Hi,
I think there is a loop getting created in the VNET 1 connection. You can override it with 2 ways.
- Create a UDR with 0.0.0.0/0 next hop Internet and associate it on to the VM1 subnet.
- Or do not associate the default routing table to the VNET1 connection which has 0.0.0.0/0 next hop as your NVA Interface.
Regards,
Karthik Srinivas