Skip to content
Public update

Bengaluru Digitizes Corruption: Officials Now Accept Property Bribes via PhonePe

25 March 2026 - Bengaluru, Karnataka

Record date
25 Mar 2026
Location
Bengaluru, Karnataka
The odd part

Bengaluru's e-Khata system was designed to eliminate corruption from property records by making everything digital. Officials took the 'digital' part seriously: they now accept bribes of ₹30,000 to ₹1 lakh per property via PhonePe, complete with transaction receipts.

What happened

In what may be the most literal interpretation of 'digital transformation' ever achieved by Indian bureaucracy, BBMP officials in Bengaluru have upgraded their centuries-old bribery infrastructure to accept UPI payments. Opposition leader R. Ashoka presented PhonePe transaction screenshots in the Karnataka Assembly on March 25, showing a ₹15,000 first installment paid to an official named Ramesh for processing an e-Khata application in HBR Layout. Rates vary by neighborhood: ₹30,000-40,000 in standard areas, up to ₹1 lakh in Kanakapura, and ₹50,000 in Devanahalli — essentially a dynamic pricing model for corruption. Ashoka claims gangs of 10-15 people operate in each ward, meaning Bengaluru has accidentally created an organized digital marketplace for government services. Some 1,400 properties have been illegally registered through the system. Deputy CM Shivakumar's response — 'give me the list and I'll suspend them' — suggests the government's anti-corruption strategy is to wait for the opposition to do the investigation.

Source material