Briefing of Master Trainers
On
Election Expenditure
Monitoring [EEM]
General Elections to Legislative Assembly of
Bihar, 2015
The spirit of democracy is not
a mechanical thing to be
adjusted by abolition of
forms. It requires change of
hearts.
Democracy
is
something that gives the
weak the same chance as
strong. –
Mahatma Gandhi
2
The US Secretary of the state, Hillary Clinton
was more justified when she said during her
visit to India in 2012,
"India's Election Commission is viewed as a
global standard for running democracy."
 It
is truly the greatest show on Earth, an Ode to a diverse
and democratic ethos, where 700 million + of humanity
vote, providing their small part, in directing their ancient
civilisation into the future.
 It is no less impressive when done in a neighbourhood which
includes destabilising and violent Pakistan, China and
Burma.
V. Mitchell , New York Times
USE OF MONEY POWER
Without Money, Multi-party democracy cannot function
But ‘Money Power’ involves certain risks:

Uneven Playing field and lack of fair competition,

Political Exclusion
disadvantage,

Co-opted politicians under campaign debts, as
they act as pressure group to influence policy of
government

Tainted Governance and Rule of Law undermined.

Excessive, illegal & illegitimate expenditure in
4
elections is the root cause of corruption
–
Certain
sectors
face
MONITORING: RELATED ISSUES
 Carrying
cash is not illegal under any Law
but
huge
cash
transaction
creates
suspicion

If it is undisclosed,
Department can seize
Income
Tax
 If
it is out of illegal foreign exchange, ED
can seize
 If
it is suspected to be for bribery, terror,
theft, narcotics etc, Police authorities can
seize
NOTHING OFFICIAL ABOUT IT…
Ceiling Limit
for a
candidate
Is there any
Celing Limit
for an
Agent of
Candidate?
So,….
LEGAL PROVISIONS
The Representation of
the People’s Act, 1951
 The Conduct of Elections
Rules, 1961
Instructions of
Commission
Indian Penal Code, 1860
Income Tax laws

