Merely a few days after the State Bank of India expressed its inability to furnish details pertaining to electoral bonds in a short notice, the public sector bank, following the Supreme Court’s rebuke, released substantial information in this regard. As per the data released by the SBI, between April 1, 2019, and February 15, 2024, 22,217 electoral bonds were purchased, with 22,030 redeemed by political parties. The reluctant yet swift release of data raises serious questions about the PSB’s intent, especially amidst allegations that it was trying to hide funding details of the ruling party.
Furthermore, the release of second list of donors by the Election Commission, based on the submissions made by political parties, ostensibly for the period before April 12, 2019, paints a bit more comprehensive picture. However, while the unveiling of donor names provides some insight into the sources of political funding, critical gaps remain in the disclosure process. Perhaps it is in this light that the Supreme Court has directed the SBI to disclose “full details” regarding electoral bonds, including the alphanumeric numbers revealing connections between buyers and recipient political parties. Additionally, the Court mandated the SBI chairman to submit an affidavit by 5 pm on March 21, confirming that no information has been withheld.
Electoral Bonds Scheme, introduced in 2018, were intended to streamline political contributions while maintaining donor anonymity. Yet, concerns over transparency and accountability have dogged the scheme from its inception. The recent Supreme Court verdict declaring the scheme unconstitutional underscored these apprehensions, highlighting the need for greater transparency in political funding. Furthermore, the data released on Supreme Court’s directions paint a dismal picture of the nature and extent of political funding over the past five years. The data offers a glimpse into the magnitude of contributions received by various political parties. Notably, the ruling Bhartiya Janata Party (BJP) has emerged as the largest beneficiary, having received a staggering Rs 6,986.5 crore through electoral bonds since their introduction. This revelation raises pertinent questions about the influence of big money in shaping political outcomes and the potential for undue influence on policy decisions. Interestingly, certain BJP leaders are still defending the Electoral Bonds Scheme, highlighting the “need for money” to fight elections and claiming that the scheme was essential for preventing black money from entering into political funding domain. These claims, however, stand unsubstantiated.
Furthermore, the disclosure of donor names unveils patterns that warrant closer scrutiny. The concentration of donations from sectors heavily regulated by the government, such as mining, telecom, and infrastructure, raises concerns about the nexus between political contributions and access to state resources. Also, glaring instances where donations coincide with investigations by enforcement agencies underscore the need for safeguards against quid pro quo arrangements and undue influence.
All eyes are now on SBI that is expected to release unique alphanumeric codes associated with electoral bonds in a couple of days. If, even by a partial measure, the link between ED raids and political funding through electoral bonds is established, that would be a black day for Indian democracy. Meanwhile, the reluctance of certain political parties, notably the BJP and the Congress, to disclose donor information raises concerns about their commitment to transparency. The revelations from the electoral bonds data underscore the urgent need for comprehensive reforms in campaign finance laws. Suggestions such as public funding of political parties and digital means of donations merit serious consideration to ensure a level playing field and prevent undue influence. It is high time that inconsistencies relating to political funding in India are fixed once and for all.