Polity Class Handout-2 by Mr.

Samarjit Mishra
Symbols:
• It is a standardized pictographic image allocated to a political party to be used by
the party for election purpose.

• It is more than just a symbol, it is the identity, ideology and idea about the party.
Overall it’s the recognition of the party among masses.
• ECI stated that the recognition of political parties is supervised by the provisions of
Election Symbols (Reservation and Allotment) Order, 1968 and so will the allotment
of symbols.
• Once registered under Section 29A RPA 1951, the ECI allots the political parties
Symbols are taken from the free list for registered political parties and the reserved
symbols are provided to the recognized political parties- SPP and NPP that can be
exclusively reserved for its use throughout the country and the states respectively
• ECI can decide disputes among rival groups or sections of a recognised political party
staking claim to its name and symbol. This is done by due consultation with the
representative of the political parties and ascertaining their support to the section.
• In Sadiq Ali and another vs. ECI in 1971, the Supreme Court held that ECI is the only
authority to decide issues on a dispute or a merger under the order.
• For splits in registered but unrecognised parties, the EC usually advises the warring
factions to resolve their differences internally or to approach the court
• Before 1968, the EC issued notifications and executive orders under the Conduct of
Election Rules, 1961.

Electronic Voting machine:

Electronic Voting Machine (also known as EVM) is voting using electronic means to either aid or take
care of the chores of casting and counting votes. An EVM is designed with two units: the control unit

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and the balloting unit. These units are joined together by a cable. The control unit of the EVM is kept
with the presiding officer or the polling officer. The balloting unit is kept within the voting
compartment for electors to cast their votes. This is done to ensure that the polling officer verifies
your identity. With the EVM, instead of issuing a ballot paper, the polling officer will press the Ballot
Button which enables the voter to cast their vote. A list of candidates names and/or symbols will be
available on the machine with a blue button next to it. The voter can press the button next to the
candidate’s name they wish to vote for.

Advantages:
1. Multiple times usage
2. Less Storage spaces
3. Ballot box and ballot paper
4. Require less manpower
5. Easy to transport
6. Faster registration of votes
7. Help fight electoral malpractices
8. Faster counting of votes and declaration

However, doubts have been raised over the efficacy of the use of EVM. It is said, they don’t confer
transparency in conducting elections, the voter can’t verify whether the votes have been recorded
accurately, and he cannot check if the machine is temper-proof.
Therefore, in some of western democracies, a paper trail or paper audit system has been introduced
along with the use of the EVM. Under the system, the EVM apart from recording a vote also dispenses
a printed receipt with the name of the candidate and his election symbols, in whose favour the vote
has been recorded.
The voter after verifying the printout drops it in a ballot box. Initially, the election results are
announced on the basis of votes recorded in the EVM. If the election results are disputed, the votes
recorded under the paper trail system are counted and if there is any discrepancies in the two
results, the results given by the paper trail system will prevail over that of the EVM.

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The ECI has developed a paper trail system called the Voter Verifiable Paper Audit System – VVPAT,
which was introduced for the first time on an experimental basis by ECI in some of the polling booth
during the elections held to the Legislative Assembly of the Mizoram state in 2013.

State Funding of Elections:

The idea of state funding of elections is a concept designed to reduce corruption by funding
elections with government money as opposed to individual campaign contributions. If parties and
candidates are financed with only private funds, economical inequalities in the society might
translate into political inequalities in government.

• Indrajit Gupta Committee (1998) endorsed state funding of elections, seeing “full
justification constitutional, legal as well as on ground of public interest” in order to
establish a fair playing field for
parties with less money.
• The 1999 Law
Commission of India report
concluded that total state
funding of elections is
“desirable” so long as political
parties are prohibited from
taking funds from other
sources.
• “Ethics in Governance”, -
Second ARC also recommended partial state funding of elections for the purpose of
reducing “illegitimate and unnecessary funding” of elections expenses.
• The National Commission to Review the Working of the Constitution, 2001, did not
endorse state funding of elections but concurred with the 1999 Law Commission
report that the appropriate framework for the regulation of political parties would
need to be implemented before state funding is considered.

Advantages Disadvantages
Transparent system of financing budgetary burden on State
Level playing field – True value of Taxpayer money for election-oriented
Democracy politics
Reduce black money in the election Level playing field will be distorted-
process- keeping the big money out Rec PP > Reg. PP
Coercion of businesses houses will Parties should mobilise fund as per
reduce their mass reach

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Political Parties and Right to Information
Role of political parties is very important. It is not only limited to the formation of government but
also to political awareness generation and stimulation of public opinion in the country. They provide
a platform for the participation of the common man in the decision-making process of the country.

