Rovers sacked Henning Berg as manager on Thursday after Blackburn won just one of his 10 games in charge, a run which saw them slide down to 17th in the Championship table.
Ali, 39, has appeared in several Bollywood films, though the FA has confirmed the former Arsenal trainee is also enrolled on their Coach Bursary Programme.
He was present at the Rovers training ground on Friday but Singh told Sky Sports News that Ali was there purely as a "guest."
Former Aston Villa youth-team boss Kevin MacDonald is the bookies' favourite to replace Berg, though Mark Hughes, a former Rovers boss, and Phil Brown are also in the frame.
Brown, the former Hull and Bolton boss, has confirmed he has applied for the job.