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Politics
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"Freebies" Aren’t Really Free For The Government? Supreme Court Takes a Closer Look.

By
BO Desk
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Progress
October 19, 2024
The Supreme Court of India is raising eyebrows over the growing trend of political parties promising "freebies" during elections. Recently, the court asked the Central government and the Election Commission to respond to a petition that wants these promises labeled as bribes under the Representation of People Act, 1951. This could change how we view these enticing offers from political parties.

What's the petition about?

The petition, filed by Shashank J Shreedhara from Karnataka, claims that these unregulated freebies burden public funds and lack accountability. It argues that such promises often lead to fraud or populist schemes that drain resources and violate constitutional principles. Instead of focusing on real issues like governance, these promises turn elections into vote-buying contests. The petitioner also criticizes the Election Commission for not doing enough to stop this practice, despite its duty to ensure fair elections.

The race for freebies

Political parties are in a race to outdo each other with their offers. From free electricity and cash handouts to laptops and subsidized gas cylinders, these promises are everywhere. Even the BJP, which once called such offers "revdi," is now matching or surpassing rival promises. For example, in Maharashtra, the government is pushing its "Ladki Bahin" scheme, which offers ₹1,500 monthly to women along with other benefits.

The cost isn’t ‘free’

But here's the catch: these freebies come with a hefty price tag. Some states could face costs up to ₹96,000 crore - about 2.2% of their GDP! To manage these expenses, many state governments have had to tweak their budgets, affecting everything from fiscal deficits to capital spending.

States vs. centre: Who's paying more?

States are feeling the pinch more than the Centre. In FY2025, states' revenue expenditure was at 84.3%, compared to 79.4% for the Centre. Major schemes like "Ladki Bahna" could cost ₹46,000 crores annually—more than the entire agricultural budget! This raises serious questions about whether states can afford these populist measures without cutting essential services.

The big question is whether it's good or bad

Opinions are split on whether these schemes are beneficial. Some reports say initiatives like "Ladli Behna" have boosted spending among marginalized women at local shops. However, critics warn that using taxpayer money for political gain could worsen financial health and lead states into deeper debt.

As the Supreme Court digs into this issue, it could reshape how we think about election promises in India. The outcome might set new rules for what political parties can offer during campaigns and how we hold them accountable.

But, it’s important to consider whether these "freebies" are truly free or just a clever way to win votes at a significant cost.

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