Webmin's file manager's editor converting html special characters making the next save detrimental

Hi Ilia,
Thank you again for your hint. Look, I did what you said but I am still hitting the same problem.

I even restarted webmin after saving the changes for this setting but still no luck…

Whether ISO, UTF-8 or other charset, the editor always open the file and immediately convert all html special characters to their corresponding symbols.

As I said before, even non breaking spaces (ampersandnbsp;) are converted to spaces, and copy-pasted as spaces, instead of being in their corresponding html form.

I am pretty sure that this was not happening like 2 months before.

Again, pasting html characters and saving them is working however the problem is happening only while opening the file. For example, if I open a page and immediately save it, all my html special characters will be written to disk directly as their displaying form instead of their html form (check the attached image).

Is someone experiencing this as well ?

Thank you for your help.