Naresh,
As AartiG mentioned, the error itself is the inexisting compiler.opt file. This file is auto-generated by the XDC build that runs before the compiler, therefore the error is that it is either not running (as I can't see this step in the complete build output) or is somehow failing but nothing is showing.
I bet the first scenario is the actual issue and the project was not imported correctly. A bit of history that explains why this happens: the XDC build was never fully integrated in CCSv3.3 (the CCS used by the original project) and only one or two of its latest releases added some support for it. In those early days of XDC, these projects had strict dependencies on the versions of the tools used (compiler, XDC itself, other libraries) and therefore they were rarely (if ever) updated to accommodate changes on the upcoming versions (something more or less covered in this thread).
In this case, the migration is something a bit more involving than simply using the Import Legacy 3.3 projects tool in CCS. Fortunately a few threads discuss the migration process and potential runtime pitfalls:
http://e2e.ti.com/support/development_tools/code_composer_studio/f/81/p/234002/820853.aspx
http://e2e.ti.com/support/development_tools/code_composer_studio/f/81/t/114144.aspx
Hope this helps,
Rafael