#1. There's band based in the UK called Karnataka.
Yes, that's right. Karnataka was formed in 1997 by founding members, Ian Jones (bass/acoustic guitar), Jonathan Edwards (keyboards) and Rachel Jones (vocals). The band chose the name 'Karnataka' because one of the band members, Ian apparently visited the Indian state of Karnataka a couple times.
Image Source: Google.
Official website of the band: karnataka.org.uk
#2. We all know Masala Dosa to be the world famous Indian dish. But it also lends its name to a popular French Electronic Band formed in 2002, Masaladosa.
Their official website: Welcome to Masaladosa music official website
Edit: Adding another name to the list.
#3. As mentioned by Akarsh Jain, there's this popular British indie-rock band with a rather interesting and unique name. They're called Bombay Bicycle Club.
Official website: Bombay Bicycle Club