Here’s an essay on the Electoral Bonds issue that can be useful for TSPSC/APPSC Group-1 mains aspirants:

Electoral Bonds: Balancing Transparency and Anonymity

Introduction

Electoral bonds, introduced in 2017 through a Finance bill and implemented in 2018, serve as a means for individuals and entities to make donations to registered political parties while maintaining donor anonymity. These bonds are money instruments similar to promissory notes, which can be bought from the State Bank of India (SBI) and donated to a political party. The bonds are only redeemable in the designated account of a registered political party. A person, whether an individual or a company, can buy these bonds either singly or jointly with others

Ensuring Fair, Just, and Open Elections

Electoral bonds have several positive aspects that contribute to ensuring fair, just, and open elections:

1. Enhanced Transparency: The primary goal of the electoral bonds program was to increase transparency in India’s election financing. By channeling donations through bonds, the process becomes more traceable and accountable.
2. Anonymity: The procedure ensures that the donor’s identity remains confidential. This anonymity encourages more individuals and companies to participate in political funding without fear of repercussions.
3. Increased Accountability: The Election Commission receives information from political parties regarding contributions made through electoral bonds. This transparency assists in improving India’s electoral financing system.

Concerns Regarding Electoral Bonds

Despite the positive aspects, there are significant concerns associated with electoral bonds:

1. Possibility of Extortion: Since these bonds are sold via a government-owned bank (SBI), there is a risk that the government could identify and potentially exploit those funding its opponents. This situation could give an unfair advantage to the ruling party.
2. Blow to Democracy: An amendment to the Finance Act 2017 exempted political parties from disclosing donations received through electoral bonds. As a result, voters do not know which individual, company, or organization has funded which party and to what extent. In a representative democracy, citizens cast their votes based on this information.
3. Compromising the Right to Know: The Supreme Court of India has consistently held that the “right to know,” especially in the context of elections, is an integral part of the right to freedom of expression (Article 19) under the Indian Constitution. The lack of transparency undermines this right.
4. Crony Capitalism: The electoral bonds scheme removes pre-existing limits on political donations, allowing well-resourced corporations to fund elections. This paves the way for crony capitalism, where close relationships between business leaders and government officials can influence policy decisions.

Conclusion

Balancing transparency and anonymity in political funding is crucial. While electoral bonds simplify the process and enhance transparency, addressing the concerns related to extortion, democracy, citizens’ right to know, and crony capitalism is equally important. Striking the right balance will strengthen India’s democratic processes and ensure that elections remain fair and just.

Remember, as an aspirant preparing for TSPSC/APPSC Group-1 mains, understanding these nuances and presenting a well-rounded view in your essays will demonstrate your analytical skills and depth of knowledge. Best of luck with your preparation! 📝✨