Guys, thank you for the answers.
Brenden, I forgot to mention that I am trying to update the existing file with another one with same name. In my case was the opposite. If I update the existing file by another one with different name, it worked. At least in some tests I did. But I believe that what was happening in my case was the situation Juraj explained. Curious thing, it would fit for updates by file with different names also.
Juraj, your explanation make sense. Yes we share the Azure Storage with Admin and FE app. I unchecked the 'media file' as you suggested and it worked.
Thanks a lot guys!
Have a great one!