Corruption in India

Corruption has been defined as an abuse of public power for private gain. Corruption can be political and bureaucratic. In India, the distinction between political and bureaucratic corruption is challenging due to the blurred lines between politics and administration. Corruption remains a major challenge in India despite various laws and initiatives. The Indian Penal Code, Prevention of Corruption Act, and Money Laundering Act aim to punish bribery and misuse of power by public servants. Lokpal and Lokayuktas Act establish investigative bodies, while the Whistleblower Protection Act safeguards those reporting corruption. Transparency measures like Right to Information and Government e-Marketplace (GeM) aim to reduce opportunities for corrupt practices. India also participates in international efforts like the UN Convention against Corruption. However, effective implementation and better wages for civil servants are crucial. Public awareness and participation through social audits are essential for holding the government accountable.

After India gained independence, political corruption remained largely unchecked. Like many other things, it was a legacy of the British as the East India Company officials used to partake in rampant corruption for private motives. It was after many years that the Government of India began considering the activation of existing rules and regulations to take punitive action against the public officers and politicians who were involved in corrupt practices. Until 1977, the country was under the rule of a single party, reducing the likelihood of exposing political corruption during that period, and as a result corruption in India stretched from politicians to businessmen and corporations.

Early deals like the Jeep Scam (1948) with missing vehicles to more recent controversies like the Uttar Pradesh NRHM Scam (2012) involving diverted healthcare funds have marred Indian history. Cases like the Cycle Scam (1951) exposed bribery and the Bofors arms deal (1987) rocked public trust, highlighting the ongoing battle against graft that continues to plague the nation.

Corruption: The World Bank defines corruption as an abuse of public power for gaining private benefit. It is also defined as any transaction between private or public sector actors through which collective goods are illegitimately converted into private through pay-offs.

Political Corruption: Involves manipulating political institutions and procedures, influencing government institutions and the political system, often resulting in institutional deterioration. Political corruption goes beyond merely violating formal legal norms and professional ethical codes. It occurs when rulers, politicians, bureaucrats, businessmen consistently misuse, bypass, ignore, or adapt laws and regulations to suit their interests.

Corruption in India has become a deep seated phenomenon in the Indian society, which is prevalent for the following reasons:

• Lack of Transparency: the absence of transparency in the Government processes, public administration and the decision making process which creates an environment which encourages corrupt practices. It is so because when actions are hidden from the public scrutiny, officials engage in corruption with the reduced fear of exposure or punishment.
• Weak Institutions: many of the law enforcing institutions in India are considered to be either too weak or compromised. Such Institutions always fail to counter corruption effectively.
• Inadequate salaries and incentives: Public officials, generally those in low ranking positions receive low salaries. This makes them more likely to accept bribery and become corrupt.
• Bureaucratic Red tapeism: lengthy, confusing and complex regulations drive individuals and business to resort to corrupt practices to expedite or fasten the process of procedure and paperwork.
• Social inequality: social and economic disparities can contribute to corruption, as individuals with wealth and power may use their influence to secure preferential treatment and engage in corrupt practices without facing consequences.
• Political interference in administrative affairs: it has the potential to undermine the autonomy of the Government Institutions. Leaders in politics exert pressure on officials to take part in corrupt activities for personal or party-related benefits.
• Culture of Tolerance: When corruption becomes acceptable and started being seen as “the way of doing things” it can lead to individuals doing corruption without feeling like they are doing anything wrong.

Corruption studies in India Conducted by organizations like Transparency International India and the Centre for Media Studies. The study provides insights into the prevalence of corruption in different states.

1. States with High Perceived Corruption:
   • Bihar: Faces high levels of corruption, particularly in public services and law enforcement.
   • Uttar Pradesh: Faces significant corruption challenges in various sectors, including the police, land administration, and public distribution.
   • Madhya Pradesh: Faces high levels of corruption in government procurement, public works, and health services.
   • Rajasthan: Faces corruption challenges in sectors such as mining, land registration, and police services.
2. States with Lower Perceived Corruption:
   • Kerala: It is among the least corrupt states due to effective governance and a strong civil society.
   • Goa: It also faces relatively lower levels of corruption, though issues persist in specific sectors.
   • Himachal Pradesh: It is also considered as a less corrupt state comparatively.

