Electoral Bonds: Shaken and Stirred

Publication of donor details following the Supreme Court order striking down electoral bonds may embarrass both the BJP as well as some regional parties

- Snigdhendu Bhattacharya

THE Supreme Court of India struck down the electoral bond scheme as “unconstitutional” right when political funding through the scheme had reached its peak. Electoral bonds sold in the last 10 months are worth more than one-third of what had been sold over the previous 63 months. Understandably so, as the elections are approaching. 

The Constitutional Bench of the Supreme Court not only prohibited further issuance of such bonds, which allow donors to remain anonymous, but also ordered disclosure of donor and recipient details of all political funding through it. The Election Commission of India has to make the data public by March 13, according to the court’s orders.   

The government did not want donor details to be revealed, arguing that it may adversely impact donors. However, the court prioritised transparency and upheld the people’s right to information regarding the sources of funds parties are receiving.  

The scheme was controversial right from the beginning. At that time, the BJP was yet to gain a majority in the Upper House. It was introduced in the Parliament in 2017 as a Money Bill, which does not require the Rajya Sabha’s endorsement to become a law. While many opposition parties criticised the move, only the CPI (M) challenged it in court. The Association for Democratic Reforms (ADR) was among the other petitioners. 

Civil society groups alleged that anonymous funding would expand the scope for corporate influence on government policy matters and that there would be no way for people to find out if there has been a quid pro quo relating to such funding. After all, funding has evidently come in the figures of crores.