“Discussion on Effects of Demonetisation on Political Financing & Black Money” being organised by Association for Democratic Reforms, on 24th January, 2017, Tuesday, at 10:30 AM at Lecture Room No. 1, India International Centre Annexe Building, New Delhi.
The discussion will be followed by a Press Conference to release a report on ‘Sources of Income of National and Regional Parties: FY 2004-05 to 2015-16 (12 years) between 3:00 PM and 4:00 PM at the same venue.
Since the November 8, 2016 announcement by the Prime Minister regarding demonetisation of Rs 500 and Rs 1000 notes to eliminate Black Money, it has been a hotly debated issue. However, the Ministry of Finance issued a clarification stating that as the political parties are exempt under section 13A of the Income Tax Act 1962, they can deposit unlimited amount of old currency notes in the denomination of Rs. 500 and Rs. 1000 between Nov 8 and Dec 30, 2016. This brought the issue of Political Party funding into sharp focus of the Media and Public. Questions were raised on the blanket sanctions given to Political Parties to deposit unlimited amount of demonetised currencies in banks. The opaqueness of Political Party finances, wherein 70-75% of the income of political parties is from Unknown Sources is also fueling doubts in public’s mind. Thus, to curb the use of Black Money, it is imperative to scrutinize and monitor the finances of political parties.
With this as the backdrop, we are holding the consultation to discuss effects of Government’s demonetization move on Political Party finances as well as how proliferation of Political Parties are related to the prevalence of Black Money in Indian politics and the urgent need for transparency in the funding of political parties.
Eminent members from media, research organisations and constitutional experts will be present to deliberate on the issues.
We look forward to your participation and inputs in making the Conference a success.