H1-B Transfer Filed while outside US

[yaths]

Sir,

I am seeking information on my situation below:

1) I traveled to India on employer A's VISA on May 27th , 2017. I have valid visa till June , 2018
2) I had accepted an offer with employer B on May 12th , and they filed the H1 Transfer on June 6th , 2017 (While I was in India).
3) I returned to the states on June 30, 2017 with employer A's VISA and continued to work with A.
4) Got the H1B Transfer receipt confirmation on June 22, 2017 and joined employer B on July 30, 2017.

Recently , The petition received an RFE on the H1-B transfer and the reason is "They believe I left US on may 27th.".  The RFE is not yet responded.

Looks like the attorney who filed the H1-B transfer did not know about my travel plan , however I did mention my plans to the employer B when I accepted the offer.

Questions:

1. What does the law states , do I have to be in US for H1-B to be filed ? What are the possible scenarios from here ?
2. My understanding is the there are high changes that the petition may get approved with Consulate Notified. In this case can I continue to work for Employer B ?