Executing custom activity on Azure Data Factory Pipeline

I am creating simple pipeline in the data factory that should only run a custom activity. The deployment template for the pipeline looks like this:

{
      "type": "pipelines",
      "name": "MyCustomActivityPipeline",
      "dependsOn": [
        "DataFactoryName",
        "AzureBatchLinkedService"
      ],
      "apiVersion": "[variables('api-version')]",
      "properties": {
        "description": "Custom activity sample",
        "activities": [
          {
            "type": "Custom",
            "name": "MyCustomActivity",
            "linkedServiceName": {
              "referenceName": "AzureBatchLinkedService",
              "type": "LinkedServiceReference"
            },
            "typeProperties": {
              "command": "cmd /c echo hello world"
            }
          }
        ]
      }
    }

Additionally I have created all the resources needed- the batch account with pools and the storage account. All the resources are in the same resource group and subscription. I try to trigger the pipeline using console command

Invoke-AzureRmDataFactoryV2Pipeline -DataFactory "DataFactory" -PipelineName "PipelineName" -ResourceGroupName "ResourceGroupName"

I am getting this error:

Activity MyCustomActivity failed: Can not access user batch account, please check batch account setiings.

Has anyone ever experienced such an error from ADF execution of a pipeline? The weird part is that all the resources have access to each other and are within the same resource group and subscription.

Please check the settings for the storage linked service used by batch linked service. Make sure the connection string type is SecureString