I upgraded the firmware for D6000 with Windows machine and fully power cycled the docking station before I plugged back to MBA M1. Now, I don't have to use USB-C hub between MBA M1 and D6000 - that was my workaround to overcome the issue.
Now, it works great with 3 monitors - 1 HDMI (alt-mode) and 2 DisplayPorts.
Only thing I miss now is display rotation! Once the rotation feature works, I can call it complete.
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