• Absence of Welfare State: Welfare policies and basic amenities don’t reach poor people.
• Inadequate Basic Infrastructure: due to loss of money to exchequer which can lead to lack of drinking water, roads for transport, supply of food and medicines.
• Law & Order Problem: This can destabilise a state and force people to take law into their own hands as the state only exploits and does not provide basic necessities.
• Justice Deficit: Justice is not realised as with bribes the case can be won over.
• Inadequate Governance: as people are selected based on bribes/ kickbacks and not merit.
• Erosion of Government Respect: Esteemed national leaders may lose public respect due to their involvement in corruption, impacting social cohesion and respect for authority.
• Reluctance to Take Corrupt-Linked Positions: Honest individuals may avoid positions associated with corruption, resulting in a loss of talent and competence in key roles.
• Loss of International Reputation: Country would lose out on foreign investment and opportunity to host events because of its inability to deliver results.

Kautilya’s 11 Measures to Prevent CorruptionL Kautilya, a renowned strategist in his book ‘Arthshastra’ discussed the problem of corruption. He offered the following solutions:-

1. Strict Vigilance: Overseeing government officials' activities regarding time, place, nature, output, and modus operandi of work.
2. Professionalism: Promoting teamwork and professionalism among government functionaries to align individual goals with organizational objectives.
3. Interrogation: Conducting thorough inquiries into cases of fraud and embezzlement.
4. Monitoring Treasury: Recognizing discrepancies in expenditure and revenue collection as indicators of potential embezzlement.
5. Judicial Accountability: Imposing fines on judges engaging in biased or unjust practices, thereby ensuring fairness in the judicial system.
6. Espionage Network: Establishing an elaborate espionage network to detect financial misappropriation and judicial impropriety.
7. Rewards for Whistleblowers: Providing incentives for whistleblowers who expose financial wrongdoing, while also penalizing false accusations.
8. Public Recognition for Honesty: Rewarding honest and dedicated officials with promotions, rewards, and public honor to set examples for others.
9. Temporary Positions and Transfers: Making certain positions temporary and advocating periodic transfers to prevent manipulation and complacency among officials.
10. Rightsizing Bureaucracy: Reducing the number of government servants to streamline decision-making processes and minimize opportunities for corruption.
11. Accountability Mechanisms: Implementing intra-departmental self-scrutiny mechanisms under the supervision of a chief officer to detect and deter corruption.

owing to the rise in corruption and corrupt activities in India, the Government over the course of years has enacted various laws to ensure that corruption is curbed and curtailed, some of them are:

