Safe Files blocks WSL Ubuntu even after unblocked

I tried multiple WSL (Ubuntu) commands (rm, mv, cp, touch) and unblocked each as Bitdefender unblocked them. Oddly, mkdir works without Bitdefender blocking it.

However, all the commands still generate Permission Denied errors. I tried shutting down WSL and restarting and the problem persists. Bitdefender does not give a notification since unblocking but does still block file access in Safe Files locations.

I verified by turning off Safe Files (things worked instantly without even restarting WSL).

Does anyone know how to make this work properly.