Muhammad,
Usually when the debugger is halted in the middle of the launching process, it is possible the device is not ready or is somehow blocking any attempts the emulator is trying to do to connect to it. Therefore, the debugger is waiting for the timeout to expire before throwing back an error message (sometimes these timeouts take a few dozens of seconds to complete). However, a clearer idea is given by providing a Debug Server Log (check the menu Help --> CCS Support --> enable the Debug Server Log).
However, before that I would strongly suggest you to verify if the board is already running code or booting up; sometimes code prevents the emulator from accessing the target.
Another idea is to run the Test Connection button and also perform the testing using the Blackhawk Bh560v2 Config Utility (an icon on the desktop). These utilities usually give information about the low-level JTAG connectivity - in your case I think it is fine, although one can never know 100%.
A good thread that covers some troubleshooting is shown below:
http://e2e.ti.com/support/development_tools/code_composer_studio/f/81/p/279264/975493.aspx
Also, the sections General IDE and Debugger of the CCSv5 Troubleshooting guide usually help:
http://processors.wiki.ti.com/index.php/Troubleshooting_CCSv5
Hope this helps,
Rafael