I shouldn't be calling it a "pepper", as we refer to these amazing vegetables as "chillies" in India. Following up on an article in the WSJ, I eventually found out that the title of the world's hottest chili pepper goes to an obscure chili - Bhut Jolokia that grows naturally in the Northeastern parts of India - the name literally translates to ghostly chili.
I have to admit that I had always thought that the habanero was the hottest chili pepper.
It is also interesting that there is something called as the Chili Pepper institute at the New Mexico State University. There is also an official unit of measurement for "hotness" and it is called Scoville Heat Units (SHUs). Based on the reports, the Bhut Jolokia rakes in 1,041,427 units and in comparison the next nearest competitor, Red Savina Habanero comes in at about 500k-1 Million. For the not-so adventurous types, I bet you are happy with the 25000 units of the Jalapenos. I can't wait to get my hands on one of these babies, and of course, bite into them! If I live to tell the story you can read about it.