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4th July 2025 (11 Topics)

De-Listing of Registered Unrecognised Political Parties (RUPPs)

Context

The Election Commission of India (ECI) has initiated the process of de-listing 345 Registered Unrecognised Political Parties (RUPPs) that have not contested any election in the past six years and are found to be physically untraceable. This development revives debates on internal democracy, tax misuse, and long-pending electoral reforms.

Constitutional and Legal Basis for Political Party Registration

  • Constitutional Provision:
    • Article 19(1)(c): Grants all citizens the right to form associations, including political parties.
  • Legal Provision:
    • Section 29A, Representation of the People Act, 1951:
      • Requires political parties to register with the ECI within 30 days of formation.
      • Mandatory declaration to uphold sovereignty, socialism, secularism, democracy, and the Constitution.
      • Must include provisions for internal democracy, such as periodic elections of office bearers.

Privileges and Obligations of RUPPs

  • Benefits:
    • Income Tax exemption under Section 13A of the IT Act, 1961.
    • Common symbol for elections.
    • Nomination of 20 star campaigners during election campaigns.
  • Financial Accountability:
    • Must maintain donor details for contributions above ?20,000.
    • Donations above ?2,000 must be made through cheque or bank transfer.
  • Annual Filing Requirements:
    • Submission of audited accounts and contribution reports to ECI.
    • Failure to comply leads to loss of tax exemption.

The Issue of 'Letter Pad Parties'

  • Over 2,800 RUPPs exist as of May 2025, but only ~750 contested the 2024 general elections.
  • Many parties do not update office bearer lists or conduct internal elections.
  • The RP Act, 1951, does not empower the ECI to de-register parties except under exceptional cases:
    • Registration obtained via fraud.
    • Party declared unlawful by the Government.
    • Party ceases to abide by the Indian Constitution.

Judicial Precedent:

  • Indian National Congress vs. Institute of Social Welfare (2002): Supreme Court ruled that ECI has no general power to de-register political parties.

ECI's De-Listing Drive and Current Developments

  • March 2024 Notification (amended May 2025):
    • 281 RUPPs de-listed.
    • 217 declared inactive (no updated records since 2014).

Institutional & Policy Challenges

  • Lack of De-registration Power: Absence of legislative backing to de-register inactive parties restricts ECI's capacity to act.
  • Misuse of Financial Provisions: Many RUPPs exist merely to exploit tax exemptions or launder money through political donations.
  • Poor Enforcement of Internal Democracy: Periodic elections and transparency in leadership selection largely absent.

Reform Recommendations and Way Forward

  • Legal Reform:
    • Law Commission’s 255th Report (2015): Proposed that parties not contesting elections for 10 consecutive years be de-registered.
    • Law Commission’s 170th Report: Recommended provisions for inner-party democracy in RP Act.
    • ECI’s 2016 Electoral Reforms Memorandum: Called for amending RP Act to empower ECI to de-register parties.
    • Enhancing Oversight and Compliance:
    • Strict enforcement of Section 29C of RP Act on donor disclosure.
    • Annual third-party audit of party financials.
  • Transparency Measures:
    • Publicly available compliance reports.
    • Digital tracking of party registration, office location, and updates.
  • Inner-Party Democracy:
    • Mandate time-bound internal elections.
    • Penalties for non-compliance, including freezing of symbols or tax benefits

PYQ:

 “To enhance the quality of democracy in India the Election Commission of India has proposed electoral reforms in 2016.” What are the suggested reforms and how far are they significant to make democracy successful?   (2017)

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