CORRUPTION IN INDIA

Political corruption
Political corruption is the use of legislated powers by government officials for illegitimate private gain. Misuse of government power for other purposes, such as repression of political opponents and general police brutality, is not considered political corruption. Neither are illegal acts by private persons or corporations not directly involved with the government. An illegal act by an officeholder constitutes political corruption only if the act is directly related to their official duties, is done under color of law or involves trading in influence. Forms of corruption vary, but include bribery, extortion, cronyism, nepotism, patronage, graft, and embezzlement. Corruption may facilitate criminal enterprise such as drug trafficking, money laundering, and human trafficking, though is not restricted to these activities. The activities that constitute illegal corruption differ depending on the country or jurisdiction. For instance, some political funding practices that are legal in one place may be illegal in another. In some cases, government officials have broad or ill-defined powers, which make it difficult to distinguish between legal and illegal actions. Worldwide, bribery alone is estimated to involve over 1 trillion US dollars annually. A state of unrestrained political corruption is known as a kleptocracy, literally meaning "rule by thieves".

Effects Effects on politics, administration, and institutions

Corruption poses a serious development challenge. In the political realm, it undermines democracy and good governance by flouting or even subverting formal processes. Corruption in elections and in legislative bodies reduces accountability and distorts representation in policymaking; corruption in the judiciary compromises the rule of law; and corruption in public administration results in the inefficient provision of services. It violates a basic principle of republicanism regarding the centrality of civic virtue. More generally, corruption erodes the institutional capacity of government as procedures are disregarded, resources are siphoned off, and public offices are bought and sold. At the same time, corruption undermines the legitimacy of government and such democratic values as trust and tolerance.

Economic effects
In the private sector, corruption increases the cost of business through the price of illicit payments themselves, the management cost of negotiating with officials, and the risk of breached agreements or detection. Although some claim corruption reduces costs by cutting bureaucracy, the availability of bribes can also induce officials to contrive new rules and delays. Openly removing costly and lengthy regulations are better than covertly allowing them to be bypassed by using bribes. Where corruption inflates the cost of business, it also distorts the playing field, shielding firms with connections from competition and thereby sustaining inefficient firms.

Corruption also generates economic distortions in the public sector by diverting public investment into capital projects where bribes and kickbacks are more plentiful. Officials may increase the technical complexity of public sector projects to conceal or pave the way for such dealings, thus further distorting investment. Corruption also lowers compliance with construction, environmental, or other regulations, reduces the quality of government services and infrastructure, and increases budgetary pressures on government. Economists argue that one of the factors behind the differing economic development in Africa and Asia is that in Africa, corruption has primarily taken the form of rent extraction with the resulting financial capital moved overseas rather than invested at home (hence the stereotypical, but often accurate, image of African dictators having Swiss bank accounts). In Nigeria, for example, more than $400 billion was stolen from the treasury by Nigeria's leaders between 1960 and

1999.University of Massachusetts researchers estimated that from 1970 to 1996, capital flight from 30 sub-Saharan countries totaled $187bn, exceeding those nations' external debts. (The results, expressed in retarded or suppressed development, have been modeled in theory by economist Mancur Olson.) In the case of Africa, one of the factors for this behavior was political instability, and the fact that new governments often confiscated previous government's corruptly-obtained assets. This encouraged officials to stash their wealth abroad, out of reach of any future expropriation. In contrast, Asian administrations such as Suharto's New Order often took a cut on business transactions or provided conditions for development, through infrastructure investment, law and order, etc.

Indian black money

Black money refers to funds earned on the black market, on which income and other taxes has not been paid. The total amount of black money deposited in foreign banks by Indians is unknown, but one estimate by Professor R Vaidyanathan at Indian Institutes of Management estimated the total at over 7,280,000 Crores (US Black money in Swiss banks While official numbers are not available, Swiss banking officials have said that the largest depositors of illegal foreign money in Switzerland are Indian. In August 2010, the government revised the Double Taxation Avoidance Agreement to provide means for investigations of black money in Swiss banks. This revision, expected to become active by January 2012, will allow the government to make inquiries of Swiss banks in cases where they have specific information about possible black money being stored in Switzerland. In 2011, the Indian government received the names of 782 Indians who had black money saved in HSBC. As of December, 2011, the Finance Ministry has refused to reveal the names, though they did confirm that no current MPs are on the list. In response to demands from the BJP opposition party for the release of the information, the government announced on December 15 that, while it would not publish the names, it would publish a white paper about the HSBC information.

The main causes of corruption in India are: 1. Continuation of confused Nehruvian Socialism for the last a few decades and hypocrisy of current Liberalism when large scale leaking subsidies still continue. 2. Weak and ineffective Local governments inspite of Amendments 73 and 74 to Constitution of India 3. Fixed and purchased vote bank with manipulated Voters lists. 4. Rusted and fargile steel frame of outdated colonial model of IAS Bureaucracy. 5. Our fundamental rules in governance, Police, Co-operative and other welfare Societies etc are still based on 1860 Act as amended but not implemented. 6. Our private schools/colleges obtain signatures for higher UGC scale salary but pay nearly 50% of the amount. Thus Corrupt

teachers/Professors/ management etc are running the schools/colleges. 7. In I.A.S officers Training Academy (LBSNAA) corruption is prevailing and brought to the notice of Cabinet Scy, Prime Minister etc.They are all closing their eyes to save their IAS colleague in LBSNAA. 8. The subsidised domestic LPG cylinders are sold to commercial organisation/hotels etc at much higher rate in the presence of law enforcing agencies, no one stops this for their corrupt material gain. All the Deputy Commissioners of major districts know about it but are helpless.

9. First the government recovers TDS at much higher percentage and when question of Refund comes, for years Refund is not given unless some fixed% is given to Income Tax officials. If you complain there is more harassment in future to make you run from pillar to post. 10. Our spiritual gururs openly accept donation of Black money. Neither the donor want receipt nor Gurus are keen to give receipts

How can we stop corruption?

Greater solutions may include population control to improve the quality than the quantity, Controlling population will bring up the quality of life and thus lesser competition and effective control of people and government processes. However feasible solutions are to impart moral principles in schools, and introduction of stringent audits, accountability, effective tracking of corrupt individuals through citizen cards or tax id's. Computerization of processes, privatization of public sectors, eliminating the chain of corruption by not just punishing the first level but also higher levels involved. Corruption is not limited to atheists, even the most corrupts are highly religious and have close family ties, in other words corruption has no boundaries. Religion and religious congregations can support and promote anti-corruption drives. Corruption is NOT a luxury tax. Whoever described corruption is a luxury tax probably said it out of frustration, the religion of corruption, the corruption of politics,the dishonest souls and perversion of integrity is unpardonable.