diff --git a/clients/python/scripts/check_oci_dir_structure.py b/clients/python/scripts/check_oci_dir_structure.py
new file mode 100644
index 0000000000..5240322bf1
--- /dev/null
+++ b/clients/python/scripts/check_oci_dir_structure.py
@@ -0,0 +1,106 @@
+#!/usr/bin/env python3
+"""Test that save_to_oci_registry preserves nested directory structure
+
+Ref: test_save_to_oci_registry_with_skopeo in tests/test_utils.py:86
+
+Usage:
+
+  python scripts/check_oci_dir_structure.py
+
+  # or
+
+  poetry run python scripts/check_oci_dir_structure.py
+"""
+
+import json
+import subprocess
+import sys
+import tarfile
+import tempfile
+from pathlib import Path
+
+from model_registry.utils import save_to_oci_registry
+
+OCI_REF = "quay.io/jburdo/test1:dir-structure-test"
+BASE_IMAGE = "quay.io/mmortari/hello-world-wait:latest"
+
+EXPECTED_PATHS = {
+    "README.md",
+    "onnx/model.onnx",
+    "onnx/weights/quantized.bin",
+    "tokenizer/vocab.txt",
+    "tokenizer/config.json",
+}
+
+with tempfile.TemporaryDirectory() as tmpdir:
+    tmp = Path(tmpdir)
+    model_dir = tmp / "my-model"
+    model_dir.mkdir()
+
+    # Create nested model structure
+    (model_dir / "README.md").write_text("# Test Model\n")
+    (model_dir / "onnx").mkdir()
+    (model_dir / "onnx" / "model.onnx").write_bytes(b"\x00" * 64)
+    (model_dir / "onnx" / "weights").mkdir()
+    (model_dir / "onnx" / "weights" / "quantized.bin").write_bytes(b"\x01" * 32)
+    (model_dir / "tokenizer").mkdir()
+    (model_dir / "tokenizer" / "vocab.txt").write_text("hello\nworld\n")
+    (model_dir / "tokenizer" / "config.json").write_text('{"type": "test"}\n')
+
+    # Push
+    print(f"Pushing to {OCI_REF}...")
+    save_to_oci_registry(
+        base_image=BASE_IMAGE,
+        oci_ref=OCI_REF,
+        model_files_path=model_dir,
+        dest_dir=tmp / "oci-dest",
+        backend="skopeo",
+    )
+
+    # Pull back
+    print("Pulling back...")
+    pull_dir = tmp / "oci-pull"
+    pull_dir.mkdir()
+    subprocess.run(
+        ["skopeo", "copy", f"docker://{OCI_REF}", f"oci:{pull_dir}:latest"],
+        check=True,
+        capture_output=True,
+    )
+
+    # Collect all file paths from tar layers (skip base image layer 0)
+    index = json.loads((pull_dir / "index.json").read_text())
+    algo, digest = index["manifests"][0]["digest"].split(":")
+    manifest = json.loads((pull_dir / "blobs" / algo / digest).read_text())
+
+    found_paths = set()
+    layer_num = 0
+    print("\nModel layers:")
+    for layer in manifest["layers"]:
+        algo, digest = layer["digest"].split(":")
+        blob = pull_dir / "blobs" / algo / digest
+        try:
+            with tarfile.open(blob, "r:*") as tar:
+                model_entries = [
+                    m for m in tar.getmembers() if m.name.startswith("models/")
+                ]
+                if not model_entries:
+                    continue
+                print(f"  layer {layer_num} ({digest[:12]})")
+                for m in sorted(model_entries, key=lambda m: m.name):
+                    path = m.name.removeprefix("models/")
+                    kind = "dir" if m.isdir() else "file"
+                    print(f"    {'└── ' if m == model_entries[-1] else '├── '}{path}  ({kind})")
+                    found_paths.add(path)
+                layer_num += 1
+        except tarfile.TarError:
+            continue
+
+    # Report
+    print(f"\nExpected: {sorted(EXPECTED_PATHS)}")
+    print(f"Found:    {sorted(found_paths)}")
+    missing = EXPECTED_PATHS - found_paths
+    if missing:
+        print(f"FAIL - missing paths: {sorted(missing)}")
+        sys.exit(1)
+    else:
+        print("PASS - all expected paths preserved")
diff --git a/clients/python/src/model_registry/utils.py b/clients/python/src/model_registry/utils.py
index 4ce1daf4d3..cb54e8dcd8 100644
--- a/clients/python/src/model_registry/utils.py
+++ b/clients/python/src/model_registry/utils.py
@@ -393,12 +393,9 @@ def save_to_oci_registry(  # noqa: C901 ( complex args >8 )
         if auth_file is not None:
             params["authfile"] = auth_file.name
         backend_def.pull(base_image, local_image_path, **params)
-        # Pass top-level entries (dir/*) instead of individual leaf files (dir/**/*).
-        # olot's tarball_from_file preserves subdirectory structure when given a
-        # directory, but flattens everything to basename when given individual files.
-        model_path = Path(model_files_path)
-        files = [model_path] if model_path.is_file() else sorted(model_path.iterdir())
-        oci_layers_on_top(local_image_path, files, modelcard)
+        # Extract the absolute path from the files found in the path
+        files = [file[0] for file in _get_files_from_path(model_files_path)]  # type: ignore[arg-type]
+        oci_layers_on_top(local_image_path, files, modelcard, root_dir=model_files_path)
         backend_def.push(local_image_path, oci_ref, **params)
 
     # Return the OCI URI