In a recent revelation, the State Bank of India (SBI), authorized to issue Electoral Bonds (EBs), has charged the government a staggering Rs 13.50 crore for commission, printing, and other expenses related to the management and operation of the Electoral Bonds Scheme. This information comes to light in response to a Right to Information (RTI) application filed by transparency campaigner Commodore Lokesh K Batra (Retd).
The Electoral Bond Scheme, introduced in 2018, allows for anonymous donations to political parties, with details of donors and recipient parties kept hidden from the public eye. The scheme has faced criticism for its lack of transparency and accountability, as corporates are believed to be the major contributors to political parties through these bonds.
Of the total amount charged by the SBI, Rs 11.60 crore has been levied as commission, inclusive of GST, resulting from the sale of Electoral Bonds in 29 phases. Additionally, an amount of Rs 1,90,01,380 (inclusive of GST) has been charged for the printing of Electoral Bonds. Furthermore, Rs 6,720 has been levied for the ‘Device to verify Mask-Print Security.’
The irony of the Electoral Bond scheme is that while donors purchasing bonds are not required to pay any service charges or printing costs, it is the government and ultimately the taxpayers who bear these expenses. This facilitates ‘anonymous tax-free funding’ to political parties through the opaque Electoral Bonds Scheme.
Commodore Lokesh K Batra (Retd) emphasized the significant amount being spent on government machinery and manpower to manage and operate the Electoral Bond scheme, all at the expense of taxpayers. The funds for printing Electoral Bonds and the device for verifying Mask-A-Print Security were sourced from the budgetary head 2052.00.090.09.01.16 under the grant of the Department of Economic Affairs.
In the recent 29th phase of the sale of Electoral Bonds between November 6-20, political parties reportedly garnered Rs 1,006 crore from anonymous donors. The total amount collected through EBs has reached Rs 15,946 crore since the introduction of the scheme in 2018. Notably, major political parties have not officially disclosed the amounts received through Electoral Bonds.
As demands for transparency grow, questions regarding the anonymity of donors and the lack of disclosure by political parties remain at the forefront. The Supreme Court’s recent order for the Election Commission to submit data on electoral bonds received by political parties adds another layer to the ongoing debate surrounding the controversial Electoral Bond Scheme.
Despite the controversy, Electoral Bonds continue to be purchased anonymously by donors, valid for 15 days from the date of issue. The bonds, issued in denominations ranging from Rs 1,000 to Rs 1 crore, serve as a unique financial instrument allowing donors to contribute to political parties without revealing their identities.
