Corruption in India

and Lokpal Bill

www.time4education.com

Corruption?

Dishonest /fraudulent/illegal conduct by those

in power, typically involving bribery.
The action of making someone or something
morally depraved or the state of being so.
Need not be necessarily monetary

Black Money
Money not accounted/reported and hence
due tax not paid.
Mostly cash transaction and without (or with
kaccha) receipts.
Can it happen through cheque/bank
transfers??

Root causes

Greed
Social Structure
Financial Inequality in Sectors
Lack of Political Will
Lack of autonomy for investigating mechanism
Slow legal process
Red tape and Bureaucracy

Swiss Bank Accounts

Neutrality and Sovereignty:
Neutral during both WW
Not a member of EU
Not a member of UNO until 2002

Banking Privacy
Banking law 1934
Right to privacy Fundamental Principle

Major corruption cases in India

1987: Bofors Scandal

1991-92- Palmolein Import Scam Kerala
1992- Harshad Mehta: Securities Scam :
1996: Bihar Fodder Scam and Sukhram
Telecom Equipment scam
1997: Hawala Scandal

Recognise them

Major corruption cases in India

2000-2010

1999-2000:Ketan Parekh Securities Scam

2000: Kargil Coffin Scam:
2002-03: Taj Corridor scam:
2005-2006: Stamp Paper Scam:
2008-09:
Cash for vote scandal
Hasan Ali Black Money
Satyam Scam
Madhu Koda Mining Scam

Recognise them

2010-11

2G spectrum scam and Radia tapes controversy

Adarsh Housing Society scam
Commonwealth Games scam
LIC housing loan scam
Belekeri port scam
Uttar Pradesh food grain scam
Andhra Pradesh Industrial Infrastructure
Corporation controversy
Indian Premier League scandal
Bellary Mine Scam
ISRO Spectrum allocation Scam

Total in last 12 years

And thats only the tip of the

iceberg because
As per white paper on black money 2012,
Indian Deposits is INR 92.95 billion. Media
reports is 700 times.
On 27th October 2014, 3 names were
revealed. On 29th October 2014, 627 names
were submitted in SC in a sealed envelope.
DTA Is it really an impediment?

Lokpal Bill
Term coined by L.M. Singhvi in 1963
The bill was inspired by the Hong Kong Independent
Commission Against Corruption (ICAC).
Proposes to create an independent ombudsman body
The body will be empowered to register and
investigate corruption cases against politicians and
bureaucrats without sanction from Government.

History
The Lokpal bill was first introduced by Shanti
Bhusan in 1968
The Subsequent versions were re-introduced in
1971, 1977, 1985, 1989, 1996, 1998, 2001,
2005 and in 2008, but none of them passed.

Anna Hazare

Padma Bhushan and Padmashree for social

development in Ralegan Siddhi.
Involved in 1991 Bhrashtachar Virodhi Jan
Aandolan (BVJA) and 2000-2005 RTI
movement.
Main face of 2011 Anti Corruption and Jan
Lokpal Movement

Lokpal and Lokayukta Bill 2011

Passed after 45 years of push pull in Dec 2013
Amendments were agreed upon by most of the
opposition parties.
Anna Hazare and team happy, Arvind Kejriwal
and team not.
Political parties other than SP/Shive Sena/ AAP
united in passing the bill.

Some Key Highlights

Lokayuktas
States to set up Lokayuktas by law within 365 days.
States have the freedom to determine the nature and type of
Lokayukta
Penalty
Imprisonment up to one year and a fine up to Rs. 1 lakh for
false and frivolous complaints
Public servants can face imprisonment up to 7 years
Criminal misconduct and habitually abetting corruption can
attract jail terms up to 10 years

Some Key Highlights

Jurisdiction
Included: The PM, ministers, current and former legislators, govt
employees, employees of firms funded or controlled by Centre
Societies and trusts that collect public money, receive funds from
foreign sources, and have income level above a certain threshold
Excluded: Bodies creating endowments for or performing
religious or charitable functions
Investigation
Inquiry to be completed within 60 days and investigation to be
completed within 6 months
Lokpal shall order a probe only after hearing the public servant
Inquiry against PM has to be held in-camera and approved by
two-thirds of full bench of Lokpal

Some Key Highlights

CBI
Lokpal can superintend the CBI in relation to the cases
referred by it to the probe agency
CBI officers investigating cases referred by Lokpal can be
transferred without its approval
Prosecution
Lokpal can initiate prosecution through its Prosecution Wing
before the Special Court. Trial to be completed within two
years
Funding
All expenses to be charged to the Consolidated Fund of India
(Funds available to the Lokpal will not be dependent on the
annual budget voted by Lok Sabha)