Government of India Notified Electoral Bond Scheme 2018 Date, Details, Conditions

Government of India Notified Electoral Bond Scheme 2018 Details, Dates, Conditions, About

The Government of India has notified the Electoral Bond Scheme-2018, Gazette Notification No. 20 dated 02nd January 2018.

As per distribution of the Electoral Bond Scheme 2018, Electoral Bonds may be purchased by a person, who is a citizen of India or incorporated or established in India.

A person can buy Electoral Bonds, either singly or jointly with other individuals.

Only the Political Parties registered under Section 29A of the Representation of the People Act, 1951 (43 of 1951) and which secured not less than 1% of the votes polled in the last General Election or the Legislative Assembly, shall be eligible to receive the Electoral Bonds.

The Electoral Bonds shall be encashed by an eligible Political Party only through a Bank account with the Authorized Bank.

State Bank of India (SBI) has been authorized to issue and encash Electoral Bonds through its 11 Authorised Branches (as per list enclosed) with effect from 2nd July 2018 to 11th July 2018.

The Electoral Bonds shall be valid for fifteen calendar days from the date of issue and no payment shall be made to any payee Political Party if the Electoral Bond is deposited after expiry of the validity period.

The electoral bonds scheme was announced in Union Budget 2017 with an aim for increasing transparency in political funding. It was first sold on 1st Feb 2018.

Electoral Bond

An electoral bond is designed to be a bearer instrument like a Promissory Note in effect, it will be similar to a bank note that is payable to the bearer on demand and free of interest. It can be purchased by any citizen of India or a body incorporated in India.