In the women's singles, India's leading players, Joshna Chinappa and Dipika Pallikal, made the quarterfinals after winning their first round matches comfortably.
Chinappa beat local qualifier Li Sum Yin 11-4, 11-4, 11-6
While Pallikal blanked Tang Yan Yi, another qualifier from Hong Kong, 11-6, 11-4, 11-9.
The biggest upset of the day was caused by 62nd-ranked Malhotra, who downed Mohamed 13-11, 11-7, 6-11, 11-8 in a men's singles match lasting 46 minutes.
Malhotra's countryman, Mahesh Mangaonkar, fought hard in his opening round match before going down to third seed, Omar Mossad of Egypt, 3-11, 7-11, 11-9, 6-11.
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