Foreign political funding

Where is transparency, Mr PM?

Hari Jaisingh

Narendra Modi Money flows from power. And power flows from money. This is a harsh fact of India's parliamentary system of democracy.
Money speaks. So does power. No wonder, the ruling BJP's income has soared 80 per cent to 1,034 crore in 2016-17 from Rs 570 crore in 2015-16, according to audit reports filed with the Election
The BJP's income works out roughly twothirds of the combined income of Rs 1,559 crore of all other six national parties (Congress, BSP, Trinmool Congress, CPM, CPI and NCP). This is much higher than the Congress share during the 10-year tenure of the UPA. Analysis by the Association for Democratic Reforms (ADR) has noted that "grants, donations/contributions of Rs 997.12 crore declared by the BJP formed 96.41 per cent of the total income of the party during 2016-17. A simple deduction from the ADR report is that the ruling BJP gets big-big salami from rich individuals and commercial companies for considerations which are part of today's functional system of governance.
Whether we like it or not, there is no escape from the basic fact of Indian democracy, irrespective of the colour of the party in power, money power and votes go together. Some exceptions to this general practice are surely there. Say, for instance, when in the post-Emergency period Indira Gandhi's Congress lost power to the Janata Party. Otherwise, it is the same story of "tainted" money turning democracy into an exercise in "unfair practices".
The Indian system whether we admit or not, has developed an appetite for easy money flow. And it thrives in the name of "vote banks". The average voter may or may not be aware of its implications. In any case, what can he do if he virtually becomes a "prisoner" of the system that functions either cunningly or secretly?
I nursed a big hope after Narendra Modi's historic triumph in the 2014 elections that he and his party would make the system of governance transparent and people-friendly. But to my shock came the big blow of demonetization. BJP leaders may call it a big success. I don't think so. How can any such measure be a reformist if it makes people suffer, both in urban and rural India, throws the economy out of gear and takes away lakhs of jobs of workers in the informal sector? I don't wish to repeat the old story. However, after nearly four years of a state of drift, the country is still faced with the jobless phenomenon, notwithstanding Prime Minister Narendra Modi's promises to generate two crore jobs for young Indians every year!
Big promises might still be soothing to a section of the electorate. But the country's overall economic scenario continues to be grim amidst reports of good monsoon prediction and the Prime Minister's somewhat declining charismatic hold on the country. With a year away from the crucial 2019 election, will PM Modi's "chirag" work to the delight of people? I am not sure. It is an open game though the Opposition parties are yet to find a formidable common leader who can be a match to PM Modi's stature in public rhetoric and confidence-building expertise.
Be that as it may. What is most disturbing to sensitive Indians like me is that increasingly Indian political activity is fed by opaque money flow. Call it black money, if you so desire. But elections, directly or indirectly, generate more and more black money.
I remember once an expert had suggested that as much as Rs 170 crore was spent on the 1980 Lok Sabha elections. In turn, this generated nearly Rs 400 crore of black income. That was a very conservative estimate. If we closely look at the past 16 Central elections and numerous state elections since India became a Republic on January 26, 1950, we can easily guess the lesser known deleterious aspects of our democracy.
Perhaps, it is too late to reverse this money-infested process – a far cry from the Gandhian dream!
Today, the danger lies in opaque (black) money operations becoming an integral part of the democratic polity, despite occasional good moves by the Election Commission of India.
Examine closely the electoral "money pipelines". Their sources would put people with a conscience to shame. It is not only a question of quantum but also the very dimensions of the operations which are eating into the vitals of the nation and raising the basic question of values, morality, and transparency of the system. The BJP's Prime Minister Narendra Modi government has a lot to explain on these counts.

Big promises might still be soothing to a section of the electorate. But the country's overall economic scenario continues to be grim amidst reports of good monsoon prediction and the Prime Minister's somewhat declining charismatic hold on the country. With a year away from the crucial 2019 election, will PM Modi's "chirag" work to the delight of people? I am not sure. It is an open game though the Opposition parties are yet to find a formidable common leader who can be a match to PM Modi's stature in public rhetoric and confidence-building expertise.

I wish to tell my fellow citizens that the time has come to build pressure on the rulers to introduce fiscal, administrative and electoral reforms to minimize the influence of illegal flow of money for political parties. Transparency and public accountability have to be part of our system and working democracy!

