I have reached out via PM to investigate the new issue that you are experiencing. Please respond to that directly so we can continue to troubleshoot.
I'm glad that you were able to resolve your initial issue and thank you for posting your solution so that others experiencing the same thing can easily reference this! Since the Microsoft Q&A community has a policy that "The question author cannot accept their own answer. They can only accept answers by others ", I'll repost your solution in case you'd like to "Accept " the answer.
Issue: You were receiving an error when attempting to deploy Azure Stack HCI 23H2.
The ActiveDirectory user account 'labnt.local\asadmin' is ineleigible to be used as a deployment user: the user is missing the GenericAll permission to the organization unit 'OU=ASHCI,DC=labNT,DC=local'
Solution: Updating the AD preparation modules with the commands below resolve the issue:
Install-Module AsHciADArtifactsPreCreationTool -Repository PSGallery -Force
New-HciAdObjectsPreCreation -AzureStackLCMUserCredential (Get-Credential) -AsHciOUName "OU=DEMO,DC=labNT,DC=local"
If you have any other questions or are still running into more issues, please let me know. Thank you again for your time and patience throughout this issue.
Please remember to "Accept Answer" if any answer/reply helped, so that others in the community facing similar issues can easily find the solution.