Mismatch between VS Code intellisense and TypeScript compilation

Is it possible for VS Code to show errors that are not caught by the TypeScript compiler when both are using the same TypeScript version?

My VS Code installation is using TypeScript version 2.6.2. I see that intellisense detects an error 'Parameter ... implicitly has an 'any' type in one of my code files, but when I run the tsc compiler, there are no errors.

It seems this behavior suddenly started; One moment the code editor was clean, and then the next moment it has all these red lines underneath some lines.

This is my VS Code editor