After recounting what the anti-Muslim hysteria has done even to the moderate Muslim mind, Hasan Saroor, writing in the Hindu, also quotes her on the old housing issue:
Ms Azmi said not long ago she was quoted as complaining that she and her husband Javed Akhtar could not find a house of their choice in Bombay because they were Muslim.
“What I had in fact said was that I was not bitter about it because discrimination happens against everyone. They edited out that sentence and I was left sounding as a bitter Muslim complaining about discrimination — and this led to a huge controversy,” she said.
Tarunabh Khaitan had done a very useful piece on the possible legal responses here.
Post Script: In fact, going over the above and finding a reference, once again, to the excellent blog Law and Other Things, I find that he too had been following the moving Kafila narratives, and has done a very thoughtful follow-up post here. Do look at the the comments section as well.