Table of Contents
India has many problems, and one of the biggest among them is the misuse of power — corruption. Corruption is like rust, a rust that slowly eats into the entire system of the country. Its roots go deep into ancient times, as even Kautilya mentioned in his Arthashastra. No nation in the world is completely free from this rust, but in India today, corruption has become systematic and deeply rooted in almost every sector.
It affects not just governance, but also fuels problems like terrorism, unemployment, and slow social growth. In this case study on corruption in India, we will look at its historical background, the major scams that shook the nation, the reasons behind this widespread issue, and the possible solutions that can help us move towards a corruption free India.
Historical Background – A Case Study on Corruption in India
Corruption flows through the veins of dishonest officials like blood. It is not only a problem of the present era, India has suffered from this disease since ancient times. Let us look at how corruption existed from the earliest periods of Indian history.
Ancient India
“Just as it is impossible to know when a fish moving in water is drinking it, even so it is impossible to find out when the government servants in charge of undertakings misappropriate money.”
This famous statement was made by Kautilya (Chanakya/Vishnugupta) in his Arthashastra. Kautilya compared the act of a fish drinking water to corrupt officials stealing from the state treasury, both are difficult to detect. This shows that even in ancient times, India suffered from bribery and embezzlement.
#Gupta period
In the Gupta period, rulers often gave tax-free land grants to Brahmins, officials, and religious institutions. But local officers started to manipulate land surveys and revenue records, which led to misuse. In many cases, common people were even forced to pay double taxes. Because the complaint system was weak, corruption spread easily in administration.
Evidence of such practices comes from copper plate inscriptions, like the Damodarpur copper plates of Bengal, which record land grants and show how revenue officials misused their power. Historians, especially R.S. Sharma in his book Indian Feudalism, have highlighted these issues.
Medieval India
Corruption did not stop in ancient times; it continued and spread its roots during Medieval India, especially during the Delhi Sultanate and Mughal period.
#Delhi Sultanate
During the Delhi Sultanate, Amils and Iqtadars (revenue officers) often collected more taxes from peasants (raiyat) than they were supposed to. A part of this money was sent to the treasury, while the leftover was kept in their pockets.
Bribery and favoritism were also common in the courts. In the Diwan-i-Aam (Court of Public Audience), those who gave bribes often received elite positions, and even sifarish (recommendations) worked in their favor.
Ziauddin Barani, the 14th-century historian, wrote in his book Tarikh-i-Firoz Shahi that during the reign of Muhammad bin Tughlaq, officials frequently manipulated revenue records and exploited peasants.
#Mughal Period
Bribery, favoritism, and exploitation by Jagirdars were common during the Mughal period. Even the Mansabdari system, in which soldiers were paid according to their rank, was corrupted. Many Jagirdars falsely showed extra soldiers on paper to collect additional salaries.
The Ain-i-Akbari, written by Abul Fazl, records that despite strict rules, officials often misused their power and manipulated revenue records for personal gain.
Modern India
The problem of corruption has not been solved in modern India. Instead, it has continued to grow and take new forms. Corruption can be seen in both the colonial period and post-independence India.
#Colonial Period
During the colonial period, British officials and zamindars often manipulated revenue records. Local officials collected excessive taxes from peasants and kept a large part of the money for themselves. The Permanent Settlement is a well-known example of this exploitation, where peasants were heavily burdened while officials and landlords enriched themselves.
#Post-Independence India
Even after independence, people thought that corruption would stop, but it did not. Many high-ranking officers and politicians continued to take bribes and misuse their power. Money meant for government welfare programs was often not used for the benefit of the people and was instead taken for the personal use of those in authority.
There have been many scams in different sectors like examinations, banks, and government departments. Some recent examples include the SSC exam scam and the Forest Guard exam scam. These repeated acts of corruption weaken the roots of our beloved nation and harm its progress.
You will be shocked to know how many times corrupt people have looted public money.
In the next section, Major Corruption Cases: A Case Study on Corruption in India, we will look at some of the biggest corruption cases in detail.
These historical backgrounds in the case study on corruption in India show that corruption has existed from ancient times till today, affecting the progress of our country.
