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@vidyarthi no need for positive. You need to work a bit with pen and paper. Hint : $\sum_{i=1}^3\sum_{j=1}^3 c_ic_j = c_1^2 + c_2^2 + c_3^2 + 2c_1c_2 + 2c_2c_3 + 2c_3c_1 = (c_1 + c_2 + c_3)^2$
@vidyarthi : any $c = [c_1,c_2,...c_n] \in \mathbb{R}^n \setminus \{0\}^n$. I will expand the summation later when I get time. Its just an interchange of order of summations and an algebraic manipulation.
Your counter example seems valid to me. Luckily in my problem $C$ goes as $\frac{1}{\lambda}$...perhaps $O$ is not suitable here, I should have used $\omega$ or something. I have a closed form expression for $C$ which is $\frac{1}{\lambda}$. Thank you for the answer.