EC seeks ban on anonymous political donations above Rs 2k

- Sanjib Sharma   19-12-2016


The cash collection in the political parties may soon come under scrutiny, with the Election Commission (EC) proposing that the limit or accepting anonymous donations will be reduced to Rs 2k from Rs 20k.

If the proposal gets accepted by the government will reduce the size of the window available to political parties to accept donations without having to reveal the donor and improve transparency in political funding. 

There is no constitutional or statutory prohibition on receipt of anonymous donations by political parties. But there is an “indirect partial ban” on anonymous donations through the requirement of declaration of donations under section 29C of The Representation of the People Act, 1951.

As per the proposed amendment, sent by the Commission to the government, and made part of its compendium on proposed electoral reforms, “anonymous contributions above or equal to the amount of Rs 2,000 should be prohibited.”

"Anonymous contributions above or equal to the amount of Rs 2,000 should be prohibited." The recommendation of the EC said.

The feeling in the EC is that if crores of citizens can be made to brave hardships due to demonetization that targets black money, political parties too should be part of the clean-up. The EC’s recommendations are already with the Law Commission.