CIC declaring Political parties under RTI in 2013:

1. Nature of work done by Political parties is similar to public authorities
2. Section 2 (h) – bodies substantially financed by the government are to be considered
public authorities.
3. A public authority can only supervise over another public authority.

Supreme Court consultation with the government in 2015:

Government is not in favour of declaring the Political parties under the ambit of the RTI.

Reasons provided:
1. Intention of the original act was not to include Political parties
2. Will Hamper Smooth functioning – Frivolous complaints by rival parties
3. Already information is available with the election commission.

Inner Party Democracy

Political parties, like in any other modern democracy, have been the major driver of democratic
politics and governmental power in the country. But interestingly, there are no explicit provisions in
the Indian Constitution that lays down guidelines for regulating the conduct of the political parties in
India. There is no mention of political parties either in the statute. Only Section 29 (A) of the
Representation of the People Act, 1951 mandates the registration of political parties. Section 29A
required all political parties to abide by their Constitution and uphold democracy in order to be
registered with the ECI.
In the case of ‘Indian National Congress vs Institute of Social Welfare & Others’ of 2002, the Supreme
Court held that the ECI cannot take punitive action against registered political parties for violating
the principles of inner-party democracy.
Increasing corporatization of politics, the universalization of a high-command culture within political
parties and the growth of larger-than-life politicians have cumulatively impacted inner-party
democracy in India.

Need;
1. Representation: Political parties becoming closed autocratic structures - adversely
impacts the constitutional rights of all citizens to equal political opportunity to
participate in politics and contest elections
2. Transparency: will allow proper ticket distribution and candidate selection
independent of whims of a few powerful leaders in the party but will represent the
choice of the larger party.
3. Accountability: A democratic party will be accountable to its party members.
4. Less Factionalism: A leader with strong grassroot connections would not be
sidelined.
5. Decentralising Power and decision making: Election at each level will allow
creation of power centres at different levels.

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 6. Criminalization of Politics: distribution of tickets on the vague concept of
winnability induces criminal elements in politics.

Reasons for Lack of Intra-Party Democracy:

1. Centralised Structure of Political Parties and stringent anti-defection law deters
party legislators from voting in the national and state legislatures according to their
individual preferences.
2. Lack of Law: Currently, there is no express provision for internal democratic
regulation of political parties in India. ECI does not have any statutory power to
enforce internal democracy in parties or to mandate elections.
3. Easy to Subvert Internal Elections: The ability of present stable leadership to
subvert internal institutional processes to consolidate more power and maintain the
status quo is unquestionable.
4. Dynasty Politics: Growing nepotism in political parties, with senior party leaders
fielding their kins in elections, the succession plans for “family” constituencies are
being put in place.
5. Tendency of hero worship: Leader takes over the party and builds his own coterie,
ending all forms of intra-party democracy.

Election Commission on Internal Democracy:

1. ECI has periodically used guidelines issued for registration of parties under Section
29A of the Representation of the People Act, 1951 to remind parties to conduct
internal elections and to ensure that their leadership is renewed, changed or re-
elected every five years.
2. The commission has asked the Law Ministry for the power to deregister political
parties in the past.
3. ECI rejected the idea of a ‘permanent president’ for a party and stated such a step is
inherently anti-democratic.

Way Forward:
1. ECI mandate to deregister Political parties on event of missing internal elections
2. ECI shall be competent to inquire into allegations of non-compliance with any of the
provisions requiring elections.
3. Parties are required to inform the ECI about changes in their office bearers and
addresses

Political parties control the levers of governance in a democracy. So only strong political will
emanating from irrefutable electoral demands for inner-party democracy can only lead India
towards the process of democratising its political parties.

Model Code of Conduct:

It is a set of guidelines formulated by the ECI in consultation with the major Political parties of the
country in 1985. It is a consensus document.
It enjoys moral but not legal authority. However, it has received the approval of the supreme court
where the court has recognised it as an important instrument in holding free and fair elections in the
country. It is a document that is unique to India and no other democracy in the world has a
document similar to the MCC.

