Host key does not match configured key

I am using a PowerShell script to perform certain actions but when I am running the script it's throwing an error:

hostkey does not match configured key

Also when I'm trying to access the server via WinSCP I am not able to with an error:

server refused the key.

Could someone please help me in resolving this?

For a start, make sure you have the latest version of WinSCP.
If that does not help, please post a session log file.

Exception calling "open" with 1 argument: Disconnected: No supported authentication method available (server sent: publickey)
Using username "xxx"
Server refused our key.
Authentication failed.

I am getting this error while running my PowerShell script but through WinSCP GUI I am able to login. I am unable to identify the issue and also the same script works fine for non production environments.

As before, please post session log file. Both from the code and the GUI.