Still doesn't feel right - Consular officer could ask how the employees of the foreign entity are being paid. If in the local currency, why couldn't you be as well being a part of that entity's human resource pool?
You're asking the right questions and sometimes just as anyone, attorneys need to be challenged w/ your inputs to clarify certain things.
See this is where the attorneys separate themselves from the rest. You give them an inch and they'll pave a tarmac wide enough to land Airforce1 (to your advantage, right?) !!!
If nothing else, I "guess" you have to go with their recommendation "ALONG" with your request that it be mailed to India.