Just found a workaround for the issue with avro file read operation as it seems proper configuration for dfs.adls.oauth2.access.token.provider is not setup inside. If the ADL folder is mounted on databrick notebook , then it is working . Please try following steps

1. Mount adl folder

val configs = Map(
  "dfs.adls.oauth2.access.token.provider.type" -> "ClientCredential",
  "dfs.adls.oauth2.client.id" -> "XXX",
  "dfs.adls.oauth2.credential" -> "YYY",
  "dfs.adls.oauth2.refresh.url" -> "https://login.microsoftonline.com/ZZZ/oauth2/token",
  "dfs.adls.oauth2.access.token.provider"->"org.apache.hadoop.fs.adls.oauth2.ConfCredentialBasedAccessTokenProvider") 

dbutils.fs.mount(
  source = "adl://XYZ.azuredatalakestore.net/myfolder/demo/",
  mountPoint = "/mnt/mymount",
  extraConfigs = configs)

2.Verify your file is visible on mount

dbutils.fs.ls("dbfs:/mnt/ashitabh3")

spark.read.avro("dbfs:/mnt/mymount/mydata.avro").show

I can see the records now