Business Corruption

According to Global Integrity 2009, business inspections by government officials to ensure public environmental standards are often carried out in an arbitrary and ad-hoc manner, and bribes are sometimes extracted from companies in return for favourable treatment or expedited processing.

Corruption, looting, fixed bidding and kickbacks in India's mining sector are reportedly common. According to a 2008 article by Asia Times, mining companies, such as Jammu Kashmir Minerals Ltd (JKML) operating in the corrupt and unstable Kashmir state, have been accused of undervaluing gems and other resources in auction processes to benefit certain traders and high level officials. JKML, despite the potential of massive profits from its holdings, including vast sums of sapphire, remains dependent on government aid and is unable to pay its employees for months on end. Suspicion has also been raised over JKML employees accused of being involved in profitable smuggling rings in Kashmir. Corruption in the sector and the absence of accountability have taken their toll on the mining industry and in some cases prevented what could be valuable development.

Political Corruption

According to Transparency International's Global Corruption Report 2008, corruption is estimated to add at least 25% to irrigation contracts. The rise of cost induced by corruption has made the irrigation system inefficient and small farmers are the group that has suffered most.

Frequency

Transparency International India & CMS: India Corruption Study with Focus on Below Poverty Line Households 2007:
- Approximately 36% of households below the poverty line (BPL) believe that corruption exist in the forest service.

- Approximately 13% of BPL households that interacted with forest related service either paid bribe or used contact to avail the service during the previous year.