• Indian Penal Code, 1860:
  • The IPC defines a "public servant" as a government employee, military officers, naval or air force personnel, police, judges, officers of the Court of Justice, and any local authority established by a central or state Act.
  • Section 169 addresses a public servant unlawfully buying or bidding for property, punishable by imprisonment of up to two years, a fine, or both. If the property is purchased, it will be confiscated.
  • Section 409 deals with criminal breach of trust by a public servant, punishable by life imprisonment or imprisonment of up to 10 years and a fine also
  • Chapter IXA of the IPC deals with offences relating to Elections where bribery and other corrupt activities have been made punishable.
• Prevention of Corruption Act, 1988:
  • Definition: The term "public servant" other than government employees also includes office bearers of cooperative societies receiving government financial aid, employees of universities.
  • Punishment:
    • To Public Servant- If a public servant accepts any gratification beyond their legal remuneration regarding an official act or to influence other public servants, they face a minimum punishment of six months and a maximum of five years, along with a fine.
    • To Bribe- Giver- Since 2008 punishment is also prescribed for those giving a bribe.
  • Prior sanction from the central or state government is necessary to prosecute a public servant.
• Prevention of Money Laundering Act, 2002:
  • Defines money laundering as involvement in any process related to the proceeds of a crime, presenting such proceeds as untainted property.
  • "Proceeds of crime" refers to property obtained through criminal activity like corruption.
  • The penalty for money laundering is rigorous imprisonment for three to seven years and a fine of up to Rs 5 lakh. If a conviction is also made under Narcotics Drugs and Psychotropic Substances Act, 1985, the imprisonment term can extend up to 10 years.
  • An Adjudicating Authority, appointed by the central government, determines if attached or seized property is involved in money laundering.
  • An Appellate Tribunal hears appeals against orders from the Adjudicating Authority and other authorities under the Act.
  • Obligations of Intermediaries: Every banking company, financial institution, and intermediary must maintain records of specified transactions, including their nature and value. They also need to verify and keep records of all customers, providing such information to specified authorities.
• Lokpal and Lokayuktas Act, 2013: provides for establishment of a Lokpal (Centre) and Lokayuktas (State). They perform the function of an “Ombudsman” and inquire into the allegations of corruption against certain public functionaries and for other matters.
• Central Vigilance Commission Act, 2003: it mandates the establishment of a vigilance commission that advises and assists the executive in matters relating to corruption. It is an autonomous body which monitors corruption investigations being undertaken by the Central Bureau of Investigation.
• WhistleBlower Protection Act, 2014: allows registration of corruption or misuse of power against public servants and initiation of inquiry against them. The Act protects the identity of the ‘whistleblower’ who is the person reporting the corruption incident. However, the complaints are not anonymous, just that revealing the name of the complainant is punishable under the Act.
• Companies Act, 2013 defines ‘fraud’ as a punishable offence.
• Transparency Measures
  • Social Audit Advisory Body: has been set up in 2024 under the Ministry of Social Justice and Empowerment to ensure institutionalisation of social audit mechanism in various schemes so that independent assessment of their performance can be undertaken by stakeholders
  • Right to Information Act, 2005: Allows the public to petition a government authority and obtain information about the key programmes and monetary expenses. This has allowed various disclosures which brought corruption to light.
  • Government e-Marketplace (GeM): Most corruption used to take place in government procurement, this was sought to be ended with GeM. On GeM portal goods and services by government and public organisations are bought through transparent and open bidding.
  • Citizens Charter: Government departments notify citizen charters which outline the rights and entitlements of the citizens along with quality of service delivery, timely delivery, transparency and accountability. Most importantly it mentions the grievance redressal mechanism so that citizens can seek remedy.

• Corruption Perception Index (CPI): It is released by Transparency International to track global corruption levels. In its 2023 report it was stated that corruption is heightening worldwide and India secured a rank of 93 of 180 countries.
• United Nations Convention against Corruption (UNCAC), 2003: Is the only legally binding international treaty against corruption. It ensures international cooperation, information sharing and technical assistance for asset recovery, punishment and preventive actions. Offences covered include bribery, abuse of authority and undue influence among others.
• Sustainable Development Goals (SDGs) 16: ‘Peace, Justice & Strong Institutions’ are recognised as important for sustainable development of the world. Accountable and corruption-free institutions are important to ensure consistent development of all.
• G20 Anti Corruption Working Group, 2010: To share effective strategies to combat corruption across the world specially through emerging technologies.

There is a much better grasp today of the extent to which corruption is a symptom of fundamental institutional weakness. Corruption serves as an indicator of underlying institutional weaknesses, necessitating comprehensive reforms for effective mitigation. The recognition of the limitations of relying solely on legal enforcement measures is evident, acknowledging that the existing law institutions themselves contribute to the corruption problem in the country.

Hence, it becomes important to have a national revolution and rising of conscience of the common man against corruption like in the Anna Hazare led Bhrashtachar Virodhi Jan Andolan ( i.e. BVJA, People's Movement against Corruption). The moral and ethical education should be given to students and also awareness should be created to reject this reprehensible practice.

Managing corruption in India remains a challenging task even with the introduction of the CVC and the Lokpals. There should be improved implementation of the law. This can be ensured through adequate wages to civil servants and depoliticization of the services. People in power must be put to check and public servants must be held answerable. This is why provisions like the Right to Information Act, 2005 and Social Audit mechanisms help to keep the government in check through independent review by any citizen in the country. Through these methods investigative journalism is empowered. It is this public accountability which will end corruption.

The impact of corruption on the economy highlights the importance of addressing this issue to prevent the loss of opportunities. It's also essential to recognize that corruption is a global challenge faced by countries worldwide, and while solutions must be tailored to each nation's context, collaborative efforts are crucial for effective change.