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Notes from an excellent article on the state of India's corrupt Higher Education system, and from an overview at Nanopolitan:

1. 30% of all Indian students pay bribes to get into colleges after having failed entrance exams. (Figure may be higher at colleges with the so-called 'management quota'.
2. Fees at a typical tech institute are 3 times that of those at an IIT.
3. At many colleges, you can get test papers for a price.
4. At many colleges, you can bribe to get better marks in the internal exams.
5. At many colleges, you can bribe the lab people to meet your quota of lab attendance.
6. Most Indian institutes and universities have to pay bribes to get the desired accredition from AICTE, MCI, and others.
7. In 2010,  some IIT Kharagpur Professors were found to be running their own private college on the side, called the Institution of Electrical Engineers (India).

Also read: Does India really need more colleges and universities?
Do we need more MBAs?
How to improve education in India: A proposal