Sahara group's proposal to pay the entire amount to SEBI in cash instalments of Rs2,500 crore each every three months was rejected by the Supreme Court
The Supreme Court, while rejecting Sahara group's proposal, on Friday said the Subrata Roy-led group's appeal to pay entire amount it owe to its investors in instalments is not acceptable.
Sahara group told the apex court that it will deposit Rs2,500 crore in cash within next three days and the rest of the amount in instalments after every three months.
"You should bring a proposal which is acceptable and honourable. This is a dishonourable proposal," the Bench headed by Justice KS Radhakrishnan said.
The apex court said it will hear Sahara's plea for police custody of Roy and others on Tuesday.
The apex court, however, allowed Sahara's financial consultants and lawyers to meet Roy in jail for two hours between 10am and 12pm every day.
The group had pleaded with the Supreme Court that Roy and the other two directors be released from custody to raise the amount.
Market regulator Securities and Exchange Board of India (SEBI) has opposed Sahara’s proposal, saying the group intends to pay Rs17,000 crore but the total due amount is Rs37,000 crore.
The apex court had directed Sahara group to submit its proposal to SEBI and asked the market regulator to respond when the matter came up for hearing on Friday.
The election commission has upped the expense limit for Lok Sabha elections from Rs40 lakh to Rs70 lakh per candidate in big states. But 129 or 30% out of 437 MPs spent Rs14.62 lakh or 59% of the expense limit during the last general election
The Indian government has cleared a proposal by Election Commission to increase the expenditure limit for Lok Sabha elections to Rs70 lakh from Rs40 lakh per candidate in big states. But does it have anything to do with the reality? During the last general election, about 129 members of Parliament (MPs) declared election expenses of less than 50% of expense limit. This raises a question on the need to increase expenditure limit without taking into consideration the blatant misuse of black money in elections.
According to an analysis by Association for Democratic Reforms (ADR) and National Election Watch (NEW), out of 437 MPs who submitted their election expenditure statements, on an average MPs spent of Rs14.62 lakh or about 59% of the average expense limit in 2009.
Professor Trilochan Sastry, founder of ADR, said, “Raising the ceiling does not address the real issues. We need more transparency in the funding and source of funding, along with penalties for not being transparent. Everyone knows about the huge amount of black money in elections. We need to curb this blatant misuse of black money in elections. In summary, none of the major concerns are addressed by the Cabinet decision to raise the ceiling.”
The government has raised the expenditure limit to Rs70 lakh for each Lok Sabha constituency in bigger states like Maharashtra, Madhya Pradesh, Uttar Pradesh, West Bengal and Karnataka, and to Rs54 lakh from Rs22 lakh in smaller states like Goa on par with other hilly and north eastern states. The government also cleared the proposal to raise expenditure limits for assembly elections, with a maximum of Rs28 lakh and a minimum of Rs20 lakh in North Eastern and hill states.
The election expenditure statements submitted by MPs include details of expenses on public meeting and processions, campaigning through electronic and print media, expense on campaign workers, expenses on vehicles used and expense on campaign materials.
1. Less than 50% of the Limit: Candidates have constantly claimed that the election expenditure limit set is very low. However, based on the election expense declarations of 437 MPs analysed from Lok Sabha, 2009 to the Election Commission, 129 MPs (30%) have declared election expenses of less than 50% of the expense limit in their constituency.
2. Average Election Expenses: Based on the election expense declarations of 437 MPs from Lok Sabha 2009 to the ECI, the average amount of money spent by them in the elections is only about Rs14.62 lakh, which is 59% of the expense limit.
3. Election Expenses funded by Political Parties: 317 MPs (73%) declared that in the expenditure incurred by them, none of it was funded by the political party which fielded him/her. 120 MPs (27%) declared that a part of their election expenditure was funded by the political party and out of these, 15 MPs (3%) declared that all of their expenditure was funded by the political party which fielded him/her.
4. Party-wise Election Expenses funded by Political Parties: Among the MPs who were funded (partially or fully) by political parties, 35 MPs from BJP had declared an average funding from the political party of Rs5.08 lakh (36% of their average election expenditure). 30 MPs from INC have declared an average funding from the political party of Rs5.61 lakh (36% of their average election expenditure).