The Foreign Contribution (Regulation) Act, 2010, that prohibited foreign funding for Indian political parties, has thus been amended to exempt parties with deep pockets from any scrutiny. This means no questions will be asked and no answers given on such foreign funding, including illegal transactions.
Ironically, in 2016, the Narendra Modi government cancelled the licences of 20,000 NGOs and in 2017, 4,842 cancellations took place over supposed violations of the Foreign Contribution Regulation Act (FCRA), 1976. Yet, the BJP government in 2018 has apparently adopted a completely different standard of transparency for itself and by its courtesy extended to other political parties as well for the surreptitious donations they receive from foreign entities!
What happened to PM Modi's election-time promise of ensuring transparency in the system? The moot question now is: will foreign political funding not lead to external influence in India's election processes and practices? I do not rule out such a possibility. Regrettably, the Narendra Modi government has made corporate funding of political parties more secretive, contrary to its promise of bringing in more transparency!
According to the Association for Democratic Reforms (ADR), the BJP got 89 per cent of corporate donations in 2016-17. This clearly shows that corporations tend to be more liberal in funding the party in power for reasons which can be easily guessed. Ironically, Prime Minister Modi had held out a big promise to the people to make political funding transparent. Now, most of his promises to the electorate can be seen in the reverse gear.
Mr Prime Minister, less of secrecy and more of openness are the basic requirements for building a corruption-free polity. Such an approach alone could help strengthen the roots of Indian democracy. Loose ends of the system and political waywardness would not.
I wish to tell my fellow citizens that the time has come to build pressure on the rulers to introduce fiscal, administrative and electoral reforms to minimize the influence of illegal flow of money for political parties.
Transparency and public accountability have to be part of our system and working democracy!



