The success of India's democracy hinges on the pivotal role played by its auxiliary institutions in negotiating major challenges through slow and persistent transformation. However, an objective audit of the performance of these institutions in the recent past would indicate a decline in operations and an acute crisis of corruption. Key institutions responsible for governance – Parliament, civil services, judiciary, the Election Commission, the Central Bureau of Investigation, the Central Vigilance Commission, and the Comptroller and Auditor General – have been put under the spotlight by an alert and mobilized civil society, urging immediate measures for ensuring their operational efficiency and integrity. This essay undertakes a critical examination of the present performance and efficiency of major democratic institutions in India, in the light of their prescribed roles and the malaise of corruption that plagues them. It argues that in order to articulate a comprehensive institutional response to the problem, relevant measures of political reform and constant vigil by civil society would prove crucial. The article is divided into six sections; first, a brief outline of the structure and changing nature of the institutional political set-up in India is provided; the second section examines the existing literature on ‘corruption’, and the third section highlights the increasing incidence of corruption in India at various politico-administrative tiers. The fourth section delineates the inception and role of anti-corruption institutions in India, signifying the early response to corruption. The fifth section critically reviews the theoretical and statistical evidence of performance-decline in the major institutions at present and gauges the potency of corruption; the sixth section explores the existing and prospective institutional responses for tackling corruption and the final section presents concluding observations.