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66% of Businesses Surveyed Report Paying Bribes in the Past Year

Radhika Gupta by Radhika Gupta
December 8, 2024
in National
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66% of Businesses Surveyed Report Paying Bribes in the Past Year
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NEW DELHI, Dec 8: A recent report from the online platform LocalCircles indicates that approximately 66 percent of businesses surveyed in 159 districts acknowledged paying bribes in the past year. This survey, which gathered 18,000 responses, revealed that 54 percent felt compelled to pay bribes, while 46 percent made such payments voluntarily to accelerate processes.
“Many businesses have noted anonymously that bribery has become a common practice to expedite dealings with government agencies, whether it’s securing permits, compliance approvals, or even obtaining duplicate copies of authority licenses related to property matters. A notable 66 percent of the surveyed companies reported having paid a bribe in the last year,” the report detailed.
Only 16 percent of responding firms claimed they could consistently complete their business without resorting to bribery, and 19 percent stated that they didn’t find it necessary to do so.
“Of the businesses that admitted to bribing in the past year, 54 percent felt they had no choice, while 46 percent opted to do so for timely service. This form of bribery resembles extortion, as it often involves withheld permits, supplier qualifications, files, orders, and payments when necessary dealings with government bodies occur,” the report noted.
Despite advances in computerization at various levels, the report emphasizes that bribery continues to occur, typically away from surveillance cameras and in private settings.
Businesses reported that they rendered bribes in the last year to diverse entities to qualify as suppliers, obtain quotations and orders, and gather payments.
“Despite positive efforts such as the Government eProcurement marketplace aimed at curbing corruption, there remain vulnerabilities that facilitate corrupt practices regarding supplier qualifications, bid manipulation, completion certificates, and payment approvals,” the report indicated.
The survey, conducted between May 22 and November 30, 2024, revealed that 75 percent of bribes were paid to officials in departments like legal, metrology, food, drug, health, among others.
“Additionally, many respondents reported bribery incidents involving GST officials, the pollution control department, municipal corporations, and the power department,” the report added.
Participating businesses also noted a decrease in both the number of bribery incidents and the total amount of bribes paid over the past year.
On the anti-corruption front, Deloitte India Partner Aakash Sharma commented that many organizations mistakenly assume that adhering to minimal policies and procedures will shield them from regulatory oversight and penalties.
“While this mindset may have sufficed in the past, the rising instances of corruption coupled with an evolving regulatory framework necessitate a reevaluation of compliance strategies and the establishment of a comprehensive anti-corruption program,” Sharma advised. (PTI)


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