By now it should be clear to anybody who's on this thread, that BLS staff use different reasons to force us to pay for "optional" services. In my case (BLS Toronto), I was told CGI needs to verify my original canceled Indian passport. It was very clear to me this was the usual bullshit from BLS, and this was a transparent money grab. Idiotic to think CGI needs to see the same passport, that they saw just a few weeks back to issue surrender certificate.
Pretty clear to me that this separation of SC and OCI is to double the number of interactions we are forced to have with BLS, and double the number of opportunities to get people to pay for "optional" services.
There was also an implied threat from the lady at the counter that she would only accept 1 OCI application since I had only 1 appointment, and make me come back for remaining 3 OCI applications of family. Having been in these situations back home in India, I subtly indicated to her that I was open to upselling. She then instantly become super helpful. I paid for OCI courier, canceled Indian passport courier, $5 status update service, for 4 applications. Grease the right palm, get your work done. Works every time. Sad.