13-04-2021 | 16:50 PM
Electoral Bonds
• The Supreme Court of India recently refused to stay the sale of a fresh set of electoral bonds from 1 April. This decision was taken ahead of assembly elections across four states, viz. Kerala, West Bengal, Assam and Tamil Nadu and in Union Territory of Puducherry.
About Electoral Bond
• It is a financial instrument similar to promissory note which is used to make donations to political parties and is issued by Scheduled Commercial banks after authorization from the Central Government.
• It is issued only against cheque and digital payments which are redeemable in designated accounts of a registered political party within the prescribed time limit.
• The Proposal to issue an Electoral Bond was announced in 2017.
