Hi Vikash
Thanks for the response i have raised a ticket with SAG and it is now solved.
Azure generates JWT tokens even if we select oAuth details. So we had to do the below steps
In the local introspection gave the url of issuer generated from token(meaning Azure is giving one introspection url but when the token is requested the iss is different in my case atleast
iss: https://sts.windows.net/xxxxxxxxxxxxx/
when i click on discover in 3rd party authorization
Azure is giving out https://login.microsoftonline.com/xxxxxxxxxxx/v2.0
Once the token is generated from Azure and when the token is passed to API… SAG asked us to keep the policy as JWT only then it will work.
oAuth token from Azure is JWT
Policy for API should be JWT as per SAG
Also in Application created a strategy and gave the Audience as the aud from JWT
Now the output is successful
If i change the policy back to oAuth in API
Then the same error
So the final recommendation from SAG is oAuth tokens from Azure are JWT tokens and in API we need to select the policy as JWT
#webMethods-API-GW#API-Management#webMethods#API-Gateway#Azure-Authorization-Server#oauth2