URI malformed issue from @angular-devkit's dependency library Vite

I just created a new angular application (version - 17.3.9) using the ng new url-test-app command.

I start the application using npm start, and navigating to http://localhost:4200 works fine.

But if I add a new query param with value %_24Q3, for example, http://localhost:4200/?testParam=test%_24Q3, then I am getting the below error message:

URI malformed
at decodeURI (<anonymous>)
at viteTransformMiddleware (file:///D:/angular/url-test- app/node_modules/vite/dist/node/chunks/dep-k5wXcrSr.js:63436:19)
at call (file:///D:/angular/url-test-app/node_modules/vite/dist/node/chunks/dep-k5wXcrSr.js:42750:7)
at next (file:///D:/angular/url-test-app/node_modules/vite/dist/node/chunks/dep-k5wXcrSr.js:42694:5)
at viteHMRPingMiddleware (file:///D:/angular/url-test-app/node_modules/vite/dist/node/chunks/dep-k5wXcrSr.js:64700:13)
at call (file:///D:/angular/url-test-app/node_modules/vite/dist/node/chunks/dep-k5wXcrSr.js:42750:7)
at next (file:///D:/angular/url-test-app/node_modules/vite/dist/node/chunks/dep-k5wXcrSr.js:42694:5)
at next (file:///D:/angular/url-test-app/node_modules/vite/dist/node/chunks/dep-k5wXcrSr.js:42672:14)
at viteCachedTransformMiddleware (file:///D:/angular/url-test-app/node_modules/vite/dist/node/chunks/dep-k5wXcrSr.js:63421:9)
at call (file:///D:/angular/url-test-app/node_modules/vite/dist/node/chunks/dep-k5wXcrSr.js:42750:7


I am not able to handle this with the Angular error handler.

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