28 March 2017

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Legally Now companies can pay unlimited anonymous Bribes to Political Parties

Legally Now companies can pay unlimited anonymous Bribes to Political Parties
In India, currently a company may contribute up to 7.5% of the average of its net profits in the last three financial years, to political parties. The company is required to disclose the amount of contributions made to political parties in its profit and loss account, along with the name of the political parties to which such contribution was made.
The amendments to the Finance Bill, 2017 propose to remove following –
(i) the limit of 7.5% of net profit of the last three financial years, for contributions that a company may make to political parties,
(ii) the requirement of a company to disclose the name of the political parties to which a contribution has been made.

In addition, contributions to political parties will have to be made only through a cheque, bank
draft, electronic means, or any other scheme notified by the government to make contributions to political parties.

Finance Bill, 2017 contains provisions to introduce electoral bonds to make contributions to political parties. Electoral bonds will be bonds issued by notified banks, for an amount paid through cheque or electronic means

What are the Electoral Bonds?

Let us now understand the Electoral Bonds and How they will work?

An electoral bond, introduced through an amendment to the Reserve Bank of India Act, 1934, is a bond issued by notified banks, worth specified denominations, that can be bought by depositing a cheque or using digital money.

Electoral Bonds will be bearer Bonds, these bonds will help to hide the identity of donor who paid Rs. 1 Crore or 100 Crore Donation to the XYZ political Party.

Every recognized political party will have to notify one bank account in advance to the Election Commission and these can be redeemed in only that account in a very short time. These will be bearer bonds to keep the donor anonymous

India needs to Bring transparency and honesty regarding political funding but BJP government is just behaving opposite of this 
For Which reasons companies will pay donations using this system – 
Company violates environmental laws and they are caught
Just pay anonymous donation and government minister will see that the company does not pay any fine. Government Minister will say Fine amount is 100 crores, pay 50% to my political party and we will not take any action, the numbers in report will get changes and fine amount will become minimum like Rs. 1 or Rs. 10

Income Tax Raid – Found Rs. 1000 Crore
Again, same rule – Pay 50% to Political Party and case will get solved.

Like this if you think little bit any Indian will come up with hundreds of reasons for which companies will pay legal Bribes, Unlimited amount of Bribe demanded by Government Minister for the Political Party.

Lobbying in India is Illegal and Lobbying is Legal in USA.
Even Indian Government also uses Lobbying system of USA.

Indian Government needs to legalize Lobby System which is followed in the USA.
USA does not allow anonymous donations to political parties.
Every citizen, company in USA must reveal how much money company paid to political party for what reasons.

Today Lobbying happens in India also which helps to generate black money and is paid like Bribes.

Do you know any Indian company accepting that for XYZ reason they paid XYZ amount to Political Party?

Because of the Lobbying system in USA, Walmart one of the biggest super market chains or Malls told revealed the American Congress that it spent $25 million on lobbying activities including “enhancing access to the Indian market

Transparent Political Funding Means Government is Honest Law Makers are Honest

Anonymous Funding to Political Party means Few Law Makers are dishonest.

An honest Politician will never support anonymous political funding that also unlimited funding.

Hope BJP government will see that company is not allowed to pay more than Rs. 20,000 using electronic bonds.

Say No to Anonymous Funding Don’t be a Anti National by Supporting Anonymous Funding to Political Parties

Suggested Reading –

Lobbying by Government of India in USA is Legal but Not Walmart in USA

Part 1 Understanding Lobbying system of America, a need for India to legalize Lobbying

Part 2 Understanding Lobbying, is not a bribe Paid by the Companies or anyone

Reality views by sm –

Tuesday, March 28, 2017

Tags – Political Party Funding India


rudraprayaga March 29, 2017  

If the funding is through cheques, banks,electronic media etc cannot go black.But anonymous funding if not legal it will pollute transparency.