Introduction of electoral bond
Electoral bonds were introduced in 2017 as a means for people and organizations in India to secretly donate to political parties. These bonds are available in different amounts ranging from ₹1000 to ₹10000000 crore at authorized SBI branches, and purchasers need to provide their ID. Political parties can encash these bonds within 15 days of receiving them to support their election costs. However, they can only be purchased during specific 10-day periods in January, April, July, and October. It’s important to note that these bonds can only be used to donate money to political parties registered under section 29A of the Representation of the People Act 1951,and parties that received at least 1 percent of the votes in the last election.
Electoral bonds were introduced in 2017 as a means for people and organizations in India to secretly donate to political parties. These bonds are available in different amounts ranging from ₹1000 to ₹10000000 crore at authorized SBI branches, and purchasers need to provide their ID. Political parties can encash these bonds within 15 days of receiving them to support their election costs. However, they can only be purchased during specific 10-day periods in January, April, July, and October. It’s important to note that these bonds can only be used to donate money to political parties registered under section 29A of the Representation of the People Act 1951,and parties that received at least 1 percent of the votes in the last election.
Why were electoral bonds introduced?
Electoral bonds were introduced to make political funding in India more transparent. In 2018, then Finance Minister Arun Jaitley suggested electoral bonds to tackle the issue and reduce cash from unknown sources.
Electoral bonds were introduced to make political funding in India more transparent. In 2018, then Finance Minister Arun Jaitley suggested electoral bonds to tackle the issue and reduce cash from unknown sources.
What has the court ruled previously?
In 2019, the Supreme Court ordered political parties receiving donations through electoral bonds to share bond details with the Election Commission of India. In 2021, the court rejected a request to stop selling new bonds and disagreed with the idea that these bonds provided complete anonymity. The court ordered an investigation into how this scheme operates. However, the court held the ongoing bond sales, and there is still a pending decision on the 2017 electoral bonds issue.
In 2019, the Supreme Court ordered political parties receiving donations through electoral bonds to share bond details with the Election Commission of India. In 2021, the court rejected a request to stop selling new bonds and disagreed with the idea that these bonds provided complete anonymity. The court ordered an investigation into how this scheme operates. However, the court held the ongoing bond sales, and there is still a pending decision on the 2017 electoral bonds issue.
What remains to be decided now?
The case involves petitions filed by the Association for Democratic Reforms (ADR), the Communist Party of India (Marxist), and Congress leader Jaya Thakur. These petitions challenge the constitutionality of the electoral bonds scheme. The petitioners also seek to classify political parties as public officers subjecting them to the Right to Information Act and to compel political parties to disclose their income and expenses.
The case involves petitions filed by the Association for Democratic Reforms (ADR), the Communist Party of India (Marxist), and Congress leader Jaya Thakur. These petitions challenge the constitutionality of the electoral bonds scheme. The petitioners also seek to classify political parties as public officers subjecting them to the Right to Information Act and to compel political parties to disclose their income and expenses.
