The Supreme Court of India has declared the electoral bonds scheme for political funding unconstitutional, stating that it violates the fundamental right to freedom of speech and expression under Article 19(1)(a) of the Constitution. In two unanimous verdicts delivered by a five-judge bench led by Chief Justice of India (CJI) DY Chandrachud, the Court struck down the scheme, which had allowed anonymous contributions to political parties. The ruling emphasized that the scheme infringes upon the right to information, as voters are denied access to the identities of donors, making the process opaque.
The Core Issue: Electoral Bonds and Political Funding
The electoral bonds scheme, introduced by the central government in January 2018, was intended as an alternative to cash donations to political parties, purportedly to bring transparency to political funding. The bonds, issued by the State Bank of India (SBI), could be purchased by any Indian citizen or company and then donated anonymously to a political party. However, the anonymity of the donors became a point of contention, with critics arguing that it undermined transparency and allowed for unaccounted-for political funding.
In its ruling, the Supreme Court highlighted that the anonymity of donors through electoral bonds undermines the voters’ right to information, which is essential for making informed choices in a democracy. The Court found that by anonymizing the contributions, the scheme infringed upon Article 19(1)(a), which guarantees the right to freedom of speech and expression. Chief Justice Chandrachud, while delivering the verdict, emphasized that voters have a right to know who is funding political parties and that political privacy and affiliation are part of the right to privacy.
Understanding Article 19(1)(a) of the Constitution
Article 19(1)(a) of the Indian Constitution guarantees all citizens the right to freedom of speech and expression. This fundamental right enables individuals to express their thoughts, opinions, and ideas freely through various forms, including speech, writing, and visual representations. The Court’s ruling aligns with the notion that the right to information is an integral part of freedom of expression, particularly in the context of political transparency and accountability.
The Supreme Court’s Decision on Electoral Bonds
The Court’s verdict came in response to multiple pleas challenging the legality of the electoral bonds scheme. Critics argued that it allowed for unregulated and anonymous political donations, potentially opening the door to corruption and undue influence in politics. The Supreme Court, recognizing the importance of transparency in political funding, ordered the State Bank of India to disclose details of donations made through the electoral bonds scheme to the Election Commission of India.
Additionally, the Court mandated that details of each electoral bond encashed by political parties be made public, ensuring that citizens have access to critical information about the flow of political funds. This ruling aims to make political parties more accountable to the public and ensure that the electoral process remains transparent.
Conclusion
The Supreme Court’s decision to strike down the electoral bonds scheme is a significant step toward ensuring transparency in political funding. By declaring the scheme unconstitutional, the Court has reaffirmed the importance of the right to information and political privacy as fundamental to the democratic process. The ruling also sets a precedent for future cases involving the balance between political funding and constitutional rights, highlighting the need for greater accountability and openness in India’s political system.