diff --git a/core/domain/src/main/java/com/mifos/core/domain/useCases/LoginUseCase.kt b/core/domain/src/main/java/com/mifos/core/domain/useCases/LoginUseCase.kt
index 8d6ea671ef..391a5033c9 100644
--- a/core/domain/src/main/java/com/mifos/core/domain/useCases/LoginUseCase.kt
+++ b/core/domain/src/main/java/com/mifos/core/domain/useCases/LoginUseCase.kt
@@ -12,6 +12,7 @@ package com.mifos.core.domain.useCases
 import com.mifos.core.common.utils.Resource
 import com.mifos.core.data.repository.LoginRepository
 import kotlinx.coroutines.flow.Flow
+import kotlinx.coroutines.flow.catch
 import kotlinx.coroutines.flow.flow
 import org.openapitools.client.models.PostAuthenticationResponse
 
@@ -25,12 +26,10 @@ class LoginUseCase(private val loginRepository: LoginRepository) {
         username: String,
         password: String,
     ): Flow<Resource<PostAuthenticationResponse>> = flow {
-        try {
-            emit(Resource.Loading())
-            val result = loginRepository.login(username, password)
-            emit(Resource.Success(result))
-        } catch (e: Exception) {
-            emit(Resource.Error(e.message.toString()))
-        }
+        emit(Resource.Loading())
+        val result = loginRepository.login(username, password)
+        emit(Resource.Success(result))
+    }.catch { e ->
+        emit(Resource.Error(e.message.toString()))
     }
 }
diff --git a/feature/auth/src/main/java/com/mifos/feature/auth/login/LoginViewModel.kt b/feature/auth/src/main/java/com/mifos/feature/auth/login/LoginViewModel.kt
index 6e6fa2f078..2c2f1e3232 100644
--- a/feature/auth/src/main/java/com/mifos/feature/auth/login/LoginViewModel.kt
+++ b/feature/auth/src/main/java/com/mifos/feature/auth/login/LoginViewModel.kt
@@ -16,6 +16,7 @@ import androidx.lifecycle.viewModelScope
 import com.mifos.core.common.utils.Network
 import com.mifos.core.common.utils.Resource
 import com.mifos.core.datastore.PrefManager
+import com.mifos.core.domain.useCases.LoginUseCase
 import com.mifos.core.domain.useCases.PasswordValidationUseCase
 import com.mifos.core.domain.useCases.UsernameValidationUseCase
 import com.mifos.core.model.getInstanceUrl
@@ -41,7 +42,7 @@ class LoginViewModel @Inject constructor(
     private val usernameValidationUseCase: UsernameValidationUseCase,
     private val passwordValidationUseCase: PasswordValidationUseCase,
     private val baseApiManager: BaseApiManager,
-    private val loginUseCase: com.mifos.core.domain.useCases.LoginUseCase,
+    private val loginUseCase: LoginUseCase,
 ) :
     ViewModel() {
 
@@ -99,7 +100,12 @@ class LoginViewModel @Inject constructor(
                     }
 
                     is Resource.Success -> {
-                        result.data?.let { onLoginSuccessful(it, username, password) }
+                        if (result.data?.authenticated == true && result.data != null) {
+                            onLoginSuccessful(result.data!!, username, password)
+                        } else {
+                            _loginUiState.value =
+                                LoginUiState.ShowError(R.string.feature_auth_error_login_failed)
+                        }
                     }
                 }
             }