:
TYPES OF ELECTION EXPENDITURE
Election expenditure can be classified
into two types on the basis of legal
provisions
Expenditure
permissible under the
law
[public
meetings,
posters, banners, vehicle
etc.]
Ceiling for
See rule 90 of the CE
Rules, 1961
Max-PC- 70 lacs
AC-28 lacs
Illegal
expenditure
[Distribution of money, Gifts,
liquor or any other item
among electors with the
purpose of influencing them]
Such
type
of
expenditure of election
expenses
of
the
candidate is stopped
8
MAJOR LEGAL PROVISIONS RELATED TO ELECTION
EXPENDITURE MONITORING
Sec 10A :
Disqualification for
failure to lodge
account of election
expenses
• Failure to lodge an account of election
expenses within time and manner
required by law and has no good
reason or justification for the failure
• Disqualification for a period of three
years from the date of order of the
Commission
Sec 77(1): Account
of Election
Expenses and
maximum thereof
• Candidate/Election agent shall
keep a separate, correct account
of
election
expenditure
incurred/authorized between date
of nomination & declaration of
results (both date inclusive).
Explanation 1(a) of
Sec 77(1): Leaders
of a Political party
(Star Campaigners)
• The Expenditure incurred by
leaders of the political party on
account of travel by air or by any
other means of
transport for
general party propaganda
Learning Module of RO/ARO
9
MAJOR LEGAL PROVISIONS RELATED TO ELECTION
EXPENDITURE MONITORING
Explanation 1(a) of
Section 77(1)
contd….
Explanation 2 of
Sec 77(1)
Sec 78 : Lodging of
account with District
Election Officer
• Such expenditure shall not be deemed to be
the expenditure in connection with the
election incurred or authorized by the
candidate of that political party.
• Maximum number of leaders of political
parties- (i) For recognized party, a list of
40 names and (ii) for unrecognized party, a
list of 20 names are required to be
communicated to the ECI and CEOs of the
States by the political party within a period
of 7 days from the date of notification.
• Within 30 days from the date of
result, contesting candidate has to
lodge with DEO “true copy” of election
expenses kept by him/election agent (if
30th day is Sunday/public holiday then
next working day will be the 30th day
forLearning
lodging
of account)
Module of RO/ARO
10
MAJOR LEGAL PROVISIONS RELATED TO
EEM
Rule 86:
Particulars
of account
of election
expenses
• Account of election expenses to be kept by
candidate/election agent to contain following
items regarding daily election expenditure:
• Date of expenditure incurred/authorized
• Nature of expenditure
• Amount of expenditure – amount paid and
amount outstanding
• Date of payment
• Name and address of payee
• Serial no. of voucher in case already paid
• Serial number of bills in case of payment
outstanding
• Name and address of person to whom amt.
outstanding is payable
• All vouchers to lodged along with election
expense account chronologically and serially
numbered
11
MAJOR LEGAL PROVISIONS RELATED TO
EEM
Rule 87:
Notice by
[DEO] for
inspection of
accounts
Rule 88:
Inspection of
accounts and
obtaining
copies thereof
• Within two days of receipt of
accounts, DEO to affix a notice
specifying date on which accounts
were lodged, name of candidate and
time and place where accounts can be
inspected
• Any person can inspect accounts
lodged by candidates on payment of
Re.1 fee
• Entitled to obtain attested copies of
accounts/any part of such account
lodged on payment of fee as fixed by
ECI
12
TO RECALL THE MAJOR LEGAL PROVISIONS
RELATED TO EEM
Rule 89:
Report by
the [DEO]
as to the
lodging of
account of
election
expenses
and the
decision of
the ECI
thereon
• (1) After expiration of the time as prescribed
under Sec. 78 regarding lodging of
accounts,
DEO shall report to ECI specifying:
• Name of each contesting candidate
• The date on which it was lodged
• Whether a/c lodged in time and in manner
required by the Act and the Rules
• (2) If not lodged in manner, then DEO shall
forward the account of such Candidate to ECI
attaching the account of expenses and vouchers
• (3) Publish copy of report on his notice board
• (4) ECI to consider the report as to whether a/c is
lodged in time and in the manner by the
contesting candidate
• (5) Commission issues notice to the candidate u/s
10A of RP Act 1951. if account is not lodged in
time and manner required by the Act & Rules
13
TO RECALL THE MAJOR LEGAL PROVISIONS
RELATED TO EEM contd.
Rule
89:
contd.
• (6) Candidate to represent in writing within 20
days of receipt of notice to ECI with a copy to
DEO together with complete a/c of his election
expenses, if he had not earlier furnished such
a/c.
• (7) DEO shall forward representation and
account (if any) of the candidate within 5 days of
receipt of the representation with his comments
as he wishes to ECI
• (8) If, after considering representation and
comments of the DEO and after such enquiry as
it thinks fit, ECI is satisfied that the candidate
has no good reason or justification for the failure
to lodge his account, it shall declare him to be
disqualified u/s 10 A for a period of 3 years from
the date of the order to be published in the
Official Gazette
14
THE LEGAL PROVISIONS RELATED TO ELECTION
EXPENDITURE MONITORING
RP ACT, 1951
Election
Expenditure
above ceiling- a
corrupt
practice
• Any expense by candidate
over and above the ceiling
prescribed under rule 90 of
C.E. Rules,1961
• Election petition against
any winning candidate in
High Court on the ground of
incurring expenditure in
excess of maximum ceiling.
15
THE LEGAL PROVISIONS RELATED TO ELECTION
EXPENDITURE MONITORING
Sec 127A:
Restriction
s on the
printing of
pamphlets,
posters, etc.
RP ACT, 1951
• The following acts amount to an
electoral offence:
• Election pamphlet/poster which does
not bear the name & addresses of the
printer /publisher
• Declaration as to the identity of the
publisher is to be sent to the printer
signed by publisher and attested by 2
persons personally known to him
• Copy of the declaration and the
document should be sent by the printer
to the CEO/District Magistrate as per
location
• Imprisonment upto 6 months or fine
up to Rs. 2000 or both
16
PROVISIONS OF INDIAN PENAL CODE, 1860
171 B – Bribery
171 E –
Punishment for
bribery
171 C – Undue
influence at
elections
171 F – Punishment
for undue influence
at elections
• Any person giving or accepting
gratification to induce a person to exercise
his electoral right would commit the
offence of bribery.
• Gratification – Offering gratification,
agreeing to give gratification, attempting
to procure gratification for doing an act
against one’s will shall be deemed as giving
gratification.
• one year imprisonment or fine or with
both.
• Bribery
by
treating
(food,
drink,
entertainment, or provision) shall be
punished with fine only
• Any Act which voluntarily interferes or
attempts to interfere with the free exercise
of any electoral right.
• one year imprisonment or fine or both.
17
PROVISIONS OF THE
INDIAN PENAL CODE, 1860
171 H – Illegal
payments in
connection
with an
election
• Expenditure done by any person/
organization for a candidate without
his written permission would be
considered
illegal
whether
the
expenditure is in relation to a public
meeting, advertisements, publication
or in any other way.
171 I – Failure
to keep election
accounts
• If the candidate/his election agent
does not maintain an account of his
election expenditure in the manner
specified by ECI
Punishment for
not maintaining
accounts
• A fine up to rupees 500.
18
ELECTION EXPENDITURE: CASE LAW
The Hon’ble Supreme Court in L. R. Shivaramagowde
Vs. T.M. Chandrashekhar - AIR 1999 SC 252 has
observed that the Election Commission of India:
 Can go into the correctness of the account of
election
expenses filed by the candidate, and
 Disqualify a candidate under section 10 A of
the
Representation of the People Act, 1951 in case the
account is found to be incorrect or untrue.
 Grounds:
1. The candidate does not lodge an account of election
expenses in time and manner.
2. The account lodged by the candidate is incorrect and
19
untrue.

