I do not think people in the west understand economies of developing countries.
To talk about sanitation, and use that to judge a country is very myopic.
There is a massive schism in India between the rich and the poor. India do have poor people, and sanitary conditions are not ok. But it also have some of the richest business houses around, like the Tatas and Reliance. Like all countries, it takes time for it to find its feet. All countries go through this. For a country which is as massive as India, and with only 60 years since independence, it has done well when compared to the other countries around it. Considering that it is still a functional democracy.
But since liberalization policies were followed a few decades ago, corporations are getting powerful, and they ARE at the moment trying to control internet censorship. Reliance, an ISP, which also produces movies blocked it's internet subscribers from any file-sharing websites a long while ago.