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Its objective is to provide a level playing field between the ruling party and the other stakeholders
and ensures fair and free elections in the country.
It is being implemented by the ECI. It comes into force as soon as the elections schedule is announced
by the ECI which is normally 3 week in advance of election notification issued by the president or
governance as the case may be. It remains in force till the election results are officially announced by
the ECI.
It is binding on the central and state governments, the political parties, the candidates contesting
elections, civil servants who are assigned to election duties and any person who is associated with
elections.
Once, it comes into force, the central and the state government shall not announce any welfare
measure that may influence the voting behaviour of the citizens. The central and state government
shall not transfer officers without consulting the ECI. The ECI also enjoys the power to direct the
central and the state government to transfer or not to transfer officials linked to elections. The
central and the state government ministers and the legislators shall not combine official work with
election work. They are prohibited from using the official machinery of the state in form of a state
helicopter, aircraft, vehicles etc for the election campaigning purposes except for the PM and CM who
for security reasons are allowed to use the official machinery for the election purpose provided their
political party pay up for their use.
The ECI is also authorised to take the necessary actions if campaigning is conducted by any political
parties or candidates along communal lines.
The success of MCC is largely measured on the basis of the ECI efforts in reversing the violations, of
the MCC. It is obeyed by all stakeholders by and large because of the adverse publicity its violation
and disobedience of the directions of the ECI brings in the form of the possible electoral loss. Further,
in the last three decades the ECI has been so impartial and neutral in implementing the MCC and the
stakeholders have come to pledge their faith in the ECI. The ECI has also been swift in taking actions
/decisions either sou motu or on complaint in reversing the violation of the MCC.
Further, the MCC is a consensual document voluntarily agreed upon by the major political parties
and they realise that it is in the larger interest.
In February 2012, the UPA government indicated that it may confer legal status to the MCC, which
was opposed by the general public, the opposition parties and Media. This is so because that if it
becomes a legal code, it will move out of the control of the ECI and come under the jurisdiction of the
courts. Since the courts are already burdened with a large number of pending cases, they may not
succeed in implementing the code on time and the code may lose its credibility.
It is therefore suggested that if it is given legal status the law must make it clear that the court shall
continue to be under the control of the ECI and the courts shall be prohibited from interfering in the
implementation of the code till the elections results are announced officially by the ECI.

Freebies
Parties Manifesto are increasingly becoming tools to make short-term populist announcements to
attract voters. The promises of various goodies (laptops, cycles, color TVs etc) and waivers (free
electricity, loan waivers etc) is increasingly becoming a matter of concern as it is associated with a
number of adverse political, social and economic consequences.

Issues with Freebies:

✓ Fiscal burden on the state affects other initiative as politics takes precedence
✓ Dent to Good Governance as incompetent politicians to get elected

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 ✓ Cultivate a patron-client syndrome (Subject- Agent)
✓ Encourage personality cult in a democratic polity
The Supreme Court in the Subramaniam Balaji vs State of Tamil Nadu 2013 analysed the challenges
put forth by the petitioner that:
1. Freebies are Unconstitutional as Article 282 mandates that the centre and state
government can expend the money only for "public purpose"
2. Freebies are Illegal as it violates Section 123 of RoPA, 1951 which defines "bribery" to
include any gift, offer or promise by a candidate or his election agent by any other
person that has the effect of inducing a voter to vote for him.

Supreme Court ruling:

• It rejected these contentions on the grounds that Section 123 applied only to
candidates and not to a political party and that the distribution of freebies was a
policy decision and these welfare measures were in compliance with the Directive
Principles
• Supreme Court held that "distribution of freebies shakes the root of free and fair
elections to a large degree".
• ECI through an affidavit also held that freebies disturb the level playing field and
vitiates election process.
Supreme Court didn't issue any specific directions and observed that Election Commission should
consult all political parties and issue suitable directions in this behalf"

Way forward:
✓ Empowered civil society can play a major role in voters’ awareness
✓ ECI to issue guidelines banning consumer durables and expensive gifts as freebies
✓ Supreme Court to give clear directions for preventing misuse of loopholes in the RPA

Campaign Expenditure:
It is the amount that an election candidate is legally allowed to spend and must account for their
election campaign, which includes expenses for public meetings, rallies, posters, banners, vehicles,
and advertisements.
Larger States Smaller States
Lok Sabha elections Rs 70 lakh to Rs 95 lakhs Rs 54 lakh to Rs Rs 70 lakh
State legislative elections Rs 28 lakh to Rs 40 lakh Rs 20 lakh to Rs 28 lakh

There is no limit to expenditure to Political parties.

Most of the political parties in India have majority of their income coming from unknown sources.
Financing of political parties is an important indicator of the maturity and quality of democracy.

