The Supreme Court of India has directed the State Bank of India (SBI) to disclose all information it possesses regarding electoral bonds. This comes after a previous order on February 15, 2024, where the Court declared the electoral bond scheme unconstitutional.
Electoral bonds were introduced by the Indian government in 2018. These are essentially anonymous donation coupons that could be purchased by anyone and used to donate money to political parties. The scheme aimed to increase transparency in political funding by eliminating the use of cash donations.
Why Did the Court Find Electoral Bonds Unconstitutional?
The Supreme Court argued that anonymity in political donations weakens accountability and increases the risk of undisclosed influence on political parties. While the scheme aimed for transparency, the lack of information about the donors meant it was difficult to track the source of funding.
What Information Did SBI Need to Disclose?
Initially, SBI provided details like the names of buyers, the date of purchase, the denomination of the bonds, and the names of political parties that redeemed them. However, the Court emphasized that “all details” included the unique alphanumeric codes on the bonds. These codes are crucial for linking donors with the political parties they funded.
SC Seeks Assurance from SBI Chairman
The Court expressed concerns that SBI might be withholding some information. To ensure complete transparency, they asked the SBI Chairman, Dinesh Kumar Khara, to file an affidavit by March 21st, 2024. This affidavit will confirm that SBI has disclosed every detail in its possession regarding electoral bonds.
What Happens Next?
With the complete information from SBI, the Election Commission of India (ECI) can now potentially analyze the data and identify the donors behind the electoral bonds. This transparency could lead to further investigations into political party funding and potentially expose undisclosed sources of influence.
Significance of the Judgement
The Supreme Court’s order is a significant step towards greater transparency in political funding in India. By ensuring complete disclosure of information about electoral bonds, the Court aims to hold political parties more accountable and reduce the risk of undue influence on them.
This is an evolving story, and it remains to be seen how the ECI will utilize the data received from SBI and whether it will lead to any further actions.
