With this version, I plugged a 8GB Kingston flash drive FAT32 formatted to Pi. Green LED of the Pi started to blink, stayed for about 2 minutes, and suddenly the WiFi hotspot gets disabled. Then I connected the Pi with the router using a LAN cable but couldn’t find any IP address assigned to it. It seems that the Pi gets halted - green LED is not blinking and in a stable state.
Resolved after connecting the flash drive (this time I connected a 16 GB Kingston USB stick) through a powered USB hub -it is a Multi TT usb hub from ModMyPi.