In view of the coming Assembly polls in five States, the Election Commission (EC) has come out with ten suggestions to curb use of black money and sought the opinion of all recognised political parties.
The EC letter of August 30 said, “The Commission feels that it is desirable for the political parties to observe transparency and accountability in respect of funds raised and expenditure incurred both during elections and in other times. The suggestions and comments of parties have to reach the Commission before September 30.”
The suggestions make it mandatory for the ‘Treasurer’ of political parties to maintain all the finances and accounts of the party and account it in compliance with the standards issued by the Institute of Chartered Accountants of India (ICAI).
Donations made to a party should be deposited in a recognised bank account within a reasonable time. The poll panel, which already has an election expenditure monitoring cell and had deployed tax sleuths to monitor cash funds, stressed that all payments made to candidates for poll-related expenses should be done through recognised banking channels approved by RBI.
Suggestions
Treasurer of political parties to maintain all finances and accounts of party
Accounting of funds must comply with standards issued by Institute of Chartered Accountants of India Donations made to a party should be deposited in a recognized bank account within a reasonable timePayments made to candidates for poll-related expenses should be done through recognised banking channels mandated by RBI
Payments made to candidates should be monitored by Election Expenditure Monitoring Celllump sum amount paid by parties to its candidates for election expenses to be given by account payee cheque, draft, or RTGS, NEFT or internet transfer.
Parties should obtain a “utilization certificate” from the candidates for funds disbursed to themDuring election process, no party candidate, party functionary or party worker must carry party funds in cash exceeding a specified amount
nParties should get their accounts audited every financial year
nA copy of audited accounts to be submitted to EC before September 30 every year