Problem updating list items with new team site using CSOM

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We have a SharePoint provided hosted App with a WCF service hosted in azure. From the service we need to do some list CRUD operation in the App. We use an access token to prepare the SharePoint context.  We generate the access token using ADAL and set delegate permission in active directory app in azure.  Apparently, there is a difference in the permission in the “old” classic Team Site and the new SharePoint Team site, that is based on O365 Group. We are getting an access denied error when the app is running on the new SharePoint Team site.  We are getting the error when we try to update list items using CSOM.   I am not sure if we need to change the permission in the active directory app or need to activate any new feature in new team site.

 

Basically all works when we use the classic Team site and we get an access error using the new Team sites.

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