WSL Distro not found (is found with version 0.99.0)

[RankkaApina]

• VSCode Version: 1.104.2
• Local OS Version: Windows 11, OS build: 22631.5909
• Remote OS Version: Debian 11.11
• Remote Extension/Connection Type: WSL 1, manually installed
• Logs:

Steps to Reproduce:

1. Set wsl version to wsl 1.
2. Install Distro (Debian) manually from: https://askubuntu.com/questions/1157884/what-do-i-do-when-which-python-doesnt-show-a-location-for-python

I use WSL & VS Code on my work laptop where the environment is heavily controlled. We have no access to Microsoft Store, so WSL distro needs to be manually installed. Also, WSL 2 is not approved software, and I'm limited to WSL 1 (and I have no admin rights). I get that there is limited support for this, but the extension works, if I'm using the 0.99.0 version, after that I get a notification that no distro is found.

I can stick to the version 0.99.0 as it works, but I'm kind of hoping the manually installed distros (or maybe this is a WSL 1 issue), would not be intentionally excluded.

[Maze-fr]

Same problem, same context, same workaround, but using WSL2 and Debian 11-12-13.
We have to stick to 0.99.0 to be able to connect to our WSL.

Edit :
And after multiple times of this...