The Congress on April 10 alleged that every day a new dimension is emerging in the electoral bond scheme (EBS) and alleged that the EBS deliberately “muddied” the waters of corporate political donations.
Responding to The Hindu’s investigation on 20 newly incorporated companies purchasing electoral bonds worth ₹103 crore, Congress general secretary (communication) Jairam Ramesh took to X (formerly Twitter) to target Prime Minister Narendra Modi.
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“Every day a new dimension emerges to the #PayPM Scam, confirming the shocking reality of the corruption which has engulfed this country through Narendra Modi’s encouragement,” Mr. Ramesh said in a post on X.
Expressing doubts about the background of the newly incorporated companies that purchased the electoral bonds, Mr. Ramesh said these companies were likely to be shell companies. “This is a direct violation of rules which prevent companies less than three years old from donating to parties. This is not a coincidence. The Modi Sarkar’s Electoral Bonds Scheme deliberately muddied the waters of corporate political donations,” he alleged.
‘Anonymity for donors’
Mr. Ramesh said the electoral bond scheme got rid of the provision which limited corporate donations to 7.5% of their average net profit during the previous three years and introduced complete anonymity for donors, preventing public oversight of donations.
He also pointed out that as far back as 2017, the Election Commission as well as the Reserve Bank of India had warned that the EBS may lead to the use of “black money through shell companies” and money laundering.
“The prohibition on companies less than three years old was one of the last few guardrails that remained to prevent an influx of political funds coming in from shell companies. This last safeguard was also routinely violated under the Prime Minister’s supervision,” Mr. Ramesh alleged.
