NEW DELHI: The Supreme Court of India on Friday slammed the State Bank of India (SBI), the nation’s largest lender, for failing to disclose comprehensive information regarding the electoral bonds scheme. This scheme, which allowed individuals and businesses to donate to political parties anonymously, has faced scrutiny for its lack of transparency.
SC Responds To EC’s Petition
Responding to a petition filed by the Election Commission, the apex court issued directives to SBI, urging the bank to provide not only the details it had already shared but also the electoral bond numbers. The five-judge bench, led by Chief Justice DY Chandrachud, emphasized the importance of disclosing all relevant information related to electoral bonds, which the court had previously struck down.
Electoral Bonds: Supreme Court says SBI has not disclosed the numbers of the electoral bonds, which it had to do https://t.co/s5Jfkv8J1f
— ANI (@ANI) March 15, 2024
SBI’s Failure To Fully Disclose Bond Numbers
Chief Justice Chandrachud expressed disappointment with SBI’s failure to disclose bond numbers, highlighting the necessity of this information. The court directed SBI to rectify this omission and provide a complete account of electoral bond transactions during the past five years.
Notice To SBI And Next Hearing
In response to the court’s notice, SBI has been summoned to explain its lapses during the upcoming hearing scheduled for March 18. The court’s scrutiny underscores the significance of transparency in electoral financing.
Affidavit Filed By SBI Chairman
The Chairman of SBI, Dinesh Kumar Khara, filed an affidavit on March 13, detailing the bank’s compliance with the court’s orders. The affidavit outlined the information furnished to the Election Commission, including the purchase and encashment dates of electoral bonds, as well as the names of purchasers and political parties involved.
Data On Electoral Bonds
According to SBI’s affidavit, a total of 22,217 bonds were purchased between April 1, 2019, and February 15, 2024. The bank provided a breakdown of bond transactions during this period, highlighting both purchases and redemptions.
SC Warns SBI Of Contempt
The Supreme Court cautioned SBI against contempt of court for any willful disobedience of its directives. Non-compliance with the court’s orders could result in severe consequences for the bank.
Earlier court rulings mandated SBI to disclose electoral bond details by March 12, rejecting the bank’s request for an extension until June 30. The court reiterated its stance on transparency, emphasizing the importance of timely disclosure.
SC Strucks Down Electoral Bonds Scheme
The court’s decision to strike down the electoral bonds scheme reflects concerns over anonymous funding to political parties. The scheme, along with related amendments to tax and electoral laws, faced criticism for facilitating unchecked financial contributions.