ELECTION EXPENDITURE: CASE LAW contd.

The Hon’ble Supreme Court decision in SLP no. 29882 of 2011 Ashok
Shankarrao Chavan Vs. Dr. Madhavrao Kinhalkar & Ors.,
SLP no. 14209 of 2012 Madhu Kora Vs. Election Commission of
India and SLP no. 21958 of 2013 Smt. Umlesh Yadav Vs
Election Commission of India & Ors. Dated 5th May, 2014.
``Sec. 10A clothes the ECI with the requisite power and
authority to enquire into failure to submit the account of
election expenses in the manner prescribed and as required
by or under the act``

SCI has upheld the Commission’s decision regarding
disqualification of Umlesh Yadav u/s 10A, a returned
candidate from 24-Bisaulli AC, Uttar Pradesh, General
Election to Uttar Pradesh Legislative Assembly, 2007.
20
ELECTION EXPENDITURE: CASE LAW contd.
Kanwar Lal Gupta Vs Amar Nath Chawla (AIR 1975 SC
308) is guiding principle to distinguish between the
expenditure of a party and the candidate of that party.
 Common Cause Vs UOI & Ors. (1996 SC 3081) lodging of
expenditure accounts by the political party- within 75/90
days of completion of Assembly/Lok Sabha election (ECI
letter no. 76/EE/2012-PPEMS, dated 21.01.2013)
 Rahim Khan Vs Khursheed Ahmed and Ors. (*AIR 1975
SC 290) –Timely enforcement is as important as rule of law
as making of legislation- ECI Order no. 3/9(ES 008)/94 JS-II
dated 2nd Sept. 1994 regarding strict enforcement of Sec.
127A of R. P. Act, 1951 like indicating name and address of
publisher and printer in print line of any pamphlet, poster
other materials and sending printed materials to appropriate
authority within 3 days of printing. Printer shall obtain
21
declaration in prescribed format from publisher in Appendix
A and send to the DEO/CEO.

