Electoral Bonds: Prominent Buyers Revealed, Including Lakshmi Mittal, Sunil Bharti Mittal, and Anil Agarwal

In a significant development, the Election Commission of India has made public the data on electoral bonds, shedding light on the prominent buyers of these now-scrapped financial instruments used for political donations. The data, released on March 14, 2023, a day ahead of a Supreme Court-imposed deadline, reveals the names of several well-known individuals and corporate entities that purchased electoral bonds.

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Corporate Buyers of Electoral Bonds

Among the prominent buyers of electoral bonds are steel tycoon Lakshmi Mittal, billionaire Sunil Bharti Mittal's Airtel, Anil Agarwal's Vedanta, ITC, Mahindra and Mahindra, and a lesser-known entity called Future Gaming and Hotel Services. Future Gaming, which faced an investigation by the Enforcement Directorate in March 2022, purchased electoral bonds worth over Rs 1,350 crore under different sets of companies.

Other notable corporate buyers include Vedanta Ltd., which bought bonds worth Rs 398 crore, and Sunil Mittal's three companies, which collectively purchased bonds worth Rs 246 crore. Steel magnate Lakshmi Niwas Mittal made a personal purchase of bonds worth Rs 35 crore, while Hyderabad-based Megha Engineering, known for securing large infrastructure project contracts, acquired bonds worth Rs 966 crore.

Political Parties Receiving Electoral Bonds

While most of the electoral bonds were issued in the names of political parties, donations to the Congress and the Samajwadi Party were made in the names of "President, All India Congress Committee" and "Adyaksha Samajvadi Party," respectively.

Supreme Court Directive and Data Disclosure

Following a Supreme Court directive, the State Bank of India (SBI), the authorized seller of electoral bonds, shared the data with the Election Commission on March 12. The top court had granted the Election Commission time until 5 pm on March 15 to upload the data on its website.

The Election Commission has presented the details in two parts: one listing the buyers and the other listing the beneficiary parties, under the title "Disclosure of Electoral Bonds Submitted by SBI."

Additional Buyers and Beneficiaries

The data uploaded by the Election Commission reveals a wide range of buyers and beneficiaries of electoral bonds. Some notable buyers include Spicejet, IndiGo, Grasim Industries, Megha Engineering, Piramal Enterprises, Torrent Power, Bharti Airtel, DLF Commercial Developers, Vedanta Ltd., Apollo Tyres, Edelweiss, PVR, Keventer, Sula Wines, Welspun, Sun Pharma, Vardhman Textiles, Jindal Group, Phillips Carbon Black Limited, CEAT tyres, Dr. Reddy's Laboratories, ITC, Kaypee Enterprises, Cipla, and Ultratech Cement.

The parties that redeemed electoral bonds include the BJP, Congress, AIADMK, BRS, Shiv Sena, TDP, YSR Congress, DMK, JD-S, NCP, Trinamool Congress, JDU, RJD, AAP, the Samajwadi Party, Jammu and Kashmir National Conference, BJD, Goa Forward Party, Maharashtrawadi Gomantak Party, Sikkim Krantikari Morcha, JMM, Sikkim Democratic Front, and the Jana Sena Party.

Landmark Verdict and Disclosure Order

In a landmark verdict delivered on February 15, a five-judge Constitution bench of the Supreme Court declared the Centre's electoral bonds scheme unconstitutional. The scheme allowed anonymous political funding, which the court deemed to be in violation of the Constitution. The court ordered the Election Commission to disclose the identities of donors, the amounts donated, and the recipients of electoral bonds.

Individual Donors and Other Notable Buyers

In addition to prominent corporate entities, several individuals also made donations through electoral bonds. These individuals include Kiran Mazumdar Shaw, Varun Gupta, B. K. Goenka, Jainendra Shah, and a person identified only by the first name Monika. Ghaziabad-based Yashoda Super Speciality Hospital purchased 162 bonds, mostly of Rs 1 crore each.

Other notable buyers include Bajaj Auto (Rs 18 crore), Bajaj Finance (Rs 20 crore), three IndiGo firms (Rs 36 crore), Spicejet (Rs 65 lakh), Rahul Bhatia of IndiGo (Rs 20 crore), Mumbai-based Qwik Supply Chain Pvt Ltd (Rs 410 crore), and Haldia Energy (Rs 377 crore).

Total Electoral Bond Sales and Party Contributions

According to a report by the Association of Democratic Reforms (ADR), a total of 28,030 electoral bonds worth Rs 16,518 crore have been sold from March 2018 to January 2024. The BJP has received the highest contributions through electoral bonds, amounting to Rs 6,566 crore or 54.77 percent. The Congress follows with Rs 1,123 crore or 9.37 percent, and the Trinamool Congress with Rs 1,092 crore or 9.11 percent.

The release of data on electoral bonds has shed light on the prominent buyers and beneficiaries of these financial instruments. The move towards transparency in political funding, as mandated by the Supreme Court, is a significant step in ensuring accountability and ethical practices in Indian politics.