Versioning of rules not working as expected.

I created a rule and saved it as version 1. Later my team modified the same rule and saved as version 2. I again modified the same rule and saved it as version 3. My team removed the version 3 in the legacy designer. When we try to search for the same rule in the latest designer(\\design), we are not able to find the rule. But the rule is searchable in the legacy designer.
When my teammate moved the rule to the same location where it was created, then it shows in the legacy designer on my name and the rule is searchable even in the latest designer. Is this behavior expected? or Is it a bug in Appian version 16.2.

OriginalPostID-255197