diff --git a/src/sdk/namespace_fs.js b/src/sdk/namespace_fs.js
index f825ca0225..60b49d32f3 100644
--- a/src/sdk/namespace_fs.js
+++ b/src/sdk/namespace_fs.js
@@ -1388,7 +1388,7 @@ class NamespaceFS {
         dbg.log1('NamespaceFS._finish_upload:', open_mode, file_path, upload_path, fs_xattr);
 
         if (!same_inode && !part_upload) {
-            await this._move_to_dest(fs_context, upload_path, file_path, target_file, open_mode, params.key);
+            await this._move_to_dest(fs_context, upload_path, file_path, target_file, open_mode, params.key, is_dir_content);
         }
 
         // when object is a dir, xattr are set on the folder itself and the content is in .folder file
@@ -1421,13 +1421,16 @@ class NamespaceFS {
     }
 
     // move to dest GPFS (wt) / POSIX (w / undefined) - non part upload
-    async _move_to_dest(fs_context, source_path, dest_path, target_file, open_mode, key) {
+    async _move_to_dest(fs_context, source_path, dest_path, target_file, open_mode, key, is_dir_content) {
+        dbg.log2('_move_to_dest', fs_context, source_path, dest_path, target_file, open_mode, key, is_dir_content);
         let retries = config.NSFS_RENAME_RETRIES;
         // will retry renaming a file in case of parallel deleting of the destination path
         for (;;) {
             try {
                 await native_fs_utils._make_path_dirs(dest_path, fs_context);
-                if (this._is_versioning_disabled()) {
+                if (this._is_versioning_disabled() ||
+                    (this._is_versioning_enabled() && is_dir_content)) {
+                // dir_content is not supported in versioning, hence we will treat it like versioning disabled
                     if (open_mode === 'wt') {
                         await target_file.linkfileat(fs_context, dest_path);
                     } else {
diff --git a/src/test/unit_tests/test_bucketspace_versioning.js b/src/test/unit_tests/test_bucketspace_versioning.js
index a02e6ec1a2..9f3cab657a 100644
--- a/src/test/unit_tests/test_bucketspace_versioning.js
+++ b/src/test/unit_tests/test_bucketspace_versioning.js
@@ -339,6 +339,21 @@ mocha.describe('bucketspace namespace_fs - versioning', function() {
                 }
                 assert.deepEqual(res_version_ids, res_put_version_ids);
             });
+
+            // dir_content is not supported in versioning, but we want to make sure there are no errors
+            mocha.it('put object - versioning enabled - directory content', async function() {
+                await s3_uid6.putBucketVersioning({ Bucket: nested_keys_bucket_name, VersioningConfiguration: { MFADelete: 'Disabled', Status: 'Enabled' } });
+                const key_as_dir_content = '/a/b/c/';
+                const size = 4; // in the original issue the error started on the 3rd PUT of dir content
+                const res_put_object = [];
+                for (let i = 0; i < size; i++) {
+                    const res = await s3_uid6.putObject({ Bucket: nested_keys_bucket_name, Key: key_as_dir_content, Body: body1 });
+                    res_put_object.push(res);
+                }
+                assert(res_put_object.length === size);
+                const check_version_id_exists = res_put_object.every(res => res.VersionId !== undefined);
+                assert.ok(check_version_id_exists);
+            });
         });
 
         mocha.describe('mpu object', function() {