Applying for Schengen visa from India for a person working in USA

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You should be able to apply in India. See the FAQ here: http://eeas.europa.eu/delegations/india/more_info/faq/schengen_visa_en.htm#faq5

However you may have to explain to the embassy you are applying to about the reason you are applying from India rather than the USA where you currently reside.

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No, in principle you should apply at your place of residence. In practice, many consulates might accept applications from citizens without asking for any other evidence that you are in fact a resident or or make an exception depending on your circumstances but technically that's the rule.

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