Election expenses: A California story

14 April 2009

With India heading for the first round of polling for the parliamentary elections over the next few days much heat has been generated over the colossal sums of money being brought into play by candidates and political parties. However, the Indian electorate may take some solace from happenings elsewhere in the world, in case it feels its political system has been hijacked by money power. The American state of California, too, is battling a credibility crisis with respect to its electoral laws and processes.

A report released Monday by the Fair Political Practices Commission says that California's political fundraising laws are so full of loopholes that candidates for state office have collected more than $1 billion over the last eight years, ever since contribution limits took effect.

Aptly the report is titled ''The Billion Dollar Money Train.''

In Indian currency that would work out to Rs5,000 crore over the eight year period, or a little more than Rs600 crore per annum. For the Californians that works out to an average $344,503 a day.

The report by the Commission concludes that although voters approved donation limits by passing Proposition 34 in 2000, "the goal of reducing special interest money remains elusive."

"The amounts of money raised are staggering," commission chairman Ross Johnson said. "It raises very serious questions about the potential for undue influence, the potential for corruption."