If we have to restrict specific user from accessing the application and desktops but user cannot be removed from the AD Group and group is added to Delivery Group

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Open Powershell on the Delivery Controller
 
Run the following powershell commands:  
asnp Citrix*
Get-BrokerAccessPolicyRule -> the output of this command will show the Access Policy rules on Delivery Group basis.

For example: Running the above command on a delivery Group "ABC" would show rules for ABC_Direct and ABC_AG. If a User "XYZ" added in the AD Group and would like to restrict access to applications and desktops for this user, first enable the rule "ExcludedUserFilterEnabled" and then add the user to ExcludedUsers.

So below are the commands which to run:
Set-BrokerAccessPolicyRule -Name "ABC_AG" -ExcludedUserFilterEnabled $true
Set-BrokerAccessPolicyRule -Name "ABC_Direct" -ExcludedUserFilterEnabled $true

Now add the user to ExcludedUsers (where DIVY is the domain):

Set-BrokerAccessPolicyRule -Name "ABC_AG" -ExcludedUsers "DIVY\XYZ"
Set-BrokerAccessPolicyRule -Name "ABC_Direct" -ExcludedUsers "DIVY\XYZ"

Now when the user ‘XYZ’ logs into storefront website, no applications and desktops would be enumerated. This is Delivery Group specific.

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Problem Cause

ExcludedUserFilterEnabled needs to be enabled and user should be added to ExcludedUsers.