Files lost when moving Subfolder to another Folder

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Nextcloud version _: 21.0.3
Operating system and version: CentOS Linux release 7.9.2009 (Core)
Apache or nginx version : Apache/2.4.6 (CentOS)
PHP version: PHP 7.3.29

Got a shared folder structure:
Folder (shared by owner to multiple users i.e. user1 & user2, all have same permissions)
Subfolder1
Project1
Subfolder2
Project2
When user1 moves Project1 to Subfolder2, Project1 folder moves to Subfolder2 successfully, but it becomes empty and all files from that folder move to recycle bin.
I can recover them right to destination folder in new location, but users usually do not notice that files are missing after move.

Is there any way to fix this behaviour?

Best regards, Stephen