Illegal ways of wooing electors
1. Cash in envelopes in newspapers pushed beneath the door of the elector.
2. Inside Morning Milk pouch, along with cash in an envelope.
3. Through Self Help Groups for onward distribution among women electors.
4. Through pawnbrokers by reimbursing the short term loan taken by electors,
by mortgaging jewellery.
5. Paying cash as incentive for not casting vote by the committed voters of
rival candidate, if such voter shows finger without indelible ink after
election.
6. Cash given in advance before notification of election to the local leaders for
distribution among electors.
7. Cash given through community feasts under the plate or banana leaf.
8. Cash given in the name of MGREGA, DWACRA and other government
projects.
9. Cash given to dummy candidates for using the permission obtained by
them for the campaign vehicles or political agents.
10.Cash given to certain non-serious persons of a locality to contest to divide
votes of rivals.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
Cash given to Leaders of rival political parties, rival candidates not
to seriously campaign in elections.
Black Money raised by party/candidate in name of coupon
sale.
Cash given to the polling agents of rivals candidates, to be silent,
during counting.
Cash given to village headman for ensuring votes.
Cash given to village fund on the eve of election for construction
of road or temple or school, etc.
Distributing Cash among the Ladies who come for “Aarti” to
candidate.
Distributing Cash for those who come to attend public rally
arranged by party or candidate.
Making Cash payment for the vehicles or Trucks for ferrying the
voters to the place of rally or to the polling booth.
Cash given to journalists or media men to write positively about
the candidate or to write pessimistic news of rivals.
Cash given to journalists/media men to blackout the news about
the rivals or to publish negative news.
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
Cash transferred through RTGS route of banks to the a/c’s.
Cash given to the youth clubs on the eve of elections for
organizing cricket match, football match.
Cash given for charity like organizing medical camp, melody party,
theatres etc., on the eve of elections.
Distributing TVs, video recorders & projectors to village clubs.
Giving cash for constructing toilets, tubewells or mobile phone
with top up cards or laptops to the voters or local leaders.
Organizing mass marriage functions during election process and
bearing the entire cost of marriage.
Distributing SUVs or Luxurious vehicles to appease local party
leaders.
Reimbursing fuel bills through negotiated deals with petrol
pumps.
Promising jobs for the unemployed youth in the academic
institutes or companies of the candidate.
Organizing religious functions like “Prabachan” Ramayan”
“Hanuman Chalisha” etc. before elections.
31.
32.
33.
34.
35.
36.
37.
38.
39.
40.
41.
42.
Distribution of free books to the students, just before elections.
Free admission to children of influential voters of a locality in
Engineering College or medical college run by the candidate.
Distributing free cows or buffalos among voters before election.
Distributing free agriculture seeds and manures among the
voters.
Distributing free solar lamps among the rural voters.
Distributing diaries/calendars/purse/T-shirt/sarees/ vanity bags.
Using ‘Aarthiyas’ (commission agents) for distribution of cash
among farmers or waiving commission demanded form them
Cash given to religious leaders or leaders of a caste for ensuring
votes of their followers.
Distribution of liquor, drugs, poppy husks among the voters.
Organizing rallies with film stars /musicians/orchestra, important
personalities in aircrafts or helicopters to the constituency and not
showing the correct expenditure.
Giving SIM Card talk time to electors
Giving Rs. 500 Note rolled up inside a ball pen/stem of party flag
Modes of Transport of Cash
 In
ambulance vans
 In bonnet of the car
 Inside door panels of the car
 On roof top of buses
 In police vans
 In Helicopters
 In Trains
 Inside Newspapers
Preventive methods for curbing the use of
Black Money
 Campaign
for “Ethical voting” through Media
 Involvement of school/college students and Booth
level Awareness Groups(BAGs) in spreading the
message against bribery during elections.
 Involving Civil Society Organizations, RWA.
NYKs etc.,
 Announcement through Public address system
fitted on the vehicles of the Flying Squads that
both giving or taking bribe for casting votes is a
punishable offence.
 Separate Bank account by each candidate.
Mechanism for
Election Expenditure
Monitoring in
Assembly Elections
29
MEETING WITH POLITICAL PARTIES
 DEO
will have a meeting with all recognised Political
Parties within 3 days of announcement of election about
the Instructions of the Commission and explain the legal
provisions and give a copy of the compendium of
instructions,
 He will also discuss the various rates of expenditure and
consider their suggestions before notification of rates,
 CEO will arrange facilitation training at State Level on
Expenditure
Monitoring
Measures
for
the
representatives of all registered political parties of the
state, to explain various legal provisions including the
procedures.
NOTIFICATION OF RATES FOR ASSESSMENT OF
EXPENDITURE
1.
2.
31
The list of these rates would be given by the RO to the
candidates at the time of filing of nomination papers,
If the rate of any item is not available in the list, the
candidate/election agent, if they wish, may apply with the
DEOs to notify the rates for such items as well and the
DEOs will take appropriate steps to notify them,
Any objection regarding the quantum of such rates has to
be made to the DEO within 24 hours of notification,
To obtain airing charges from media houses with reference to
campaigning through electronic media.
There can be different rates for rural and urban areas in a
state.
3.
4.
5.
RATES OF ITEMS TO BE FIXED AFTER CONSULATATION
WITH POLITICAL PARTIES:
Loudspeaker with
amplifier and
microphone
podium or Pandal
of standard sizes,
Cloth banner, Cloth
flags, Hand bills,
Posters,
Video Cassettes/CDs,
Audio Cassettes/CDs,
Hoardings, Cut
outs (wooden),
Cut outs
(Cloth/plastic),
Daily hiring
charges of
vehicles (all types
of vehicles),
chairs, tables and other
furniture, electrical
fittings/equipments,
Print media
advertisements
and DAVP rates
Audio slots on Radio &
AV on TV, cable TV,
State & National Level
TV Channels
Any other item
commonly used in
a district.
Learning Module of RO/ARO
32
TWO TRAINING PROGRAMMES
The DEO will arrange two facilitation trainings at his own office for
all election agents/candidates through the Exp. Monitoring Cell ,
 One, immediately on the day of scrutiny of nomination in presence of
Expenditure Observers to acquaint them with the legal provisions,
procedures for filling up the forms and registers and dates of inspection
of accounts,
 Second, within a week before the final date of submission of
accounts in presence of Asst. Exp. Observers ( i.e., after 20 days of
declaration of results) with all election agents/candidates/personnel
engaged in his office for receiving the accounts, regarding the procedure
for filling up the forms of Abstract Statements of Election Expenses and
affidavits, consequences for failure and other legal provisions.
Candidates/agents will also be apprised of the Account Reconciliation
Meeting to be held on 26th day after the date of declaration of results.

