The Electoral Bond Scheme has been a topic of heated debate and controversy in Indian politics, with recent developments shedding light on its far-reaching implications. Renowned economist Parakala Prabhakar’s projection that the issue will heavily cost the ruling Bharatiya Janata Party (BJP) underscores the gravity of the situation.
Prabhakar, who is married to Union Finance Minister Nirmala Sitharaman, has highlighted the electoral bond issue as not only a significant scam in India but potentially the largest in the world. His statement reflects growing awareness and concern among the electorate regarding the opacity and potential for abuse inherent in the electoral bond system.
The BJP, as revealed by data, has been the biggest beneficiary of electoral bonds, receiving a staggering amount of ₹6,986.5 crore between April 12, 2019, and February 15, 2024. This influx of funds has undoubtedly bolstered the party’s financial resources, allowing it to wield considerable influence in the political arena.
However, recent revelations have cast a shadow over the legitimacy of these contributions. Reports indicate that a significant portion of the funds received by the BJP through electoral bonds came from companies under investigation by agencies such as the CBI, ED, and I-T Department. The timing of these donations, particularly after raids by these agencies, raises serious questions about the integrity of the electoral process and the potential for quid pro quo arrangements.
The Supreme Court’s ruling in February dealt a significant blow to the Electoral Bond Scheme, striking it down and ordering the immediate cessation of bond issuance by the State Bank of India. This decision reflects the judiciary’s recognition of the scheme’s flaws and the need to safeguard the transparency and integrity of electoral financing.
Civil society activists have been vocal in their condemnation of the electoral bond system, highlighting its inherent lack of transparency and susceptibility to misuse. The revelations regarding donations from companies under investigation further underscore the need for comprehensive reform in political funding mechanisms.
As the implications of the electoral bond scandal continue to unfold, it remains to be seen how it will impact Indian politics and the fortunes of the Bharatiya Janata Party. The electorate’s response, as predicted by Prabhakar, may indeed serve as a referendum on the perceived integrity and accountability of the ruling government, shaping the course of future elections and governance in India.
