The Indian government has authorized the State Bank of India (SBI) to issue and encash electoral bonds through its 29 authorized branches from November 6 to November 20. These electoral bonds will be valid for 15 calendar days from the date of issue, and no payment will be made to any payee political party if the bond is deposited after the expiry of the validity period.
Electoral bonds deposited by eligible political parties in their accounts will be credited on the same day.
The Electoral Bond Scheme 2018 was notified by the Government of India through a gazette notification on January 2, 2018. Under the provisions of the scheme, electoral bonds may be purchased by Indian citizens or entities incorporated or established in India. Individuals can buy electoral bonds either singly or jointly with others.
Only political parties registered under Section 29A of the Representation of the People Act, 1951, which secured at least one percent of the votes polled in the last General Election to the House of the People or the Legislative Assembly of the state, are eligible to receive electoral bonds.
Electoral bonds can only be encashed by eligible political parties through a bank account with an authorized bank.
(With Agency Inputs)
