I understand the reasons behind their approach to collecting fee but, do not agree with it. I have sent my SC and OCI applications together in May. Got my SC and Indian passport cancelled, returned to me in 8 business/working days. OCI application acknowledgement took a month. and still waiting for OCI.
Chicago consulate has 35 mm picture/photo requirement, which no other consulate has. Chicago consulate needs 5 pictures, with non-white background; which again no other consulate has. I hope Chicago consulate is not sending OCI applications to different New Delhi center than rest of consulates in US.
Visa/PIO/OCI is in the interest of individuals and any bad check can be legally challenged. When USCIS can accept personal check for citizenship, why not Indian consulate/embassy; especially when each of them have different policies when it comes to application processing. And, most of applications are from former/current citizens.
Unless status quo is questioned, when and as it is needed; no progress can be made for betterment.