Hi @Serah Githambo
Please understand that our forum is a public platform, and we will modify your question to cover your organization's domain name in the description. Please note that you should hide this personal or organizational information the next time you post a bug or some information to protect personal data.
Thank you for posting question to Microsoft Q&A Forum.
According to this issue, may I know if you are also the Global Administrator of this tenant? Did you try to release this user from Microsoft 365 Security & Compliance Center > Review > Restricted Identity before and this user get blocked again?
For this user, it's recommended you should perform a password reset and make sure that Multifactor Authentication (MFA) is enabled upon logging into this account.
Please also check on your Outbound Anti-spam Policy Settings if this has any limits or suspecting factor.
If you have not reached out to Microsoft Support Team within Microsoft 365 Admin Center before, consider raising ticket to them if this issue persists even after the given suggestion above. They should be able to collect information from your end and they could investigate this issue. As I am forum moderator, I do not have access to Microsoft internal system to check on your side.
Please let me know if you have any new updates, even from the Microsoft Support Team.
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