The Supreme Court today has delivered a unanimous verdict on a batch of pleas challenging the legal validity of the Central government’s Electoral Bond scheme, allowing anonymous funding to political parties.

A five-judge Constitution bench headed by Chief Justice D Y Chandrachud had on November 2 last year reserved its verdict in the matter.

Chief Justice of India DY Chandrachud said, "There are two separate judgments - one penned by him and the other by Justice Sanjiv Khanna and both the verdicts are unanimous." The Supreme Court added political parties are relevant units in the electoral process and information about funding of political parties is essential for electoral choices.

Supreme Court observed that anonymous Electoral Bonds scheme is violative of Right to Information under Article 19(1)(a). It said, "Infringement to the Right to Information is not justified for the purpose of curbing black money."

The scheme, which was notified by the government on January 2, 2018, was pitched as an alternative to cash donations made to political parties as part of efforts to bring in transparency in political funding.

According to the provisions of the scheme, electoral bonds may be purchased by any citizen of India or entity incorporated or established in the country. An individual can buy electoral bonds, either singly or jointly with other individuals.

Only the political parties registered under Section 29A of the Representation of the People Act, 1951 and which secured not less than 1 per cent of the votes polled in the last elections to the Lok Sabha or a state legislative assembly are eligible to receive electoral bonds. According to the notification, electoral bonds shall be encashed by an eligible political party only through an account with an authorised bank.