		EDITOR'S MAIL FROM THE EDITOR POLITICAL IRONY POLITICS OF CONFLICT UNIVERSITY AUTONOMY QUESTION PAPER LEAKS FRANKLY SPEAKING REALPOLITIK SHAME INDIA ! SHAME INDIA ! SIGNS OF THE TIMES POLITICAL SCENE EXPORT DRIVE KASHMIR WATCH KASHMIR WATCH HIMACHAL PRADESH POLITICS IN PUNJAB CHANDIGARH DIARY COMMONWEALTH GAMES HITS & MISSES INDIA'S TIBET POLICY SYRIAN CRISIS REMEMBERING S. NIHAL SINGH REMEMBERING TVR BOOK BAZAAR BOOK BAZAAR YOGA IN DAILY LIFE STORY OF GURUGRAM CINEMA ART OF LIVING Issue:May' 2018 Subscribe Now	FRANKLY SPEAKING Foreign political funding Where is transparency, Mr PM? Hari Jaisingh Narendra Modi Money flows from power. And power flows from money. This is a harsh fact of India's parliamentary system of democracy. Money speaks. So does power. No wonder, the ruling BJP's income has soared 80 per cent to 1,034 crore in 2016-17 from Rs 570 crore in 2015-16, according to audit reports filed with the Election The BJP's income works out roughly twothirds of the combined income of Rs 1,559 crore of all other six national parties (Congress, BSP, Trinmool Congress, CPM, CPI and NCP). This is much higher than the Congress share during the 10-year tenure of the UPA. Analysis by the Association for Democratic Reforms (ADR) has noted that "grants, donations/contributions of Rs 997.12 crore declared by the BJP formed 96.41 per cent of the total income of the party during 2016-17. A simple deduction from the ADR report is that the ruling BJP gets big-big salami from rich individuals and commercial companies for considerations which are part of today's functional system of governance. Whether we like it or not, there is no escape from the basic fact of Indian democracy, irrespective of the colour of the party in power, money power and votes go together. Some exceptions to this general practice are surely there. Say, for instance, when in the post-Emergency period Indira Gandhi's Congress lost power to the Janata Party. Otherwise, it is the same story of "tainted" money turning democracy into an exercise in "unfair practices". The Indian system whether we admit or not, has developed an appetite for easy money flow. And it thrives in the name of "vote banks". The average voter may or may not be aware of its implications. In any case, what can he do if he virtually becomes a "prisoner" of the system that functions either cunningly or secretly? I nursed a big hope after Narendra Modi's historic triumph in the 2014 elections that he and his party would make the system of governance transparent and people-friendly. But to my shock came the big blow of demonetization. BJP leaders may call it a big success. I don't think so. How can any such measure be a reformist if it makes people suffer, both in urban and rural India, throws the economy out of gear and takes away lakhs of jobs of workers in the informal sector? I don't wish to repeat the old story. However, after nearly four years of a state of drift, the country is still faced with the jobless phenomenon, notwithstanding Prime Minister Narendra Modi's promises to generate two crore jobs for young Indians every year! Big promises might still be soothing to a section of the electorate. But the country's overall economic scenario continues to be grim amidst reports of good monsoon prediction and the Prime Minister's somewhat declining charismatic hold on the country. With a year away from the crucial 2019 election, will PM Modi's "chirag" work to the delight of people? I am not sure. It is an open game though the Opposition parties are yet to find a formidable common leader who can be a match to PM Modi's stature in public rhetoric and confidence-building expertise. Be that as it may. What is most disturbing to sensitive Indians like me is that increasingly Indian political activity is fed by opaque money flow. Call it black money, if you so desire. But elections, directly or indirectly, generate more and more black money. I remember once an expert had suggested that as much as Rs 170 crore was spent on the 1980 Lok Sabha elections. In turn, this generated nearly Rs 400 crore of black income. That was a very conservative estimate. If we closely look at the past 16 Central elections and numerous state elections since India became a Republic on January 26, 1950, we can easily guess the lesser known deleterious aspects of our democracy. Perhaps, it is too late to reverse this money-infested process – a far cry from the Gandhian dream! Today, the danger lies in opaque (black) money operations becoming an integral part of the democratic polity, despite occasional good moves by the Election Commission of India. Examine closely the electoral "money pipelines". Their sources would put people with a conscience to shame. It is not only a question of quantum but also the very dimensions of the operations which are eating into the vitals of the nation and raising the basic question of values, morality, and transparency of the system. The BJP's Prime Minister Narendra Modi government has a lot to explain on these counts. Big promises might still be soothing to a section of the electorate. But the country's overall economic scenario continues to be grim amidst reports of good monsoon prediction and the Prime Minister's somewhat declining charismatic hold on the country. With a year away from the crucial 2019 election, will PM Modi's "chirag" work to the delight of people? I am not sure. It is an open game though the Opposition parties are yet to find a formidable common leader who can be a match to PM Modi's stature in public rhetoric and confidence-building expertise. I wish to tell my fellow citizens that the time has come to build pressure on the rulers to introduce fiscal, administrative and electoral reforms to minimize the influence of illegal flow of money for political parties. Transparency and public accountability have to be part of our system and working democracy! The Foreign Contribution (Regulation) Act, 2010, that prohibited foreign funding for Indian political parties, has thus been amended to exempt parties with deep pockets from any scrutiny. This means no questions will be asked and no answers given on such foreign funding, including illegal transactions. Ironically, in 2016, the Narendra Modi government cancelled the licences of 20,000 NGOs and in 2017, 4,842 cancellations took place over supposed violations of the Foreign Contribution Regulation Act (FCRA), 1976. Yet, the BJP government in 2018 has apparently adopted a completely different standard of transparency for itself and by its courtesy extended to other political parties as well for the surreptitious donations they receive from foreign entities! What happened to PM Modi's election-time promise of ensuring transparency in the system? The moot question now is: will foreign political funding not lead to external influence in India's election processes and practices? I do not rule out such a possibility. Regrettably, the Narendra Modi government has made corporate funding of political parties more secretive, contrary to its promise of bringing in more transparency! According to the Association for Democratic Reforms (ADR), the BJP got 89 per cent of corporate donations in 2016-17. This clearly shows that corporations tend to be more liberal in funding the party in power for reasons which can be easily guessed. Ironically, Prime Minister Modi had held out a big promise to the people to make political funding transparent. Now, most of his promises to the electorate can be seen in the reverse gear. Mr Prime Minister, less of secrecy and more of openness are the basic requirements for building a corruption-free polity. Such an approach alone could help strengthen the roots of Indian democracy. Loose ends of the system and political waywardness would not. I wish to tell my fellow citizens that the time has come to build pressure on the rulers to introduce fiscal, administrative and electoral reforms to minimize the influence of illegal flow of money for political parties. Transparency and public accountability have to be part of our system and working democracy!