New Delhi (The Hawk): On Thursday, the administration announced that it was reviewing the Election Commission's proposal to lower the amount of anonymous political donations from 20,000 to 2000 rupees.
Minister of Law and Justice Kiren Rijiju responded in writing to a question in the Rajya Sabha on Thursday about the government's position on the Commission's proposal and whether such actions would bring about reforms and transparency in donations received by political parties: "The proposal is under examination."
The polling panel has suggested lowering anonymous political donations from Rs 20,000 to Rs 2,000 in order to promote openness and improvements in the funds received by political parties.
Political parties are currently required to report to the EC all contributions over Rs 20,000 in their contribution report. The threshold amount for cash contributions to political parties has been proposed to be reduced from Rs 20,000 to Rs 2,000 by the Commission. All donations over Rs 2,000 will be included in the contribution report sent to the Commission if the proposal is accepted.
A few political parties have reported contributions over Rs 20,000 as zero, despite the fact that their audited financial statement revealed receipt of sizable sums, all below the Rs 20,000 threshold.
To rid election finance of dirty money, the poll panel had also suggested capping cash donations at 20%, or a maximum of Rs 20 crore.
The changes being considered will also force candidates to keep a separate account for donations and other election-related expenses, which must be fully revealed to the authorities.
(Inputs from Agencies)