The correct answer is Administrative Reforms Commission of India (1966 - 70).

• The anti-corruption ombudsman (Lokayukta at State level and Lokpal at Central level) both at the center and the states were first conceptualized by the First Administrative Reforms Commission of India headed by Morarji Desai. 
• The report published by First Administrative Reforms Commission in 1966 recommended the creation of two independent authorities i.e. the Lokpal at the center and the Lokayuktas in the states to look into complaints against public functionaries, including Members of Parliament as well.

• The Lokpal Act:
  • The formal establishment of Lokpal and Lokayukta took place with the passing of the Lokpal and Lokayukta Act, 2013, by the Parliament of India in December 2013. 
  • Structure of Lokayukta: The structure of the Lokayukta is not the same in all the states.
    • Some states like Rajasthan, Karnataka, Andhra Pradesh, and Maharashtra have created the Lokayukta as well as Uplokayukta.
    • Some others like Bihar, Uttar Pradesh, and Himachal Pradesh have created only the Lokayukta.
    • States like Punjab and Orissa have designated officials as Lokpal.
  • Appointment of Lokayukta: They are appointed by the governor of the state.
    • While appointing, the governor in most of the states consults:
      • Chief justice of the state high court, and
      • Leader of Opposition in the state legislative assembly.
  • Tenure: In most of the states, the term of office fixed for Lokayukta is of 5 years or 65 years of age, whichever is earlier. He is not eligible for reappointment for a second term.
  • Removal: Once appointed, Lokayukta cannot be dismissed nor transferred by the government, and can only be removed by passing an impeachment motion by the state assembly.
• ​Maharashtra was the first state to introduce the institution of Lokayukta in 1971.
• The term Lokpal and Lokayukta was first coined by L.M Singhvi in 1963.

• Second Administrative Reforms Commission, 2005 was set up to inquire and to prepare a detailed blueprint for revamping the public administration system and for the elimination of corruption in the administration and the strengthening of the Lokpal and the Lokayukta.
  • Chairman:- Veerappa Moily.
• Santhanam Committee:-The Committee on Prevention of Corruption appointed by the Government of India in 1962.
  • Chairman:- K. Santhanam
  • Recommendations:-  Creation of the Central Vigilance Commission. Also, administrative vigilance divisions in all departments and major organizations of the Government.
• Rajasthan State Administrative Reforms Committee was set up in July 1962 by the Government of Rajasthan, to recommends measures to bring about reforms in the administration of the state and to improve the working efficiency of government offices. 
  • Chairman:- Shri Harish Chandra Mathur.