Supreme Court struck down the Electoral Bonds Scheme
In this verdict, the Supreme Court said the electoral bonds scheme was violative in the prospect of the right to information that also impacts the free speech and expression of the citizens under Article 19(1)(a). Here we are going to break down the verdict for you in five major points. Let us discuss this in detail.
- The Electoral Bonds Scheme was unconstitutional as the scheme violated the right to information of the citizens of India. The scheme was not transparent and impacted the free speech and expression of the citizens under Article 19(1)(a) of the Indian Constitution.
- The Supreme Court ordered the State Bank of India to stop the process of issuing electoral bonds with immediate effect. The Supreme Court also asked the State Bank of India to furnish a detailed report by 6th March 2024 to the Election Commission of India detailing all the electoral bonds that were sold. Uncashed electoral bonds must be returned to the purchaser by political parties with an immediate effect.
- The Supreme Court also repealed all the amendments made to the Income Tax Act and the Representation of People Act. In the past, some amendments made the donations anonymous.
- In a crucial observation, the Supreme Court said that this particular scheme aided the political party that was in power based on financial means. The scheme can not be justified based on the consequences that it has the potential to track down the black cash flow in Indian politics. This scheme also created Economic Inequality in the different stages of administration like policy-making quid pro quo arrangements that were in favor of the leading party.
- The judgment also commented that the amended Companies Act was totally “unconstitutional”. This amendment allowed blanket corporate political funding that also violated the right to information of citizens about the possible quid pro quo.
Electoral Bonds Scheme Unconstitutional: Supreme Court
Electoral Bonds Scheme Unconstitutional: The Supreme Court strikes down the anonymous poll funding system or the Electoral Bonds Scheme on 15th February 2024 at 10:30 AM. In this landmark verdict, the Supreme Court clearly states that the Electoral Bonds Scheme is “Unconstitutional” in nature as it violates the right to information under Article 19(1)(a). The particular scheme was announced in the Union Budget speech for the very first time by the Union Finance Minister Late Arun Jaitley in 2017.
In this verdict, Chief Justice of India D Y Chandrachud ordered that the banks should stop selling electoral bonds with immediate effect. They also told the State Bank of India to give a detailed report to the Election Commission of India detailing all the electoral bonds that were sold from April 12, 2019, till now.
In this article, we are going to discuss the Electoral Bonds Scheme with its history, features, and related loopholes in detail. We will also cover the news of the Electoral Bonds Scheme which is struck down by the Supreme Court of India.
Table of Content
- What is the Electoral Bond Scheme?
- Why it is in the News?
- Electoral Bonds – Overview
- Supreme Court struck down the Electoral Bonds Scheme
- Key Observations and Directions Of Supreme Court
- Effects – Electoral Bonds Scheme Unconstitutional : Supreme Court
- Concerns Related to the Electoral Bonds Scheme
- Transaction Toll Through Electoral Bonds Scheme – Party Wise
- Electoral Bonds Scheme – Data Released by the Election Commission of India
- Top 10 Regional Parties Income (₹) in FY 2021-22 (Unknown Sources)
- Electoral Bonds – Bond Numbers