In December 2022, Electoral Bonds Worth Rs 232 Crore Were Sold

RTI data supplied by the State Bank of India showed that while Mumbai was the most popular destination to purchase the bonds, Delhi continues to remain the city where a significant majority are redeemed.

New Delhi: In the December 2022 window, electoral bonds worth Rs 232.10 crore were sold, according to the Indian Express. Right to Information (RTI) applications filed by the newspaper showed that while Mumbai was the most popular destination to purchase the bonds, Delhi continues to remain the city where a significant majority are redeemed.

Data provided by the SBI – the only bank authorised to sell electoral bonds – regarding the 24th tranche of sales showed that 260 electoral bonds were sold between December 5 to December 12, 2022, according to IE. The sale of the bonds began on the day when the people of Gujarat voted in the second (and final) phase of the assembly election.

Bonds worth Rs 114 crore (nearly 50%) were sold in Mumbai, followed by Hyderabad (Rs 56 crore) and Chennai (Rs 30 crore). In the New Delhi and Kolkata branches, bonds worth Rs 16.10 crore and Rs 16 crore respectively were sold.

According to the newspaper, Delhi remains the top choice for political parties to redeem the bonds – Rs 194.10 crore (83%) of the Rs 232 crore that was sold were encashed at SBI’s New Delhi branch. “The remaining electoral bonds were redeemed in Hyderabad (Rs 21 crore) and Kolkata (Rs 17 crore),” IE said.

Since the scheme began in 2018, SBI has sold 20,734 electoral bonds that were worth Rs 11,699.83 crore, the bank said in response to the RTI application. Among all the tranches, the most bonds were purchased in Mumbai (Rs 3,163.57 crore), followed by Kolkata (Rs 2,408.71 crore), Hyderabad (Rs 2,030.35 crore) and New Delhi (Rs 1,760.94 crore). In Delhi alone, bonds worth Rs 7,603.33 crore were encashed, the newspaper reported.

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Until the 22nd tranche, electoral bonds were sold for a period of ten days each in the months of January, April, July and October, with the provision for an additional period of thirty days in the years when Lok Sabha elections are held. However, just ahead of the Gujarat assembly election, the Union government amended the scheme to add another 15 days of sales in the years when elections to assemblies are held. The 23rd tranche of sales, between November 9 to November 15, 2022, was the first under the amended scheme.

The RTI data accessed by the Indian Express was for the 24th tranche, sold in December.

An electoral bond is valid for 15 days from the date of issuance. No payment would be made to any political party if the bond is deposited after the expiry of the validity period. The opaque bonds can be purchased by Indian citizens or entities incorporated or established in the country.

Registered political parties which have secured not less than 1% of the votes polled in the last Lok Sabha or legislative assembly election are eligible to receive funding through electoral bonds, which the government claims bring transparency in political funding but critics say has the opposite effect.