New Delhi, September 24, 2025 – In a development that could reshape the landscape of political funding in India, the Supreme Court of India is set to hear a batch of petitions today seeking greater transparency in the aftermath of its landmark 2024 ruling that struck down the controversial Electoral Bonds Scheme. The hearings, before a Constitution Bench led by Chief Justice D.Y. Chandrachud, come amid ongoing debates over donor disclosures and the effectiveness of post-verdict reforms, with activists and opposition leaders hailing it as a "vital step toward true electoral accountability."
The Electoral Bonds Scheme, introduced in 2018 through amendments to the Finance Act, 2017, allowed anonymous donations to political parties via bonds purchased from the State Bank of India (SBI). Proponents argued it curbed black money in elections by routing funds through banking channels, but critics, including the Association for Democratic Reforms (ADR), decried it as "legalized bribery" that shielded crony capitalism and violated voters' right to information under Article 19(1)(a) of the Constitution.
In a unanimous verdict delivered on February 15, 2024, the apex court declared the scheme unconstitutional, labeling it "arbitrary" and violative of Article 14 (equality before law). The bench, comprising Justices Sanjiv Khanna, B.R. Gavai, J.B. Pardiwala, and Manoj Misra, applied the proportionality test to rule that the anonymity provisions disproportionately harmed democratic transparency. The court directed the SBI to furnish complete donor details—including alphanumeric codes—to the Election Commission of India (ECI) for public disclosure by March 31, 2024, covering bonds issued since April 12, 2019. Subsequent orders in March and April 2024 compelled full compliance, revealing over ₹16,000 crore in donations, predominantly to the ruling Bharatiya Janata Party (BJP).
Today's Petitions: Beyond the Verdict
The fresh pleas, filed by ADR, the Communist Party of India (Marxist) (CPI(M)), and Congress leader Jaya Bachchan, argue that the 2024 disclosures—while groundbreaking—fell short of comprehensive reform. Key demands include:
Mandatory Real-Time Disclosures: Petitioners seek amendments to the Representation of the People Act, 1951, requiring political parties to report donations above ₹20,000 within 30 days, with donor identities publicly accessible via the ECI portal.
Corporate Funding Caps: A cap on corporate contributions at 5% of average net profits over three years, coupled with bans on government contracts for donors exceeding thresholds, to prevent quid pro quo arrangements.
Foreign Influence Scrutiny: Enhanced oversight on indirect foreign funding through Indian subsidiaries, invoking concerns from the court's earlier observations on "institutionalized kickbacks."
ADR's counsel, Prashant Bhushan, emphasized during preliminary submissions that "the 2024 verdict was a victory for voters, but without enforcement mechanisms, it's a hollow one. Transparency isn't a one-time reveal—it's a continuous safeguard against corruption." The Centre, represented by Solicitor General Tushar Mehta, countered that the existing framework, including electoral trusts, already promotes accountability without stifling donor privacy. "The balance between transparency and protection from reprisals must not tip into overreach," Mehta argued in affidavits.
Broader Context and Reactions
The hearings gain urgency ahead of the 2029 Lok Sabha elections, with recent data from the ECI showing a 15% rise in undeclared political funds since the bonds' scrapping. Social media buzz on X (formerly Twitter) reflects polarized views: supporters of the petitions, like user @V_with_RG, hailed Leader of Opposition Rahul Gandhi's past warnings on bonds as "prophetic," linking it to "crony capitalism at its peak." Critics, including BJP-aligned voices, decry the pleas as "opposition vendettas," pointing to the scheme's role in reducing cash donations by 40% pre-2024.
Tributes to late ADR co-founder Prof. Jagdeep Chhokar, who passed away on September 12, 2025, at 80, have amplified calls for reform. Chhokar, a key architect of the 2024 challenge, was remembered by figures like Delhi CM Arvind Kejriwal as a "humble warrior for transparent elections." His legacy includes landmark wins mandating candidate affidavits on assets and criminal records.
Legal experts anticipate the bench may invoke precedents like Union of India v. ADR (2002), which enshrined voters' right to know candidates' antecedents. "This could lead to a 'sunshine law' for political finance," opined constitutional scholar Gautam Bhatia, adding that the court's proportionality lens will test the government's reform proposals.
As arguments commence at 10:30 AM, all eyes are on whether the Supreme Court will build on its 2024 edifice or deem current measures sufficient. For now, the pleas underscore a persistent truth: in India's vibrant democracy, the fight for clean money in politics is far from over.
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