NEW EXPENDITURE MONITORING MACHINERY
 Expenditure
Observer (EO)
 Asst. Expenditure Observer (AEO)
 Flying Squad and Static Surveillance
Teams (FS and SST)
 Video Surveillance Team (VST)
 Video Viewing Team (VVT)
 Media Certification and Monitoring
Committee (MCMC)
 Accounting Team
 Liquor monitoring Team
34
DEO
Expenditure Observer
Expenditure
Monitoring Cell
R.O.
DEMC&
MCMC
(Dist./ State
Level)
VVT
VST
Public
meeting/Rally
Accounting Team
(SOR / FE )
AEO
Expenditure monitoring
control room
24x7 Call Centre
SST – Check
post monitoring
teams
F S- complaints of
cash transactions
/freebies
Illegal Expenditure.
EXPENDITURE OBSERVER (EO)
EO is responsible for overall supervision of
expenditure monitoring.
He is deployed for two or more Assembly
segments, but not more than five ACs.
36
More No. of EOs and AEOs for Expenditure Sensitive
Constituencies(ESCs)
He will inspect functioning of different teams
engaged in expenditure monitoring in each
constituency and inspect the accounts of the
candidates



He will coordinate with various law enforcement
agencies of Income tax, Police, BSF/SSB, State
Excise and DRI
He may change AEO ( deployed for each AC), if
found unsuitable.
EXPENDITURE OBSERVER(Contd.)
 The EO shall reach the Constituency/ district HQ
on the day of notification for the duration of 3 clear
days.
 Shall again visit, second time on the date
immediately after withdrawal of candidatures and
shall leave after the poll.
 For his third visit, he has to visit district HQ on
25th day after the declaration of result and stay for
8 clear days to assist DEO in preparation of
Scrutiny Report.
 He should be present in the Account Reconciliation
Meeting, convened by DEO on 26th day after the
37
declaration of result.
ROLE OF DEO
After announcement of election, he shall make appeal to
public to avoid carrying huge amount of cash during
election process,
 He shall give wide publicity about the 24X7 - Call
centre and District Complaint monitoring Cell,
 He shall involve BAGs, NYKs, NSS, and other citizen
forums for ethical voting and getting information about
distribution of cash /gift items for inducement of electors
 He shall appeal to public and students for ethical
voting and educate them that both receiver and giver of
bribe are liable for punishment as per law,
 He shall convene Account Reconciliation Meeting on
26th day after declaration of result, for giving another
opportunity to candidates to reconcile the under stated
amount of election expenses, if any.

EXPENDITURE MONITORING CELL (EMC)
This cell at district level will consist of a Nodal Officer on
behalf of DEO, of the rank of SDM/ADM and two officials, who
will be in charge of Expenditure monitoring training and
coordination with all other team heads engaged in expenditure
monitoring,
 It will be responsible for expenditure monitoring efforts in the
district, providing manpower and logistical support like space
and equipments,
 Training of the Asstt. Expenditure Observers (AEOs) and all
the officials engaged in various teams should be done by
these Nodal Officers of Expenditure Monitoring Cell in the
District as soon as the elections are announced,

