First tranche of electoral bonds issued, says OP Rawat

Bengaluru (Karnataka): Chief Election Commissioner O.P. Rawat on Saturday said the first tranche of electoral bonds has been issued, scheme for which was notified on January 2.

"Although government has taken a step like electoral bonds, (Election) Commission had reservations and pointed out some issues on those bonds. Scheme has been notified on 2nd January 2018 & first tranche of electoral bonds have been issued," he said here.

Rawat, post issuing of the first tranche, hoped to go back to the government flagging the issues where reforms are needed for transparency.

"Commission thought that with firsthand experience of first tranche issued, we will again go back to the government flagging the issues where reforms are needed to ensure transparency and accountability in such an important aspect," the chief election commissioner stated.

Rawat was addressing the 14th annual conference on electoral and political reforms. He took charge as the CEC in January, this year.

The Election Commission (EC) had earlier expressed reservations on the issuance of electoral bonds.

Last year, the top election body had told a parliamentary committee that electoral bonds introduced by the government was a "retrograde" step.

Expressing apprehensions, even former CEC A.K. Joti had said the bonds could not solve all problems pertaining to transparency in political funding.

A donor can purchase electoral bonds from a bank only and has to disclose in his accounts the amount of political bonds that he has purchased. The life of the bond would be only 15 days.

A bond can only be encashed in a pre-declared account of a political party. Every political party in its returns would have to disclose the amount of donations it has received through electoral bonds to the EC.