Arms not attaching to body

Using

Character Animator Version 23.1

Device : Macbook Pro with M1

macOS : Ventura 13.2.1

Tested with both Apple silicon and intel version.

The arms are not connecting to the origin automatically. I have tested my custom pupeet and even lots of sample puppets from adobe.

This is for the steps outline here for the timestamp https://youtu.be/hK-DjtiPzRs?t=1612

The green dot line does not appear, also moving the dragger does not change to green square box. 

Please validate if this is a bug or something has changed since this video was made.