Rules not running on both Apple Mail and MS Outlook

Last week, I decided to move Macbook with macOS Monterey after over 30 years of Windows experience.

I setup my company emails which are gmail based onto Apple Mail first but rules and HTML signature do not worked properly.

Then I setup MS Outlook for MAC (old outlook) due to advises which i confirmed that new outlook does not run rules. But again do not run rules.

Rules are very simple;

• If the adress is xxx move it to folder xxx

But Apple mail shows the attached failure

Failed to move “You have a new e-Invoice” message to “Parachute” mailbox

Mail could not open this mailbox on server “p33-imap.mail.me.com”.

The server returned the following error: Mailbox does not exist (took 11 ms)

I could copy only Apple Mail details, because MS Outlook does not show any failure message.

How could I manage it?

I will appreciate if you advise.

[Image Edited by Moderator to Remove Personal Information]