diff --git a/modules/distribution/resources/api_templates/velocity_template.xml b/modules/distribution/resources/api_templates/velocity_template.xml
index a899fabc43..c302f949fd 100644
--- a/modules/distribution/resources/api_templates/velocity_template.xml
+++ b/modules/distribution/resources/api_templates/velocity_template.xml
@@ -248,12 +248,22 @@ $in_sequences.get("$resource.getUriTemplate()").get($uri)
                     #if( $endpoint_config.get("sandbox"))
                         #set( $sandboxConf = $endpoint_config.get("sandbox") )
                         #set( $sequenceKey = $sandboxConf.get("sequence_name"))
-                        <sequence key="$sequenceKey"/>
+                        <filter source="$ctx:AM_KEY_TYPE" regex="SANDBOX">
+                            <then>
+                                <sequence key="$sequenceKey"/>
+                            </then>
+                            <else/>
+                        </filter>
                     #end
                     #if( $endpoint_config.get("production"))
                         #set( $sandboxConf = $endpoint_config.get("production") )
                         #set( $sequenceKey = $sandboxConf.get("sequence_name"))
-                        <sequence key="$sequenceKey"/>
+                        <filter source="$ctx:AM_KEY_TYPE" regex="PRODUCTION">
+                            <then>
+                                <sequence key="$sequenceKey"/>
+                            </then>
+                            <else/>
+                        </filter>
                     #end
                 ## AWS Lambda: start
                 #elseif( $endpoint_config.get("endpoint_type") == 'awslambda' )
@@ -345,7 +355,7 @@ $in_sequences.get("$resource.getUriTemplate()").get($uri)
                 #end
 </inSequence>
 <outSequence>
-                #if( $isSoapToRestMode && $endpoint_config.get("endpoint_type") == 'custom_backend' )
+                #if( $isSoapToRestMode )
                     #foreach( $uri in $out_sequences.get("$resource.getUriTemplate()").keySet() )
 $out_sequences.get("$resource.getUriTemplate()").get($uri)
                     #end
@@ -354,7 +364,7 @@ $out_sequences.get("$resource.getUriTemplate()").get($uri)
                 #if( $responseCacheEnabled )
 <cache scope="per-host" collector="true"/>
                 #end
-if( $endpoint_config.get("endpoint_type") == 'custom_backend' )
+if( $endpoint_config.get("endpoint_type") != 'custom_backend' )
 <filter source="$ctx:AM_KEY_TYPE" regex="$filterRegex">
     <then>
                     #if($endpointSecurityProd.clientId && ($endpointSecurityProd.type == "oauth" || $endpointSecurityProd.type == "OAUTH"))