5. Expenditure more than the Expense Limit: Two MPs declared election expenditure more than the prescribed expense limit. Premdas of SP from Etawah Constituency, Uttar Pradesh declared an election expenditure of Rs57.39 lakh (230% of the expense limit) and Akhilesh Yadav of SP from Kannauj Constituency with expenses of Rs26.73 lakhs (107% of the expense limit).
6. State-wise Average Election Expenses: The highest average election expenditure declared in a state is Tripura (two Lok Sabha constituencies analysed) with an average election expenditure of Rs18.79 lakh (75% of the expense limit) followed by Jharkhand (Seven Lok Sabha constituencies analysed) with an average election expenditure of Rs18.73 lakh (75% of expense limit), Uttarakhand (five Lok Sabha constituencies analysed) with an average election expenditure of Rs18.49 lakh (74% of expense limit) and Assam (14 Lok Sabha constituencies analysed) with an average election expenditure of Rs17.77 lakh (71% of expense limit).
7. Party-wise Average Election Expenses: The party wise average election expenses shows that the average spending for 161 MPs of Indian National Congress (INC) is Rs14.38 lakh (59% of the average expense limit), for 91 MPs of BJP is Rs14.43 lakh (59% of the average expense limit), for 21 MPs of SP is Rs19.48 lakh (78% of the average expense limit) and for 19 MPs of BSP is Rs14.72 lakh (59% of the average expense limit).
8. Top 3 MPs with highest Election Expenses: The maximum expense of about Rs57.39 lakh (230% of the expense limit) has been declared by Premdas of SP from Etawah constituency, Uttar Pradesh followed by Akhilesh Yadav of SP from Kannauj constituency, with an expense of Rs26.73 lakh (or 107% of the expense limit) and Yashbanta Narayan Singh Laguri of BJD from Keonjhar constituency, Orissa with an expense of Rs24.97 lakh (or 100% of the expense limit)
9. MPs with lowest Election Expenses: The minimum expense of about Rs1.31 lakhs (or 5% of the expense limit) has been declared by CM Chang of NPF from Nagaland constituency. He is followed by Ravneet Singh of INC from Anandpur Sahib constituency, Punjab with election expenses of about Rs1.75 lakh (or 7% of the expense limit) and Muhammed Hamdulla Sayeed AB of INC from Lakshwadeep constituency with expenses of Rs2.02 lakh (or 20% of the expense limit).
10. Expense on Public Meetings and Processions: Out of the 437 MPs analysed, 33 (8%) MPs have declared that they have not spent ANY amount on public meetings, processions etc.
11. Expense on Campaigning through electronic/print media: 123 (28%) MPs have declared that they have not spent ANY amount on campaigning through electronic/print media.
12. Expense on Campaign Workers: 418 (96%) MPs have declared that they have not spent ANY amount on campaign workers.
13. Expense on Vehicles used: 22 (5%) MPs have declared that they have not spent ANY amount on vehicles Used.
14. Expense on Campaign Materials and Erection of gates, arches, banners etc.: 21 (5%) MPs have declared that they have not spent ANY amount on Campaign Materials and erection of gates, arches, banners etc.
The Election Commission send a proposal to Law Ministry to make paid news an electoral offence
Election Commission has proposed to the union government to make paid news an electoral offence even as it continues to tackle it itself by monitoring the expenditures of candidates.
Addressing a press conference, to announce the Lok Sabha poll schedule, chief election commissioner VS Sampath said paid news has three aspects – print media, electronic media and expenditure by candidates.
“Since there is no law (to deal with paid news), we have made a proposal to the Law Ministry to make it an electoral offence,” he said.
Meanwhile, he said, the Election Commission deals with the malaise by keeping a close watch on the expenditures of the candidates.
“Election Commission is doing what is under its control. We have monitoring committees in districts and states. We add the expenditure to the expenditure account of the candidate concerned,” Sampath said.
With regard to complaints about paid news in print media, he said the cases are referred to the Press Council of India.
As far as complaints regarding paid news in electronic media are concerned, such cases are referred to the National Broadcasters Association (NBA), he said.
To a question regarding demands for banning opinion polls, the CEC said it is for Parliament to decide.
“We never hesitate to use powers that we can. However, the issue of opinion polls is to be dealt with by the lawmakers. They have the legislative competence,” he added.
The issue of banning opinion polls has been hanging fire since 2004.