2) Successfully configured Azure AD with this ADFS to enable Federation. Confirmed that user getting synced from ADFS to Azure AD
I guess you mean users are getting sync from AD DS to Azure AD through Azure AD Connect. Maybe I am being a bit finicky here, but all these are not only different products/features, they are totally different concepts.
You need to convert your domain first, removing your AD FS servers won't do anything on the configuration in Azure AD. You can do that with:
Set-MsolDomainAuthentication -Authentication Managed -DomainName user@mydomain.co.in
It is from the MSOL PowerShell module: https://learn.microsoft.com/en-us/powershell/azure/active-directory/install-msonlinev1?view=azureadps-1.0
It takes few minutes to be effective.