diff --git a/cypress/e2e/finance/funds/money-transfer-between-funds-from-different-ledgers-is-successful-if-budget-from-already-has-zero-money-allocation.cy.js b/cypress/e2e/finance/funds/money-transfer-between-funds-from-different-ledgers-is-successful-if-budget-from-already-has-zero-money-allocation.cy.js
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+++ b/cypress/e2e/finance/funds/money-transfer-between-funds-from-different-ledgers-is-successful-if-budget-from-already-has-zero-money-allocation.cy.js
@@ -0,0 +1,101 @@
+import permissions from '../../../support/dictionary/permissions';
+import {
+  Budgets,
+  FinanceHelper,
+  FiscalYears,
+  Funds,
+  Ledgers,
+} from '../../../support/fragments/finance';
+import TopMenu from '../../../support/fragments/topMenu';
+import Users from '../../../support/fragments/users/users';
+import InteractorsTools from '../../../support/utils/interactorsTools';
+import getRandomPostfix from '../../../support/utils/stringTools';
+
+describe('Finance: Funds', () => {
+  const firstFiscalYear = { ...FiscalYears.defaultUiFiscalYear };
+  const defaultLedger = { ...Ledgers.defaultUiLedger };
+  const fromFund = { ...Funds.defaultUiFund };
+  const toFund = {
+    name: `autotest_fund2_${getRandomPostfix()}`,
+    code: getRandomPostfix(),
+    externalAccountNo: getRandomPostfix(),
+    fundStatus: 'Active',
+    description: `This is fund created by E2E test automation script_${getRandomPostfix()}`,
+  };
+
+  const toBudget = Budgets.getDefaultBudget();
+  const fromBudget = Budgets.getDefaultBudget();
+  let user;
+
+  before('Create test data', () => {
+    cy.getAdminToken().then(() => {
+      FiscalYears.createViaApi(firstFiscalYear).then((firstFiscalYearResponse) => {
+        firstFiscalYear.id = firstFiscalYearResponse.id;
+        toBudget.fiscalYearId = firstFiscalYearResponse.id;
+        fromBudget.fiscalYearId = firstFiscalYearResponse.id;
+        defaultLedger.fiscalYearOneId = firstFiscalYear.id;
+        Ledgers.createViaApi(defaultLedger).then((ledgerResponse) => {
+          defaultLedger.id = ledgerResponse.id;
+          fromFund.ledgerId = defaultLedger.id;
+          toFund.ledgerId = defaultLedger.id;
+
+          Funds.createViaApi(toFund).then((fundResponse) => {
+            toFund.id = fundResponse.fund.id;
+            toBudget.fundId = fundResponse.fund.id;
+            Budgets.createViaApi(toBudget);
+            fromFund.allocatedToIds = [fundResponse.fund.id];
+            Funds.createViaApi(fromFund).then((secondFundResponse) => {
+              fromFund.id = secondFundResponse.fund.id;
+              fromBudget.fundId = secondFundResponse.fund.id;
+              Budgets.createViaApi(fromBudget);
+            });
+          });
+        });
+      });
+    });
+
+    cy.createTempUser([
+      permissions.uiFinanceCreateAllocations.gui,
+      permissions.uiFinanceViewFundAndBudget.gui,
+    ]).then((userProperties) => {
+      user = userProperties;
+
+      cy.login(userProperties.username, userProperties.password, {
+        path: TopMenu.fundPath,
+        waiter: Funds.waitLoading,
+      });
+    });
+  });
+
+  after('Delete test data', () => {
+    cy.getAdminToken();
+    Budgets.deleteViaApi(toBudget.id);
+    Budgets.deleteViaApi(fromBudget.id);
+    Funds.deleteFundViaApi(toFund.id);
+    Funds.deleteFundViaApi(fromFund.id);
+    Ledgers.deleteledgerViaApi(defaultLedger.id);
+    FiscalYears.deleteFiscalYearViaApi(firstFiscalYear.id);
+    Users.deleteViaApi(user.userId);
+  });
+
+  it(
+    'C535516 Money transfer between funds from different ledgers is successful if budget "From" already has 0.00 money allocation (thunderjet)',
+    { tags: ['extendedPath', 'thunderjet'] },
+    () => {
+      FinanceHelper.searchByName(fromFund.name);
+      Funds.selectFund(fromFund.name);
+
+      Funds.checkBudgetDetails([{ ...fromBudget, available: fromBudget.allocated }]);
+      Funds.selectBudgetDetails();
+
+      const amount = '100';
+      Funds.moveAllocation({ fromFund, toFund, amount });
+      InteractorsTools.checkCalloutErrorMessage(
+        `$${amount}.00 was not successfully allocated to the budget ${toBudget.name} because it exceeds the total allocation amount of ${fromBudget.name} and ledger fund restrictions are active`,
+      );
+      Funds.closeTransferModal();
+      Funds.closeBudgetDetails();
+      Funds.checkBudgetDetails([{ ...fromBudget, available: fromBudget.allocated }]);
+    },
+  );
+});