Former Chief Election Commissioner OP Rawat on Monday said that according to the data, demonetisation was not effective in stopping the misuse of money during the election, but in fact, in some states, more seizures were reported compared to previous years. He also said that note ban was ineffective in checking black money in India. After the retirement, Rawat said that demonetisation did not reduce the use or misuse of black money in elections but in fact in some states, more seizures were reported compared to previous years.
In his report, he said it seems “political class and financiers have no dearth on the money. Money that they are using is generally black money. He also added in his report that as far the black money used in the election is concerned, there is no check on it.”
After Sunil Arora took charge as chief election commissioner, he said that Rawat’s remark was: In September this year, Rawat has said that the prevailing law is inadequate to tackle the menace of black money in elections. He also talked about building transparency in campaign finance, even people talk about state funding.
The chief top EC official said that current laws were not a much help for them to ensure a complete check of abuse and that’s why “state funding” poll was not possible in India at present.
In the report of official, he also mentioned that whatever legal framework is available as on today’s date, it is not adequate to address this issue. And therefore the commission has been suggesting a number of reforms in this direction.
O.P Rawat who retired on 2nd December said that there should be a cap on expenditure by political parties during polls.
Last week former chief economic advisor Arvind Subramanyam also raised a concerned related to note ban. He also said that note ban as a “massive, draconian, monetary shock” that accelerated economic slide to 6.8 percent in the seven quarters after the decision against the 8 percent recorded prior to it.