system.componentmodel.win32exception: no mapping between account names and security ids was done

When installing a windows service using installutil, it prompts for username & password, and after providing the username and the password it gives the following error:

system.componentmodel.win32exception: no mapping between account names and security ids was done

To resolve this problem add the below line to the ProjectInstaller.cs file (in InitializeComponent)
this.serviceProcessInstaller1.Account = System.ServiceProcess.ServiceAccount.LocalSystem;