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EC raps RBI on withdrawal limits

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After the Reserve Bank of India (RBI) turned down its request to increase the weekly cash withdrawal limit for candidates contesting in the coming Assembly polls, the Election Commission (EC) of India has written back to RBI Governor Urjit Patel, expressing “serious concern about the cursory manner in which the issue has been dealt with”. In a letter on Sunday, EC asked RBI to realise the ‘gravity of the situation’, virtually charging the central bank with impeding the democratic process.

One letter by the EC was in the context of the low withdrawal limits for candidates and asked these be relaxed. There are several bills that candidates in the election can only pay by cash. The EC has received a large number of complaints where candidates are facing constraints. This effectively means curtailing the candidate’s right to campaigning in a free and fair election, the poll body had indicated. Right to withdraw cash should not hamper the democratic process, it had said and asked RBI to act in the matter immediately. After RBI’s ‘cursory’ response, the EC wrote Sunday's letter.

Ignoring the Aam Aadmi Party’s allegation that it was acting as an agent of the ruling National Democratic Alliance, the EC has asserted itself repeatedly to on the issue. The latest letter is undiplomatic and says for payments above Rs 20,000, candidates have been told to make electronic payments. But current withdrawal limits do not permit candidates to withdraw this sum daily. This is skewing the election in favour of those who have resources. This is unacceptable, the EC has said. It said that at least for the statutory election expense, cash should not be a constraint for candidates.
Business Standard New Delhi,30th January 2017

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