@Sudheer Thokala Welcome to Microsoft Q&A, Thank you for posting your query here!
Firstly, apologies for the delay in responding here and any inconvenience this issue may have caused.
I was able to repro the issue in my lab in both CLI and Cloud shell, I was able to create File Share
You need to edit the file: "C:\path_to_your_cli_installation\CLI2\Lib\site-packages\certifi\cacert.pem" and add the certificate of your proxy server
You need to set the environment variable REQUESTS_CA_BUNDLE to "C:\path_to_your_cli_installation\CLI2\Lib\site-packages\certifi\cacert.pem"
You can also refer to this GitHub article: https://github.com/Azure/azure-cli/blob/dev/doc/use_cli_effectively.md#working-behind-a-proxy
Hope this helps!
Kindly let us know if the above helps or you need further assistance on this issue.
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