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₹1,700 Cr Donations to 6 RUPPs: Need for De-Registration Powers to EC

Target:UPSC GS-IIMPSCSSC GATeachingPrelims HighMains MediumStatic GK Link
11 Sept 2026
~2 min
Source: The Hindu
Key Data:₹1,700 crores₹1,480 crores2,800 RUPPs750 RUPPs contested800+ de-listedSection 29A RP Act
Bodies:Election Commission of IndiaSupreme CourtIncome Tax Department
Practice MCQs from today's news ▸
What This Article Covers

1.Six RUPPs based in Gujarat received ₹1,700 crore donations in 2023-24, higher than the total ₹1,480 crore received by five nationally recognised parties (except BJP).

2.The Election Commission lacks explicit power to de-register RUPPs; the 2002 Supreme Court judgment limited de-registration to cases of fraud, loss of allegiance, or illegality.

3.Reforms proposed include the Law Commission's 255th report (de-register after 10 years of no contest) and EC's suggestion to tie tax exemptions to a vote threshold.

The Big Picture
Prelims · HighMains · Medium

An investigation revealed that six Registered Unrecognised Political Parties (RUPPs) in Gujarat received ₹1,700 crore in donations in 2023-24, exceeding the combined donations of all national parties except the BJP. This highlights regulatory gaps that allow RUPPs to be used as conduits for tax evasion and money laundering. The article examines the need for the Election Commission to have de-registration powers and suggests a vote threshold for tax exemptions to curb misuse.

Exam Lens

Quick Exam Facts From News

Donations to six RUPPs (2023-24)₹1,700 crores
Donations to five national parties (2023-24)₹1,480 crores
Total RUPPs in India (as of July)2,800+
RUPPs that contested 2024 elections~750
De-listed RUPPs (October 2025)800+
Key legal sectionsSection 29A (RP Act), Section 12 (IT Act 2025), Section 29C (RP Act)

1-Minute Revision

  • ›Donations to six RUPPs (2023-24): ₹1,700 crores
  • ›Donations to five national parties (2023-24): ₹1,480 crores
  • ›Target this Data: ₹1,700 crore donations to six RUPPs in 2023-24; total RUPPs ~2,800; only ~750 contested 2024 elections.
  • ›Target this Nodal Body: Election Commission of India (EC) – registration and de-registration powers.
  • ›Target this Legal Point: Section 29A of RP Act, 1951; Section 12 and Section 28A of IT Act, 2025; SC judgment in Indian National Congress vs Institute of Social Welfare (2002).

Mastered this topic? Test your knowledge with a full MCQ quiz.

Practice exam-style questions, track your score, and strengthen your recall.

Q1Static LinkageEasy

Which section of the Representation of the People Act, 1951 lays down the requirements for registration of a political party?

Q2Statement-basedHard

Consider the following statements regarding Registered Unrecognised Political Parties (RUPPs):

1. RUPPs are required to maintain details of individual donors who contribute more than twenty thousand rupees in a financial year.

2. The Election Commission has the power to de-register a RUPP if it fails to contest elections for ten consecutive years.

3. RUPPs must accept donations in excess of two thousand rupees only through cheque or bank transfers.

Which of the statements given above is/are correct?

Q3Data-centricEasy

According to the article, what was the total amount of donations received by the six RUPPs in Gujarat during the financial year 2023-24?

Q4Application/ImpactMedium

What is the primary rationale behind the suggestion to impose a vote threshold for RUPPs to avail tax exemptions on donations?

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