What I see from your screenshots most likely your Cygwin setup is wrong. Is there REALLY a windows proper executable file called gcc.exe in your Cygwin installation folder? Usually they are named like gcc-3.exe or gcc-4.exe and gcc.exe is a symbolic link which is not going to work outside the Cygwin/bash.
As I said (in my message at 09:44 today), gcc.exe is indeed a cygwin-only symbolic link. It goes through multiple redirections to gcc-3.exe. It seems C::B picked up the symbolic link rather than the actual executable.
This is not a C::B error - you'll definitely see the same error if you launch gcc.exe through a cmd.exe environment (NO Cygwin/bash environment!).
Yes, I said that in that same message.
It is a wrong compiler setup!
Well, then I guess the proper solution would be to organize a shootout at noon between the cygwin installer's author and the C::B installer's author :-)
About my cygwin's setup being wrong, a thing I learned in 40 years of programming is that it's better to think twice before 'fixing' a system that works fine to make something else work elsewhere.
So I went for the lesser evil and hardcoded gcc-3.exe in cygwin's compiler setup in C::B.
That of course got rid of the error (the curiosity remains about why cygwin's gcc should be executed when launching C::B. Perhaps to check the version?).
Thanks for pointing me to the right configuration area in C::B!