diff --git a/testutil/keeper/emissions.go b/testutil/keeper/emissions.go
index 988859c762..d016bc3740 100644
--- a/testutil/keeper/emissions.go
+++ b/testutil/keeper/emissions.go
@@ -105,3 +105,9 @@ func EmissionKeeperWithMockOptions(
 
 	return k, ctx, sdkKeepers, zetaKeepers
 }
+
+func GetEmissionsBankMock(t testing.TB, keeper *keeper.Keeper) *emissionsmocks.EmissionBankKeeper {
+	cbk, ok := keeper.GetBankKeeper().(*emissionsmocks.EmissionBankKeeper)
+	require.True(t, ok)
+	return cbk
+}
diff --git a/x/emissions/keeper/msg_server_withdraw_emissions.go b/x/emissions/keeper/msg_server_withdraw_emissions.go
index 25703de0c0..1fa1287540 100644
--- a/x/emissions/keeper/msg_server_withdraw_emissions.go
+++ b/x/emissions/keeper/msg_server_withdraw_emissions.go
@@ -23,7 +23,6 @@ func (k msgServer) WithdrawEmission(goCtx context.Context, msg *types.MsgWithdra
 	if err != nil {
 		return nil, errorsmod.Wrap(types.ErrInvalidAddress, err.Error())
 	}
-
 	// check if the undistributed rewards pool has enough balance to process this request.
 	// This is just a preliminary check, the actual processing at endblock might still fail if the pool balance gets affected.
 	undistributedRewardsBalance := k.GetBankKeeper().GetBalance(ctx, types.UndistributedObserverRewardsPoolAddress, config.BaseDenom)
diff --git a/x/emissions/keeper/msg_server_withdraw_emissions_test.go b/x/emissions/keeper/msg_server_withdraw_emissions_test.go
index 3fbf4cfda3..f547524b99 100644
--- a/x/emissions/keeper/msg_server_withdraw_emissions_test.go
+++ b/x/emissions/keeper/msg_server_withdraw_emissions_test.go
@@ -5,6 +5,7 @@ import (
 
 	sdkmath "cosmossdk.io/math"
 	sdk "github.com/cosmos/cosmos-sdk/types"
+	"github.com/stretchr/testify/mock"
 	"github.com/stretchr/testify/require"
 	"github.com/zeta-chain/zetacore/cmd/zetacored/config"
 	keepertest "github.com/zeta-chain/zetacore/testutil/keeper"
@@ -33,7 +34,7 @@ func TestMsgServer_WithdrawEmission(t *testing.T) {
 		require.Equal(t, withdrawableEmission.Amount.String(), balance)
 	})
 
-	t.Run("unable to create withdraw emissions with invalid address", func(t *testing.T) {
+	t.Run("unable to withdraw emissions with invalid address", func(t *testing.T) {
 		k, ctx, sk, _ := keepertest.EmissionsKeeper(t)
 
 		msgServer := keeper.NewMsgServerImpl(*k)
@@ -49,7 +50,7 @@ func TestMsgServer_WithdrawEmission(t *testing.T) {
 		require.ErrorIs(t, err, types.ErrInvalidAddress)
 	})
 
-	t.Run("unable to create withdraw emissions if undistributed rewards pool does not have enough balance", func(t *testing.T) {
+	t.Run("unable to withdraw emissions if undistributed rewards pool does not have enough balance", func(t *testing.T) {
 		k, ctx, _, _ := keepertest.EmissionsKeeper(t)
 
 		msgServer := keeper.NewMsgServerImpl(*k)
@@ -63,7 +64,7 @@ func TestMsgServer_WithdrawEmission(t *testing.T) {
 		require.ErrorIs(t, err, types.ErrRewardsPoolDoesNotHaveEnoughBalance)
 	})
 
-	t.Run("unable to create withdraw emissions with invalid amount", func(t *testing.T) {
+	t.Run("unable to withdraw emissions with invalid amount", func(t *testing.T) {
 		k, ctx, _, _ := keepertest.EmissionsKeeper(t)
 		msgServer := keeper.NewMsgServerImpl(*k)
 		withdrawableEmission := sample.WithdrawableEmissions(t)
@@ -75,4 +76,35 @@ func TestMsgServer_WithdrawEmission(t *testing.T) {
 		require.ErrorIs(t, err, types.ErrUnableToWithdrawEmissions)
 	})
 
+	t.Run("unable to withdraw emissions if SendCoinsFromModuleToAccount", func(t *testing.T) {
+		k, ctx, sk, _ := keepertest.EmissionKeeperWithMockOptions(t, keepertest.EmissionMockOptions{
+			UseBankMock: true,
+		})
+		bankMock := keepertest.GetEmissionsBankMock(t, k)
+		msgServer := keeper.NewMsgServerImpl(*k)
+
+		withdrawableEmission := sample.WithdrawableEmissions(t)
+		k.SetWithdrawableEmission(ctx, withdrawableEmission)
+		err := sk.BankKeeper.MintCoins(ctx, types.UndistributedObserverRewardsPool, sdk.NewCoins(sdk.NewCoin(config.BaseDenom, withdrawableEmission.Amount)))
+		require.NoError(t, err)
+
+		address, err := sdk.AccAddressFromBech32(withdrawableEmission.Address)
+		require.NoError(t, err)
+
+		bankMock.On("SendCoinsFromModuleToAccount",
+			ctx, types.UndistributedObserverRewardsPool, address, sdk.NewCoins(sdk.NewCoin(config.BaseDenom, withdrawableEmission.Amount))).
+			Return(types.ErrUnableToWithdrawEmissions).Once()
+		bankMock.On("GetBalance",
+			ctx, mock.Anything, config.BaseDenom).
+			Return(sdk.NewCoin(config.BaseDenom, withdrawableEmission.Amount), nil).Once()
+		_, err = msgServer.WithdrawEmission(ctx, &types.MsgWithdrawEmission{
+			Creator: withdrawableEmission.Address,
+			Amount:  withdrawableEmission.Amount,
+		})
+
+		require.ErrorIs(t, err, types.ErrUnableToWithdrawEmissions)
+		balance := sk.BankKeeper.GetBalance(ctx, sdk.MustAccAddressFromBech32(withdrawableEmission.Address), config.BaseDenom).Amount.String()
+		require.Equal(t, sdk.ZeroInt().String(), balance)
+	})
+
 }