Hello @Arun Nair,
I’m glad to hear that your issue has been resolved, and thank you for updating us so that others experiencing the same issue can easily reference this! Since the Microsoft Q&A community has a policy that "The question author cannot accept their own answer. They can only accept answers by others ", I'll repost your solution in case you'd like to "Accept " the answer.
Issue: Accepting Recommendations on Access Review for Entra ID Access Packages Throws an Error
Solution: The issue was resolved automatically after our engineering team investigated and released a fix on their end.
If you have any other questions or are still running into more issues, please let me know. Thank you again for your time and patience throughout this issue.
Please remember to "Accept Answer" if any answer/reply helped, so that others in the community facing similar issues can easily find the solution.
Thanks,
Raja Pothuraju.