Unable to send as / send on behalf a group email in Outlook App

ISSUE: users unable to send as / send on behalf a group email.
getting error: This message could not be sent. You do not have the permission to send the message on behalf of the specified user.

WORKAROUND: The issue is only impacting users on classic Outlook App. The workaround is to use webmail (office.com) or New Outlook App (toggle the option on the upper right corner of Outlook to use New Outlook)

Webmail via office.com:

New Outlook: