People's Democracy

CPI(M) Calls Times of India’s Bluff

The following statement was issued from the CPI(M) Central Committee office in New Delhi on August 11, 2012.

THE Communist Party of India (Marxist) wishes to clarify the nature and details of its income in the background of the mischievous report that appeared in The Times of India on August 10, 2012 that the CPI(M) is one of the biggest beneficiaries of corporate donations and that it keeps the identities of its  donors a secret.

The Communist Party of India (Marxist) has been submitting its audited statement of accounts regularly every year before the Income Tax Department and Election Commission. It has also been submitting the names of all donors who donated more than Rs 20,000 as per the provisions of the Income Tax Act and People’s Representation Act. A consolidated statement of income of the party for the years from 2005 to 2011 submitted before the Income Tax Department and Election Commission is given here below.  This includes the income of the Central Committee and all the state units.

(Amounts in Rupees)

Total income of the party from 2005 to 2011 (seven years)         : Rs 417,26,36,817

Levy income from party members                                               : Rs 166,79,55,343 (39.97%)

Membership fees                                                                        : Rs 2,56,51,113 (0.64%)

Voluntary contribution (donations)                                              : Rs 165,66,64,584 (39.7%)

Election fund                                                                             : Rs 48,34,78,760 (11.59%)

Miscellaneous income                                                                : Rs 8,75,58,146 (2.1%)

Interest on deposits                                                                    : Rs 23,40,26,481 (5.61%)

Publication                                                                                 : Rs 1,68,09,278 (0.4%)

Increase in stock (Publication)                                                    : Rs 4,93,112 (0.01%)

Total amount of income from

Donations above Rs 20,000                                                        : Rs 3,35,96,941 (0.81%)

Total amount of income from

Donations from companies and societies                                     : Rs 1,45,31,914 (0.35%)

As per the provisions of Constitution of the CPI(M), every member of the party has to pay a portion of their income as levy as prescribed by the Central Committee and has to pay Rs 2 every year as membership fee to the party. The income statement of the party shows that 39.97 per cent of the total income of the party is levy collection and 0.64 per cent of the income is membership fees from the members of the party. The income from MPs and former MPs to the party Central Committee in the year 2011 is Rs 1,36,58,156. 

Out of the total income of Rs 417,26,36,817 of the party for a period of seven years, donations above Rs 20,000 from all sources, including individuals, companies, societies etc, is only Rs  3,35,96,941. All donations from companies and societies is Rs 1,45,31,914 and its percentage to the total income is only 0.35.  This is what The Times of India report maliciously states as “CPI(M) coffers bulge with capitalist cash.” 

The CPI(M) does not accept donations from corporates. However, there have been contributions from some companies in Andhra Pradesh. These donations, when it came to the notice of the Polit Bureau last year, were discussed and it was decided not to accept donations from companies, however small.

The Times of India report alleges that the party is keeping its donors’ identity a secret. As per the provisions of law, the party is legally bound to disclose the names of all donors who donated above Rs 20,000. As stated above, the party has submitted before the Income Tax Department and Election Commission the names and other details of all donors who donated amounts above Rs 20,000. The party has not concealed the name of any donor, either company or individual who donated more than Rs 20,000 to the party. But majority of the donors of the Communist Party of India (Marxist) are from the poorer sections of the people and who donate only small amounts and far below Rs 20,000. Most of the fund of the party is collected at ward, village, taluk and district levels. The party committees at these levels keep the records of receipts and send the names of the donors whose donations are above Rs 20,000 to the party Central Committee. The party has nothing to hide about the details of its income or about the list of donors. The Central Committee of the Communist Party of India (Marxist) has decided to publish the details of its income, the list of donors who donated above Rs 20,000 including the names of individuals, companies, societies etc and other details in its website.