This error is related to Kerberos. When kinit starts you get message as follows:
Clock skew too great while getting initial credentials
What does this error mean? After searching bit I found that:
The clock on you system (Linux/UNIX) is too far off from the correct time. Your machine needs to be within 5 minutes of the Kerberos servers in order to get any tickets. You will need to run ntp, or a similar service to keep your clock within the five minute window.
Finally, ntp was setup and error vanished :)
Also make sure you have proper DNS server setup in /etc/resolv.conf file.
See more troubleshooting tips at HP website.