Major Scams: A Case Study on Corruption in India’s Governance
There are many corruption cases in India, some are officially registered, while others are not. Finding all of them is a difficult task, but some of the major cases are listed below:
| Case Name | Year(s) | Sector | Nature of Corruption |
| Jeep Scandal | 1948–1955 | Defence | Overpayment for army jeeps; procurement irregularity |
| LIC–Mundhra Scandal | 1957–1958 | Public finance (Insurance) | Misuse of LIC funds for illegal share purchases |
| Nagarwala Bank Fraud | 1971 | Banking / Political | Fraudulent withdrawal by impersonating PM; misuse of authority |
| Bofors Scandal | 1986–1990s | Defence / Political procurement | Bribes/kickbacks in howitzer gun deal |
| Fodder Scam (Bihar) | 1990–1995 | Political / Public finance | Fake invoices for fodder/medicines for non-existent livestock |
| Disproportionate Assets (J. Jayalalithaa) | 1991–1996 | Political / Public office | Accumulation of assets disproportionate to known income |
| Harshad Mehta Stock Market Scam | 1992–1994 | Finance / Stock market | Stock market manipulation using fake bank receipts |
| Hawala (Jain Diaries) | 1991–1997 | Political | Illegal money transfers and bribes via hawala network |
| JMM Cash-for-Votes | 1993–1998 | Political | MPs bribed for parliamentary vote |
| Telgi Stamp Paper Scam | 2000–2007 | Public finance (Stamp Paper) | Forgery of stamp papers, collusion with officials |
| Operation West End (Tehelka Sting) | 2001 | Defence | Bribes in arms deals exposed via sting operation |
| Vyapam Exam Scam | 2002–2015 | Education / Government | Bribes and impersonation in entrance exams |
| Satyam Computers Fraud | 2003–2009 | Corporate / IT | Accounting fraud, inflated revenues |
| Adarsh Housing Society Scam | 2003–2017 | Defence / Housing | Illegal allotment of defence land flats |
| Coalgate (Coal Allocation Scam) | 2004–2012 | Natural resources / Energy | Non-transparent allocation of coal blocks |
| Kingfisher Airlines / Vijay Mallya | 2007–2016 | Corporate / Banking | Loan default, alleged siphoning of funds |
| 2G Spectrum Scam | 2008–2017 | Telecom / Political | Underpriced telecom licence allocations; alleged bribery |
| Commonwealth Games Scam | 2010 | Sports / Infrastructure | Procurement fraud, inflated contracts |
| AgustaWestland VVIP Chopper Scam | 2010–present | Defence | Bribery in helicopter procurement (~₹3,600 cr deal) |
| LIC Housing Finance Loan Scam | 2010 | Banking / Finance | Bribery in loan sanctioning |
| Saradha Chit Fund Scam | 2012–2013 | Finance / Chit funds | Ponzi-style financial fraud |
| Kerala Solar Panel Scam | 2013 | Renewable Energy | Fraudulent collection of funds for solar panel installations |
| Telangana Cash-for-Votes Scam | 2015 | Politics | Bribery of legislators for votes |
| PNB Nirav Modi Scam | 2018 | Banking / Corporate | Fraudulent Letters of Undertaking (LoUs) for overseas credit |
| SSC Exam Scam | 2018+ | Education / Government | Paper leak and bribery in recruitment |
| Karnataka Political Crisis | 2019 | Politics | Alleged bribery and horse-trading of MLAs |
| Kerala Gold Smuggling Case | 2020 | Customs / Politics | Smuggling of gold through diplomatic channels |
| Madhya Pradesh Political Crisis | 2020 | Politics | Alleged bribery and horse-trading of MLAs |
| Delhi Liquor Policy Case | 2022 | Government Policy | Alleged irregularities in excise policy formulation |
| NEET Medical Admission Controversy | 2024 | Education | Paper leaks and rigging in medical entrance exams |
These scams are only a part of the larger picture, as shown in this case study on corruption in India.
Causes of Corruption – A Case Study on Corruption in India
The causes of corruption in India are not limited to a single sector. Its roots spread across almost every area of society and governance. Some of the major causes include:
#Weak Legal System
India has laws against corruption, but their implementation is very weak. Ironically, even if someone is charged with corruption, cases are often closed by paying money. This makes a mockery of our legal system.
#Long Approval Process
In government offices, approvals and paperwork take a long time. To speed up the process, people often end up paying bribes, which fuels corruption further.
#Unfair Recruitment System
In many cases, unqualified individuals secure government jobs by bribing officials. Once in the system, they try to recover the money they spent by engaging in even more corruption.
#Social Acceptance of Corruption
One of the biggest problems is the “chalta hai” (it’s okay) attitude in society. Many people believe that paying a bribe is acceptable if it helps get their work done faster. This social acceptance makes corruption even stronger.
#Poverty and Illiteracy
In areas with high poverty and illiteracy, people are often unaware of their rights. Corrupt officials take advantage of their helplessness and exploit them for personal gain.
#Nexus of Business and Politics
Many big businesses have close ties with ruling political parties for power and profit. They support each other, and as a result, corruption grows more easily.
