The 21-19 21-19 win for Srikanth, ranked 11th in the world, lifted the sagging spirits of India on the 10th day of competitions as he became the second shuttler after Parupalli Kashyap in the London Games four years ago to reach the last eight in men's singles.
However, India's slim hopes of a medal in the women's 3000m steeplechse disappeared when Lalita Babar, the first track athlete to qualify for an Olympic final in 32 years, could finish only 10th in 9 minutes, 22.74 seconds.
Despite her 10th place finish, Babar's effort was still the best performance by an Indian in a track event after after PT Usha's fourth-place finish in the 400m hurdles in 1984 Los Angeles Olympics.
The 27-year-old from the drought-prone Satara district in Maharashtra had become the second Indian woman after Usha in 1984 Los Angeles to qualify for a final at a track event at quadrennial extravaganza.
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The wiry Srikanth's superb display against world no. 5 Jorgensen, a day after big medal hope and London Olympics bronze winner Saina Nehwal's shock exit, kept India's hopes alive in badminton.
He now has a huge task on hand in the quarter-finals tomorrow where he faces reigning champion Lin Dan although he can take inspiration from his sensational win over the Chinese two-time Olympic champion two years ago in the China Open final.
But away from the badminton court, setbacks continued for India.
Maheswary, who had qualified for the Games by setting a national mark of 17.30 metres last month in Bengaluru, could do only a modest 16.13 metres to finish a distant 30th overall out of 48 competitors. His other two jumps were less than 16 metres.
The 30-year-old Kerala athlete had made the Olympics cut on the last day of qualification period on July 11 at the hurriedly arranged Indian Grand Prix. The triple jumper thus lived up to his poor reputation of choking in major events.
Both these athletes were knocked out.