@Murali Jillellamudi - Thanks for the question and using MS Q&A platform.
Please confrm if you have a Lake database with name: DATABASE-GOLD
as per the error message it looks the name mismatch with the enitity already existed with the same name?
Could you please share the screenshot of the Data tab which contains Lake database and SQL database as shown below?
As per the repro from my end, I'm able to create lake database with name: Database-Gold
as shown below:
Hope this helps. Do let us know if you any further queries.