Issue for black money and criminalisation of politics:

Due to lack of transparency in the funding:

1. Black money is entering the political landscape
2. Misuse of money power in the elections through illegal distribution of cash, alcohol
etc.

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 3. Distorting level playing field: violation of expenditure limits thus making election
unfair for honest candidates.
4. Increases political-criminal- business nexus (NN Vohra)
5. Informed choice of voters get impacted

Misuse by Political parties for financial gains:

1. Tax exemption: I-T Act, 1961 confers tax exemption to parties for income from
property, income from voluntary contributions, capital gains and other sources.
2. Splitting donations: Section 29C of RoPA requires all political parties to furnish an
annual statement of all contributions received by them in excess of Rs. 20,000 to the
Election Commission of India.
3. No limit on expenditure by political parties on election campaign
4. No criminal penalty (England model): Section 125A of the RPA does not explicitly
enables ECI to strictly punish candidates who file wrong affidavits and wrong election
expenditure details.
5. Inaction on part of submitting Audit report
6. Electoral Bond Schemes have also reduced the transparency with anonymous
doners
7. Amendment to Companies Act, 2013:
a. requirement for declaring disaggregated donations to political parties
removed
b. any company (profit or loss making) can contribute to political parties
c. limit of 7.5% of corporate donations to political parties has been removed

Reform needed:
1. complete transparency in electoral funding
a. Ban cash donations
b. All contributions (even those below Rs 20,000) to be disclosed
c. Audited political party accounts should be published yearly
2. Limit tax exemption enjoyed by a party to only that income which is properly
accounted for
3. ECI to be given explicit power to take action against misleading affidavits and
election expenditure details
4. Bringing Political Parties under RTI

ELECTORAL BOND SCHEME – Now declared Unconstitutional (brief idea and way ahead)
Electoral Bond were bearer instrument in the nature of a Promissory Note and an interest free
banking instrument. It was first announced in Budget 2017-18 and officially launched in Jan 2018
with an aim to infuse political system with white money (accounted money) to fight the scourge of
black money.
Common Cause and Association for Democratic Reforms (ADR) - challenged the Electoral Bond
Scheme alleging that it is "distorting democracy" and the Supreme Court said the electoral bonds
scheme was violative of the right to information, impacting free speech and expression under Article
19(1)(a).
The Supreme Court said the electoral scheme would aid the political party that was in power.

An Analysis;
✓ Fundamentally wrong steps in electoral finance;

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 o Anonymity and opacity will have a major implication on transparency in
political party finances and will fundamentally alter the perception around
political donations.
o Rajya Sabha MPs- “bad precedent”- It has the potential to increase black
money circulation, money laundering, cross-border counterfeiting and forgery.
o ECI- donation received by a political party through an electoral bond has been
taken out of the ambit of reporting and therefore, is a retrograde step and
needs to be withdrawn.
✓ Blow to ‘Democracy and Rule of law’: It s infringe the citizen’s fundamental ‘Right
to Know’
✓ Power at behest of Government of the day:
o The said anonymity does not apply to the government of the day, which can
always access the donor details by demanding the data from the State Bank of
India (SBI).
o Government has also made SBI accept expired electoral bonds worth Rs 20
crores sold in illegal window or extending days more than norms
o Finance Ministry has broken its own rules by approving the unscheduled and
illegal sale of electoral bonds for State Assembly elections on many occasions.
o Electoral bonds carry unique alphanumeric characters hidden in the top right
corner of the bonds. It is visible only under ultraviolet light, and invisible to
the naked eye. The obvious reason is ruling government wants to keep a
concealed track on the donors
✓ S.Y Quraishi (Former CEC) said “While buying an electoral bond, one needs to
furnish their KYC details. The serial number of the bond, matched with the KYC
details, will clearly reveal who donated how much money to which political party.”
✓ Distorts level-playing field: majority of the bonds were received by a single party.

Way Forward:
1. Principle of anonymity of the bond donor enshrined in the Scheme must be done
away with.
2. List of all political parties eligible to receive donations should be compiled and
regularly updated on the basis of the vote share secured by the parties in the last
General Election.
3. Express penalties, apart from losing tax benefits, should be imposed on political
parties for any non-compliance with the disclosure provisions
4. Inactive political parties should be delisted and be out of ambit of funding through
the scheme
5. Political parties should be brough under the ambit of RTI
6. Scrutiny of financial documents submitted by parties to be conducted annually by a
body approved by Comptroller and Auditor General (CAG) and the Election
Commission.

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