Link creates new file rather than linking to existing one

Hi folks:
I try to create a link to an existing file in a document. Instead, a link gets created but but it links to a new blank file with the same name as the one I know already exists. What am I doing wrong?

Things I have tried

I have tried both starting to type the name of the file and dragging it from the folder list. In both cases, even though I can see the file exists, a brand new blank file gets created instead. Help please.

What I’m trying to do

Try starting with double brackets [[. You should see a menu appearing showing a list of files. As you begin typing the name of your file, you start narrowing the options. Check out these screenshots

Thanks PR-C. As you can see on the right, I start the double square brackets. I see the file I want to link to (in this case A Skeptical Take on the AI Revolution) but, when the link goes in it points to a blank file with the same name, not the file I can see exists.

Does this happen in the sandbox vault (found in the help menu)?