The Supreme Court’s ruling in February 2024 that declared the electoral bond scheme unconstitutional has redirected corporate political funding to electoral trusts. The Election Commission of India (ECI) reports a notable increase in contributions through these trusts in the last financial year.

Key Highlights from ECI’s Report

  1. Prudent Electoral Trust Leads Contributions
    • Total Donations: Rs 1,075.7 crore (Rs 797.1 crore after February 15, 2024).
    • Year-on-Year Growth: A near threefold increase from Rs 363.16 crore in 2022-23.
    • Top Donors:
      • ArcelorMittal Nippon: Rs 100 crore
      • DLF: Rs 99.5 crore
      • Maatha Projects: Rs 75 crore
      • Maruti Suzuki: Rs 60 crore
      • CESC: Rs 60 crore
    • Beneficiaries:
      • BJP: Rs 723.8 crore
      • Congress: Rs 156.35 crore
      • Bharat Rashtra Samithi (BRS): Rs 85 crore
      • YSR Congress: Rs 72.5 crore
  2. Triumph Electoral Trust Contributions Surge
    • Total Donations: Rs 132.5 crore (Rs 130 crore post-ban).
    • Year-on-Year Growth: From Rs 0.5 crore to Rs 132.5 crore.
    • Top Donors:
      • Cholamandalam Investment: Rs 50 crore
      • CG Power Industrial: Rs 30 crore
      • Coromandel International: Rs 25.5 crore
    • Beneficiaries:
      • BJP: Rs 127.5 crore
      • DMK: Rs 5 crore
  3. Jayabharat Electoral Trust Sees First Donations
    • Total Contributions: Rs 9 crore in 2023-24 (previously nil).
    • Key Donors:
      • Lakshmi Machine Works: Rs 8 crore
      • Super Sales India: Rs 1 crore
    • Beneficiaries:
      • BJP: Rs 5 crore
      • DMK: Rs 3 crore
      • AIADMK: Rs 1 crore

Impact of the Supreme Court’s Ruling

The Supreme Court’s decision on February 15, 2024, marked a turning point in political funding. With electoral bonds banned, electoral trusts have become the primary medium for corporate donations to political parties.

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