Custom Model Import "permission error: AlwaysDenyRule"👮‍♂️🚔

Hi, I am using Meta Horizon Worlds Desktop Editor and trying to import a custom FBX model through Asset Library > My Assets > Add New > 3D Model.

The import fails before the asset is created with this validator error:

EntSocialVRVersionedAssetCreationView
EntSocialVRVersionedAssetExperimentalPermissionPolicy::AlwaysDenyRule
ImplicitPrivacyPolicyBase:DenyIfSubPolicyDeniesRule
ComparatorPermissionPolicy

The editor AI says this looks like permission issue, not an FBX issue.