Today(on 11th March),The Supreme Court dismissed the State Bank of India’s plea for an extension to disclose electoral bond details, ordering the information by March 12. Additionally, the Election Commission must publish the details by March 15.
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NEW DELHI: Today(on 11th March),The Supreme Court of Indiahas firmly rejected the State Bank of India’s (SBI) request for an extension to disclose details of electoral bonds. The apex court has mandated that the SBI must provide the necessary information by the end of business hours on March 12, 2024. This ruling is a significant step towards enhancing transparency in political funding, as the court emphasizes the importance of public access to information regarding electoral bonds.
Senior advocate Harish Salve, representing SBI, expressed the bank’s challenges in collating the required information, stating:
“We are in the process of gathering information, and we find ourselves having to reverse the entire procedure. Our bank was informed that this is meant to be kept confidential.”
However, Justice Sanjiv Khanna countered, highlighting the straightforward nature of the court’s request:
“You have to just open the sealed cover, collate the details and give the information. ECI was asked to file details in a sealed envelope.”
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The Supreme Court’s five-judge bench, led by Chief Justice DY Chandrachud, expressed dissatisfaction with SBI’s lack of progress since the court’s initial order.
“In the last 26 days, what steps have you taken? Your application is silent on that,”
– the bench noted, emphasizing the urgency of the matter.
Previously, on February 15, the same bench declared the Centre’s electoral bonds scheme unconstitutional due to its allowance of anonymous political funding. The court had ordered SBI to disclose details of the donors, the amounts donated, and the recipients to the Election Commission of India (ECI) by March 6, with the ECI expected to publish this information by March 13.
The Chief Justice pointed out:
“According to Clause 7(4) of the electoral bonds scheme, information provided by the buyer of the electoral bond is deemed confidential by the authorized bank. However, it is subject to disclosure upon request or in the event of an offense registration by a law enforcement agency. Therefore, the State Bank of India is obligated to disclose information as mandated by the electoral bonds scheme.”
The court also addressed the logistical challenges presented by SBI, noting the bank’s argument that matching donor details with bond encashments is a complex process due to the measures taken to ensure donor anonymity. Despite these challenges, the court found SBI’s request for additional time unwarranted, emphasizing that the bank had already been provided with sufficient time to comply with the directives.
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The bench has disposed of the contempt petition in light of the new directives, stating:
“The State Bank of India (SBI) is instructed to submit an affidavit from its Chairman and Managing Director regarding adherence to the aforementioned directives. Currently, the court refrains from invoking its contempt jurisdiction. However, SBI is duly notified, and any non-compliance will be treated as willful disobedience of the court’s order, prompting further action.”
Furthermore, the court has dismissed the Miscellaneous Application (MA) filed by SBI that sought an extension until June 30, 2024, for the disclosure of electoral bond details. The Supreme Court’s dismissal of this request reflects its insistence on timely transparency, particularly in the context of the upcoming Lok Sabha elections.
The Election Commission of India (ECI) has also been directed to play a crucial role in this process. The Supreme Court has ordered the ECI to compile the disclosed information and ensure its publication by 5 PM on March 15, 2024. This directive aims to make the details of electoral bond transactions accessible to the public, thereby enhancing the transparency of political funding.
ALSO READ: Electoral Bonds Unconstitutional | Supreme Court Rejects Anonymous Political Donations
This ruling comes amid concerns raised by the Association for Democratic Reforms (ADR) regarding the lack of transparency in political funding through electoral bonds. The ADR’s application highlighted the fundamental right of voters to know about the financial contributions to political parties, arguing that the current lack of transparency undermines the essence of participatory democracy.
READ ORDER BELOW : State Bank of India Vs Association for Democratic Reforms and Others