diff --git a/idea/src/org/jetbrains/kotlin/idea/inspections/blockingCallsDetection/CoroutineNonBlockingContextChecker.kt.183 b/idea/src/org/jetbrains/kotlin/idea/inspections/blockingCallsDetection/CoroutineNonBlockingContextChecker.kt.183
index 4fb01f7e247..63c07dffaa7 100644
--- a/idea/src/org/jetbrains/kotlin/idea/inspections/blockingCallsDetection/CoroutineNonBlockingContextChecker.kt.183
+++ b/idea/src/org/jetbrains/kotlin/idea/inspections/blockingCallsDetection/CoroutineNonBlockingContextChecker.kt.183
@@ -44,7 +44,7 @@ class CoroutineNonBlockingContextChecker : NonBlockingContextChecker {
             .firstOrNull { it is KtLambdaExpression && it.analyze().get(BindingContext.LAMBDA_INVOCATIONS, it) == null }
         val containingArgument = PsiTreeUtil.getParentOfType(containingLambda, KtValueArgument::class.java)
         if (containingArgument != null) {
-            val callExpression = PsiTreeUtil.getParentOfType(element, KtCallExpression::class.java) ?: return false
+            val callExpression = PsiTreeUtil.getParentOfType(containingArgument, KtCallExpression::class.java) ?: return false
             val call = callExpression.resolveToCall(BodyResolveMode.FULL) ?: return false
 
             val hasBlockingAnnotation = call.getFirstArgument()?.resolveToCall()
diff --git a/idea/testData/inspections/blockingCallsDetection/NestedFunctionsInsideSuspendLambda.kt.183 b/idea/testData/inspections/blockingCallsDetection/NestedFunctionsInsideSuspendLambda.kt.183
new file mode 100644
index 00000000000..ca3c749a015
--- /dev/null
+++ b/idea/testData/inspections/blockingCallsDetection/NestedFunctionsInsideSuspendLambda.kt.183
@@ -0,0 +1,11 @@
+fun <T> runBlocking(<warning descr="[UNUSED_PARAMETER] Parameter 'block' is never used">block</warning>: suspend CoroutineScope.() -> T): T = TODO()
+
+class CoroutineScope
+
+fun test() {
+    runBlocking {
+        repeat(1) {
+            java.lang.Thread.<warning descr="Inappropriate blocking method call">sleep</warning>(2)
+        }
+    }
+}
\ No newline at end of file
diff --git a/idea/tests/org/jetbrains/kotlin/idea/inspections/CoroutineNonBlockingontextDetectionTest.kt.183 b/idea/tests/org/jetbrains/kotlin/idea/inspections/CoroutineNonBlockingontextDetectionTest.kt.183
index 04ac6cac445..a5c8a189bda 100644
--- a/idea/tests/org/jetbrains/kotlin/idea/inspections/CoroutineNonBlockingontextDetectionTest.kt.183
+++ b/idea/tests/org/jetbrains/kotlin/idea/inspections/CoroutineNonBlockingontextDetectionTest.kt.183
@@ -38,4 +38,9 @@ class CoroutineNonBlockingontextDetectionTest: KotlinLightCodeInsightFixtureTest
         myFixture.configureByFile("LambdaReceiverTypeCheck.kt")
         myFixture.testHighlighting(true, false, false, "LambdaReceiverTypeCheck.kt")
     }
+
+    fun testNestedFunctionsInsideSuspendLambda() {
+        myFixture.configureByFile("NestedFunctionsInsideSuspendLambda.kt")
+        myFixture.testHighlighting(true, false, false, "NestedFunctionsInsideSuspendLambda.kt")
+    }
 }
\ No newline at end of file