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Hello.
How about trying the steps described in the blogs below?
You may also want to try restarting EC2.
https://www.anyviewer.com/how-to/the-number-of-connections-to-this-computer-is-limited-2578.html
https://homerdp.com/fix-the-number-of-connections-to-this-computer-is-limited-rdp/
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Thanks for your quick reply Actually I restarted EC2 instance and all user accounts are now accessible (and also copy and paste works again)