I think the yellow and grey might bring out the gold-ish-ness of the couch.. I'd try to go with more blue colors.. Maybe some navy pillows and a rug with the blue in it as well. The curtains, that ying-yang rug, and the lilac rug just gotta go.. They're dwarfing all the sophistication this room will be able to have with that tile floor and those big beautiful windows. I love the dining room chairs!

OK... but the wire wont be lower as it is fixed now. The wire in the pics below is the wall facing each other. They were leveled on equal height but the beam on one wall makes it seem a little above. But i think you guys are absolutely right that up and down lights wont look good there. I think you are right about down lights lessismoore. Would it look good if i go with two different lights on opposite walls??? it would look odd right.

I have a color like this on the walls of my game room, with espresso colored leather sofa and chair, and blue/teal/lime accents. I used sheers the same color as the background color on your sofa, and the room looks great. However, you could go with black, too, depending on the carpet or flooring.

Many people these days opt for puja room in guest bedrooms, due to limitation of other spaces. Since living room while entertaining guests there is alcohol consumption, non veg food, dancing, so it could be more disgraceful than a guest room. So, I guess that's fine. I am suggesting the bed on the west wall (the headrest on West Wall) so that you are facing the east (that's Vastu compliant). The bed goes where the wardrobe currrently is. The temple on the North wall with the Gods facing South or West wall with Gods facing east. Rest you could add a bench under the window for seating while enjoying the sunlight and a console on the South wall.