<Intellij - running a project after java upgrade f...

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Intellij - running a project after java upgrade fails
I have a project with 3 modules. I am running them with Intellij. Everything worked fine until project was upgraded to java 17, I ran following commands in terminal:
sdk install java 17.0.3-tem
sdk use java 17.0.3-tem

In Intellij preferences Compiler -> Java Compiler -> Project bytcode version is set to 17 as well as all per module bytecode target versions.
I have tried to use both javac and eclipse compiler, also I have set the Gradle Jvm to temurin-17 in Intellij Build Tools -> Gradle, but...