EXPENDITURE MONITORING CELL (EMC)
Training of candidates and agents twice- one, after
scrutiny of nomination for proper maintenance of accounts
and another after one week before declaration of result for
proper submission of accounts. In second meeting, the
officials responsible for receiving the accounts, shall also be
present.
 This cell will keep custody of all shadow observation
registers and folders of evidence after the poll,
 Nodal Officer of Expenditure Monitoring Cell shall act as the
link between the DEO and the EO
 EMC will assist the DEO and Expenditure Observer in
finalizing the scrutiny report to be submitted after declaration
of result.
VIDEO SURVEILLANCE TEAM
Video
Surveillance
Team (VST)
• Minimum One official, one videographer and one
vehicle
• Can be more than 1 team at a public meeting,
• Properly trained to identify and capture MCC
and expenditure related events in adequate
minute details as required,
• At the beginning of shooting, the team will
record in voice mode the title and type of
event, date, place and the name of the party
or the candidate organizing the same.
• It will capture the photo in such a way that the
evidence of each vehicle, furniture, rostrum,
banner, cutout etc. can be seen clearly and the
expense thereon can be estimated,
• AEO shall personally supervise videography of
sensitive events and big public rallies in the
constituency.
41
VIDEO SURVEILLANCE TEAM
Video
Surveillance
Team (VST)
• At the end of shooting, the team may also record
in voice mode the estimated number and type
of vehicles, Chairs, furniture, approx size of
rostrum/banner /poster/ cutout etc. used in the
event.
• This team will prepare a video cue-sheet in the
format given at Annexure-7 of the instructions.
This cue-sheet contains the highlights of the
recording with date and time.
• It should be ensured that the time and date set
up in the camera is correct.
• The details of time, date, place, name of
candidate and the official should also be written
on the cover of the VCD/DVD.
• The VCD/DVD should have a specific
identification number
42
VIDEO VIEWING TEAM
Video
Viewing
Team
(VVT)
• 1 officer and 2 clerks (or as required) for each
assembly segment ,as viewing all CD’s is a
time consuming task,
• View Video CD provided by VST for identifying
election expenditure and MCC related issues,
• Submit report containing candidate wise
expenditure no later than next day to
Accounting Team/ Asst. EO, on public rally etc.,
including the vehicle numbers, number of chairs,
size of Dias, audio system, posters, banners,
helicopter expense, media advertisements and
Paid News, names of candidates
43
VIDEO VIEWING TEAM
Video
Viewing
Team
(VVT)
• Video recordings should not be given to
any outside agency for editing etc.,
• In expenditure related reports, the team
shall put the registration number of all
vehicles, size of dais, number of chairs,
size of text in banner/poster and size of
cut-outs, captured in the VCD.
• MCC related report to General Observer
and RO
44
ACCOUNTING TEAM
Accounting
Team
• One official and one accounting clerk per
segment
• Drafted from employees of accounts wing of
Central Govt. depts.
• Work under Asst. EO, in preparation of
Shadow
Observation
Register
and
maintaining
videos/
CD
evidences
carefully in Folder of Evidence
• To maintain proper back-up which can be
called by Commission later.
• Will enter expenditure incurred by the
candidate on major expenses and corresponding
notified rates against each item( major public
meetings/rallies) in the Shadow Observation
Register, reported by various teams and
calculate the total expenditure of the
event observed for each candidate.
45
ACCOUNTING TEAM
Accounting
Team
•The team and AEO shall put rates
for expenditure, calculate total
expenditure
based
on
video
evidences and make entry in
Shadow Observation Register for
candidate concerned.
•Thereafter any suppression or
omission shall be pointed out by RO
in writing for corrective action,
preferably within 24 hours.
•The defaulting candidate has to
reply within 48 hours of the receipt
of the notice, explaining the reason
for such default or omission.
46
DISTRICT LEVEL MCMC – TO OPERATE 24X7
• A Dist. Level MCMC comprising DEO/RO (of
Parliamentary Constituency), ARO (not below
SDM),Central Govt. I&B Official(if any) and 1
citizen/ journalist nominee of Press Council of India/
DPRO or DIO equivalent- member secy.
• Certifying advt. proposals of candidates,
• Scanning media for suspected ‘paid news’ and
examination of complaints, reference by EO.
• RO to issue notice to candidate within 96 hrs. and on
receipt of reply from candidate Dist. Level MCMC to
decide expeditiously & convey decision to candidate.
If he/she does not reply within 48 hrs of recpt. of
notice, then Distt. MCMC’s decision is final .
• Infrastructure – in separate room - 3-4 TVs with
cable, all newspapers including local,
47
MCMC
 In
case of suspected ‘Paid News’, the candidate
to be issued notice for not accounting the
expenses within 96 hours by RO
 Candidate may reply within 48 hrs, which shall
be considered by District MCMC and shall be
final.
 In case of non acceptance of the decision of
District MCMC, the candidate may appeal to
State level MCMC within 48 hours of receipt
 In case of non acceptance of decision of State
MCMC, the Candidate may appeal to ECI
within 48 Hrs. of receiving of orders and the
decision of the ECI shall be final.
MONITORING OF CAMPAIGN THROUGH MEDIA:MCMC
Print
Media
Electronic
Media
Local
Newspapers
Radio including
Private FM
Other
newspapers in
circulation in
area
TV channels,
cable network
Magazines
Bulk SMS
Pamphlets &
Posters
49
SEPARATE BANK ACCOUNT
1.
3.
4.
5.
50
2.
The candidate to open a separate bank account for
election expenditure, at least one day prior to filing of
his nomination papers.
It can be opened in joint name of the candidate and his
election agent, anywhere in the state.
This Bank account can not be opened jointly by the
candidate with spouse or other relatives, if they are not
the election agent of the candidate.
The account can be opened in any bank, including cooperative banks and Post Office.
At the time of filing nomination, the candidate will
communicate the account number of this bank account
to the RO in writing. All the election expenses of the
candidate should be met from this bank account.
SHADOW
(SOR) &
OBSERVATION
REGISTER
FOLDER OF EVIDENCE (FE)
SOR is for each Contesting Candidate in a
constituency (ANNEXURE-11 of the Instructions). To
record all expenses incurred on major events(public
meetings/rallies etc.,) towards election campaign,

