Motekaji, I went the same route but had no trouble with baggage.  Once I landed at Delhi, a guy from Indian Airlines came and asked me if I was a transit passenger to KTM.  I said yes, and then he asked for my luggage tag from AA, ticket to KTM and passport.  After some time the same guy came with my boarding pass to KTM and a new luggage tag.  I didn't collect nor identify my luggage at Delhi and it arrived at KTM on good condition.  FYI, I had two seperate ticket and I bought both AA and Indian Airlines ticket via internet.