New Delhi, September 19
The Election Commission of India (EC) has written to the Ministry of Law amp; Justice proposing that the government should think of bringing down anonymous political donations from Rs 20,000 to Rs 2,000 and cap cash donations at 20 per cent or a maximum of Rs 20 crore out of the total funds received by a party, to curb use of black money in poll funding, sources said today.
For transparency
Sources say CEC has written to Union Law Minister Kiren Rijiju recommending a slew of amendments to the Representation of the People ActProposals aim at bringing in transparency in donations received by parties and also expenditure incurred by candidates, they say
The sources said Chief Election Commissioner (CEC) Rajiv Kumar has written a letter to Union Law Minister Kiren Rijiju recommending a slew of amendments to the Representation of the People Act. The sources said the proposals were aimed at bringing in transparency in donations received by parties, and also the expenditure incurred by candidates.
The move comes in the backdrop of the poll panel recently delisting 284 defaulting and non-compliant registered unrecognised political parties and also declaring more than 253 inactive.
The Income Tax Department recently raided a number of such entities across the country on charges of tax evasion after the EC shared its report with Central Board of Direct Taxes (CBDT).
Incidentally, as per the existing rules the parties have to disclose all donations above Rs 20,000 through their contribution report to the EC.
The sources said if the EC’s proposal is approved by the Law Ministry, all donations above Rs 2,000 shall be reported through the contribution report, thereby enhancing transparency in the funding process.
The poll panel has found that while donations reported by some parties were nil, their audited accounts statement showed receipt of huge amounts, proving large-scale transactions in cash, below the threshold limit of Rs 20,000. The EC has also sought to restrict cash donations at 20 per cent or at maximum Rs 20 crore out of the total funds received by a party, whichever is less, they said.