Electoral Bonds — Unconstitutional Scheme that encouraged Money laundering in the name of Anonymity
Why many people have raised doubts with regards to Electoral Bonds
In February 2024, Supreme Court of India held that the Electoral bonds scheme was “unconstitutional,” struck it down, and ordered the publication of all data, including details that connect the donors with the recipient parties.
The data was released in several batches spanning over a week with the State Bank of India (SBI) first reluctant to share the data citing long procedure in matching the donors to the political parties, then after stern warning from the apex court released the data in full.
Electoral Bonds, first of all the name is all wrong.
It is not really a bond and it was really not for raising money for elections.
What is a Bond in Finance?
Bonds are debt instrument which can be issued by governments and corporations when they want to raise money.
By purchasing a bond, you’re giving the issuer of bond a loan, and they agree to pay you back the face value of the loan on a specific date, and to pay you periodic interest payments along the way, usually twice a year.
