Smriti was one of the two players to come back with a sub-par round and set things up for a fourth win this season.
Also coming in with a round of 71 was Nalini Singh Siwach, who has superb two-under back nine.
Smriti leads the field with a 36-hole total of 146, while Nalini is at 148 at the Delhi Golf Club course here.
Vani Kapoor, who had a great birdie-birdie start, lost her momentum on the back nine, where she gave away back-to-back bogeys on 15th and 16th and ended with a 74 that gave her the third place after two rounds with a total of 150.
Smriti had birdie to start and close the round, and one in between on the 14th, but she also dropped bogeys on fifth and 11th. She has already won three titles this season.
Nalini was the most consistent player with just one bogey on par-3 seventh and had two birdies, on the 13th and 14th.
Neha Tripathi, lying second after the first round, slipped with a round of 76 as she paid the price of a triple bogey on par-4 ninth.
She had as many as four birdies, the most by any player in the second round, but she also gave away five bogeys and a triple for a four-over card. She has a total of 151.
Shraddhanjali Singh had a highly eventful round with four birdies, five bogeys and one double in her 77, which put her in fifth place at 153.
Behind her in sixth place was Saaniya Sharma (79) at 156.
Rani Sonti fired in a great round of 74 and moved up to tied seventh after a disappointing first round of 85.
