In a major move towards bringing greater transparency in political funding, the government today capped anonymous petty funding to political parties at no more than Rs 2,000 from the existing Rs 20,000. The total income of the party, however, increased by 2057% from Rs 5.19 cr during FY 2004-05 to Rs 111.96 cr during FY 2014-15. The income of National Parties from unknown sources increased by 313%, while the income of Regional Parties from unknown sources increased by 652% in the same period.As per current rules, political parties are not required to reveal the name of individuals or organizations contributing than Rs. 20,000- a direction issued by the EC through its 2014 Guidelines on transparency and accountability in party funds and election expenditure matter. Accordingly, the Election Commission had kept the Rs 2,000 cleaning in their proposal to the government.

Source: Economic Times February 01, 2017 07:41 UTC