H1 to F1 after leaving US and going back to India

You need to review your overall situation with an attorney.

AS major consideration governing whether you get the F-1 will be whether immigration believes that you have the required "nonimmigrant intent" - the intent to come only for the duration of your schooling and then to return to India. The fact that you recently lived here a long time on H-1B doesn't help but isn't in itself fatal.

However, had a green card case been started by your previous employed before you were laid off? Do you still have property, or other family here in the U.S.? These are things that might impact your case - and might impact your F-2 under your wife's F-1 just as much as your own F-1.

On the other hand, what ties do you have to India? Family? Property? A job to return to?

If they deny an F visa on nonimmigrant intent grounds, it is entirely possible that they would cancel a B-1/B-2, as the same nonimmigrant intent requirement applies to this visa.

It may be best to explore options with an attorney. I would also be curious as to the reasons for denial of your H-1B transfer.