[BUG]: Bad Request (400): Team owner not found for group 6f0b96a6-ff6b-481d-aee9-ecec77140ba6

[priyatr]

Hi,
I am using the latest pnp.powershell version and connecting the Connect-PnPOnline using certificate password/thumbprint option. Previously, I was creating new sites using the following command with user-based authentication and it was working fine.
$newTeam = New-PnPTeamsTeam -DisplayName $teamName -MailNickName $teamAlias -Description $teamName -AllowGuestCreateUpdateChannels $false -AllowGuestDeleteChannels $false -Visibility Private -Connection $adminConnect -EA Stop

Now, I've created a new Entra app registration and completed the app-based MFA setup. However, when I attempt to create a new site using the same above command, it is now failing with following error-

So i explicitly add owner and members information in the command-

$newTeam = New-PnPTeamsTeam -DisplayName $teamName -MailNickName $teamAlias -Description $teamName -AllowGuestCreateUpdateChannels $false -AllowGuestDeleteChannels $false -Visibility Private -Owners "[email protected]" -Members "[email protected]" -Connection $adminConnect -EA Stop

But its still failing with following errors, while i already provided both mentioned permission in the error window -

Could you please help me why this issue started coming? Is this because of entra app auth and how to resolve this. This is little urgent as my production app is down.

[priyatr]

Can anybody please help here