All expenditure recorded to be supported by
CD/Video evidences(proper referencing) held in FE
and to be cross- checked during Inspections

Signatures of candidate/ authorized agent to be
taken

The SOR & FE to be handed to the Dy.DEO by the
51
EO for safe custody before leaving the constituency,
under receipt.

EXPENDITURE SENSITIVE CONSTITUENCY(ESC)
EXPENDITURE SENSITIVE POCKETS (ESP)
 ESC
52
to be identified by CEO, based on profile of
constituency and candidates
 More FSs and SSTs with CPF
 ESP to be identified by Sector officers or police
in a constituency based on level of education,
development and demography
 ESPs to be kept under close watch all the time
 ESPs to have 24X7 check post during last 72
hours before poll
 ESPs need more campaign for ethical voting
 Liquor sale to be closely monitored in ESPs
FLYING SQUADS (FS)
 Three
,53
or more FS per AC to function from date of
announcement till completion of Poll.
 In expenditure sensitive constituencies, more
than three teams to be formed.
 The FS and SST not be given any other work from
announcement to completion of poll.
 To have one Magistrate, 3 or 4 police officials and
one videographer in each FS and SST with proven
integrity.
 Telephone numbers to be provided to the
Complaint Monitoring Control room & Call
Centre
FLYING SQUADS (FS) Contd.
 On
,54
receiving complaint of Distribution of cash,
liquor etc. FS shall immediately reach and seize
items if suspected to be for bribing of electors and
record statements of witnesses / persons. The
entire proceedings to be video recorded.
 If FS can not reach the spot immediately due to
distance, it will ask the nearest SST or the local
police to reach
 The copy of complaint/ FIR shall be sent to the
AEO, DEO, SP.
 In ESC/ ESP CPF, State Armed Police may be
mixed in FS and SST
STATIC SURVEILLANCE TEAMS (SST)
•
•
•
•
•
•
•
•
SST shall start functioning from the date of notification
of election.
3 or more SSTs in a constituency or as required,
comprising of one magistrate, 3-4 Police personnel or
CPFs and one videographer.
To put check posts on major roads/ESPs,
Border roads of district and state by check posts to
check movement of illegal cash/liquor/arms or gift items
Before last 72 hrs of poll, to put check posts in roads
connecting ESPs, as identified
The team should be polite and courteous during
checking.
Seizure to be done with proper panchnama/
acknowledgement
STATIC SURVEILLANCE TEAMS (Contd.)
FS or SST to pass on information to the Income
Tax Dept. for independent action in case of
cash above Rs 10 lakh
• There should be surprise elements in putting
the check posts so that one can not anticipate
about its placement.
• The Flying Squad of the district will supervise
the posting of the Static Team/Check Post so as
to avoid any harassment of public or any law
and order situation arising near check post.
• SST check posts in 3 shifts
•
STATIC SURVEILLANCE TEAMS(Contd.)




