System is stuck in maintenance mode after enabling kernel.modules_disabled parameter

Solution Verified - Updated -

Issue

  • Mount fails with error 'unknown filesystem type 'ext4/vfat'

  • New modules are not loading into the system

    # insmod kvm
insmod: ERROR: could not insert module kvm: Operation not permitted

  • System doesn't boot, the following message is seen on the console

    modprobe: ERROR: could not insert 'dm_mod': Operation not permitted

Environment

  • Red Hat Enterprise Linux 6
  • Red Hat Enterprise Linux 7
  • Red Hat Enterprise Linux 8

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