Impact on Economy and Society – A Case Study on Corruption in India
Corruption has a direct impact on both society and economy. It slows down growth and reduces people’s trust in government institutions. Some major impacts include:
#Social Inequality
Corruption makes poor people poorer and rich people richer. Public resources meant for social welfare are often misused by elite officers for personal gain.
#Poor Public Services
Hospitals, schools, and other public sectors suffer due to corruption. The quality of services declines, and people gradually lose trust in government institutions. You can see this in many government schools and hospitals.
#Loss of Public Trust
When people have to bribe officials to get their problems solved, common citizens lose trust in the government and its system.
#Economic Slowdown
Corruption creates a negative business environment. Investors hesitate to invest in corrupt conditions, which slows down GDP growth and economic development.
#Rise of Unemployment & Poverty
Due to corruption, government schemes often fail to reach the common people, leaving the poor deprived. This increases unemployment and poverty.
#Growth of Black Money
Corruption generates more black money, which is often used for illegal activities like hawala, smuggling, and terrorism, harming society and the economy.
#Weak Rule of Law
When corruption is common, the legal and judicial systems develop loopholes and are often misused. People stop following rules, and illegal practices become normal.
How to Stop Corruption in India
In this case study on corruption in India, we see that stopping corruption is not a one-day task. It requires time, patience, and collective effort from both the government and citizens. Some effective ways to control corruption are:
#Strong Laws and Strict Punishments
Anti-corruption laws exist in India, but their implementation is weak. Corrupt officials must be caught quickly and given strict punishment. Transparent action against offenders also discourages others from indulging in corruption.
#Transparency in Governance
The government should maintain full transparency in schemes, taxes, and public spending. Citizens should know how scheme money is used and where taxpayers’ money goes, reducing opportunities for misuse.
#Empowering Anti-Corruption Agencies
Agencies like CVC, Lokpal, and CBI should be given more power and independence. They should operate without political pressure, so they can take strict action against corrupt officials.
#Protection and Reward for Whistleblowers
People who expose corruption must be protected and rewarded. This encourages more citizens to come forward and report wrongdoing without fear.
#Active Role of Citizens
Every citizen has a role to play: don’t bribe officials, follow the rules, pay taxes honestly, and avoid illegal activities. A responsible public reduces the scope of corruption significantly.
Major Anti-Corruption Laws in India
There are several laws in India to control corruption, but many people are not fully aware of them. For a better and quick understanding, below is a table of major anti-corruption laws:
| Law / Act | Year | Purpose / Key Points |
| Prevention of Corruption Act | 1988 | Prevents bribery and illegal benefits; 2018 amendment includes private sector |
| Indian Penal Code (Sections 161-169, 405-409) | 1860 | Addresses public servant misconduct, bribery, and criminal breach of trust |
| Prevention of Money Laundering Act | 2002 | Traces and seizes black money generated from corruption |
| Right to Information Act | 2005 | Allows citizens to access government information; exposes misuse |
| Whistleblowers Protection Act | 2014 | Provides protection and anonymity to those who report corruption |
| Companies Act (Section 447) | 2013 | Defines punishment for fraud, bribery, and corruption in the corporate sector |
Conclusion: A Case Study on Corruption in India
The seed of corruption was sown in ancient times, and now its branches spread across all sectors. In this case study on corruption in India, we have seen how it has grown from ancient times to the present era.
Corruption weakens the country’s growth and makes the poor even poorer. But this problem can be controlled if we work together. Without collective effort, corruption becomes stronger, leads to unemployment, and harms the nation’s development.
If we are determined to make India corruption-free, with patience and consistent effort, it is possible to achieve it one day and this case study on corruption in India clearly shows why collective action is the key
FAQs: A Case Study on Corruption in India
Q1: What are some recent examples of corruption in India?
Recent examples include the 2020 Kerala gold smuggling case, the 2020 Madhya Pradesh political crisis, the 2022 Delhi liquor policy case, and the 2024 NEET controversy.
Q2: What are some of the most famous corruption cases in India?
Famous cases include the Bofors scam, Harshad Mehta scam, Commonwealth Games scam, Coal allocation scam, 2G spectrum scam, and Vijay Mallya scam, all of which had a significant impact on the Indian economy.
Q3: What is a short case study on corruption in India?
One major example is the 2G Spectrum Scam (2008), where telecom licenses were given at very low prices using a first-come, first-served policy instead of market bidding. This led to huge government losses and exposed large-scale corruption.
Also read:
Terrorist Attacks in India: Year-wise Analysis and Trends
Industrial Pollution in India: Health and Environmental Impact [2025 Report]