Unable to import illustrator file into indesign as greyed out in file list even if the file is close

Hi all

Is anyone else having an issue with indesign showing greyed out (faded file name) when you go to place/import an illustrator file in indesign after working it? This is a new issue since updating software to get rid of the ai bleed issue. I have to literally quit illustrator to be able to import ai into indesign. Its almost like its still saving in background when file is closed even though file was saved before closing! 

I don't work on cloud so all on brand new M4 local files.