File loader produces doubles from my assets and references the not working one

I am following the tutorial here and by following all of the instructions and building my file-loader produces two jpg files, one of which is always broken and references the broken one.
Here the Man.jpg is the original jpg and another one is generated one which I cannot open.

Here is how my webpack config looks like. I cannot quite find the way to solve this problem and find analogs in the internet.

The builded directory looks like this. with the broken file being generated outside of the folder.

I have found a good answer for that here, apparently now some loaders a replaced by Asset modules. webpack file-loader duplicates files - Stack Overflow

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