name: Application
Source: Windows Server Update Services
Date: 6/15/2017 2:39:46 PM
Event ID: 364
Task Category: 2
Level: Error
Keywords: Classic
User: N/A
Computer: computer_name
Description:
Content file download failed. Reason: The server does not support the necessary HTTP protocol. Background Intelligent Transfer Service (BITS) requires that the server support the Range protocol header.
Source File: /d/msdownload/update/software/crup/2015/08/outlookintl-ar-sa_1ca6aa58c6d1351bd7a2b694e10e9acfef0970c7.cab Destination File: c:\WSUS\WsusContent\C7\1CA6AA58C6D1351BD7A2B694E10E9ACFEF0970C7.cab.
Event Xml:
<Event xmlns="http://schemas.microsoft.com/win/2004/08/events/event">
<System>
<Provider Name="Windows Server Update Services" />
<EventID Qualifiers="0">364</EventID>
<Level>2</Level>
<Task>2</Task>
<Keywords>0x80000000000000</Keywords>
<TimeCreated SystemTime="2017-06-15T18:39:46.000000000Z" />
<EventRecordID>162710</EventRecordID>
<Channel>Application</Channel>
<Computer>Mainlocal</Computer>
<Security />
</System>
<EventData>
<Data>Content file download failed. Reason: The server does not support the necessary HTTP protocol. Background Intelligent Transfer Service (BITS) requires that the server support the Range protocol header.
Source File: /d/msdownload/update/software/crup/2015/08/outlookintl-ar-sa_1ca6aa58c6d1351bd7a2b694e10e9acfef0970c7.cab Destination File: c:\WSUS\WsusContent\C7\1CA6AA58C6D1351BD7A2B694E10E9ACFEF0970C7.cab.</Data>
</EventData>
</Event>

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

I have tried command prompt 

"C:\Program Files\Update Services\Setup\ExecuteSQL.exe" -S %Computername% -d "SUSDB" -Q "update tbConfigurationC set BitsDownloadPriorityForeground=1"

But it does not seem to do anything. When retrying to finish downloading update it shows this (see attachment)

Also tried powershell 

$conf=(get-wsusserver).GetConfiguration()
$conf.BitsDownloadPriorityForeground=$true
$conf.save()

... is not recognized (see attachment) 

Any help would be appreciated