Docker-compose toolbox secrets files not mounting properly - docker

Question

I am trying to compose a stack using secrets
for development, i use local files in docker/secrets/FILE_NAME
I had this working in windows 10, but I'm struggling to get it to work under win7 toolbox.
I get an error:
Cannot create container for service db:
invalid volume specification:
'C:\project\docker\secrets\DB_USERNAME:/run/secrets/db-username:ro'
I was trying to set COMPOSE_CONVERT_WINDOWS_PATH but unfortunately, this does not change anything. I will get the same output with true or false.
Setting absolute paths did not help either.
Docker compose version 1.16.1 build 6d1ac219
Docker version 17.10.0-ce, build f4ffd25
My docker-compose.yml
version: '3.3'
services:
db:
image: postgres
volumes:
- db-data:/var/lib/postgresql/data
environment:
- POSTGRES_PASSWORD_FILE=/run/secrets/db-password
- POSTGRES_USER_FILE=/run/secrets/db-username
- POSTGRES_DB_FILE=/run/secrets/db-name
secrets:
- db-username
- db-password
- db-name
web:
build:
context: ./docker/machines/django/
args:
buildno: 1
command: python3 manage.py runserver 0.0.0.0:8000
volumes:
- ./Server:/Server
ports:
- "8000:8000"
depends_on:
- db
secrets:
- db-username
- db-password
- db-name
secrets:
db-username:
file: ./docker/secrets/DB_USERNAME
db-password:
file: ./docker/secrets/DB_PASSWORD
db-name:
file: ./docker/secrets/DB_NAME
volumes:
db-data:
driver: "local"