The entire activity at the check post should be video
graphed and the DVD handed over to Accounting
Team, for keeping in `folder of evidence`.
Any member of public may ask and take copy the
Video DVD/CD for a particular day by depositing
Rs. 300/-.
It will submit a Daily Activity report in prescribed
format (Annexure-9) to SP, RO and Assistant
Expenditure Observer ,
The Nodal Officer at Police Headquarters at State
level will compile the Daily Activity reports of
Flying Squads and Surveillance Team and send to
the CEO and Commission.
Criminality is determined,
Posters/
election
materials
Cash(more than
Drugs, liquor,arms
Rs.50,000) in
or gift items
custody of any
valued at more
candidate/agent/
than Rs.10,000
party official
being carried in a
vehicle
58
STANDARD OPERATING PROCEDURE : SOP
 During
checking by SSTs, if any cash exceeding
Rs.50,000 is found in a vehicle carrying a candidate, or
his agent or party worker or carrying posters or election
materials or any drugs, liquor, arms or gift items(valued
more than Rs. 10,000) which are likely to be used for
inducement of electors or any other illicit articles are
found in a vehicle, the same shall be subject to seizure.
Whole event of checking/seizure to be video graphed by
video team submitting CD to R.O.,
 An Appeal is to be made by DEO and CEO in local
language through Flying Squads / media regarding the
enforcement measures & advising the public and political
functionaries not to carry huge cash during election
process.
RELEASE OF CASH
The Committee comprising of i) CEO, Zila
Parishad/CDO/P.D., DRDA; ii) Nodal Officer of EEM in
Distt. Election Office and iii)District Treasury Officer
shall suo- motu examine each case of seizure made by
Police/SST/ FS.
 If no FIR/ complaint has been filed regarding seizure or
seizure is not linked to any candidate/ political party or
any election campaign, as per SOP, it shall take
immediate step to release such cash to person concerned
after passing speaking order.
 The procedure of appeal against seizure should be
mentioned in the seizure document.
 Wide publicity about functioning of this Committee.
60
 If release of cash is more than Rs. 10 lac, Nodal Officer of
I.Tax to be informed before such release.

INSPECTION OF ACCOUNTS OF ELECTION
EXPENDITURE
 Candidates are required to maintain their Day to Day
accounts and produce for Inspection 3 times or more
before the Expenditure Observer (EO) or any officer
authorized by him. The RO will notify 3 dates & timing
well in advance in consultation with EO for such
inspection.
 Gap between the two inspection should not be less
than 3 days.
 Candidate can have a separate agent for election
expenses,
 Inspection to be done in the office chamber of RO
between 10AM to 5PM.
 Publicity has to be given about the contact number of EO
and time of inspection,
INSPECTION OF ACCOUNTS (CONTD.)
 The
Accounting Team along with the AEO
to be present with Shadow Observation
Register and folder of evidence during
inspections,
 The details of
suppressed expenditure
found, if any, based on evidences gathered,
must be recorded in writing on the register
maintained by the candidate and also on the
SOR/FE and signatures of candidate/Agent
obtained on both. It must be counter signed
by EO/AEO and RO / Accounting team
head,
INSPECTION OF ACCOUNTS( CONTD.)
 Instances
63
of suspected Paid News will also be
noted in the register,
 RO to issue notice to candidate on the same
day on all such discrepancies and also on all
advertisements / Paid News,
 A photocopy of the accounts maintained by the
candidates should be obtained after each
inspection and RO will display a copy on the
notice board
 Scanned copy of the day to day a/c of
candidate to be uploaded in the DEO`s
portal with link to CEO`s website after each
inspection.
64
INSPECTION OF ACCOUNTS( CONTD.)
 Notice to be issued to candidate in case of
failure to produce accounts for inspection and
FIR to be filed if failure continues (Sec 171-I of
IPC),
 Withdrawal of permission for use of campaign
vehicle, if the failure continues in spite of notice,
 Intimation
of such withdrawal of
permission to the Flying Squad to
take the vehicle out of campaign,
 Any member of Public can obtain copy of
Shadow Observation Register after inspection,
notices and replies by candidates on payment of
Re. 1/- per page.
District Expenditure Monitoring Committee (DEMC)
 DEMC
consists of Ex. Observer, DEO and Dy.
DEO/In charge of EEM of the District
 In case of discrepancy in the accounts, the RO
to issue notice to the candidate
 In case the candidate accepts, the same shall
be added to his expense
 If, candidate disputes within 48 hours, the
matter shall be decided by DEMC within 72
hrs in writing and a copy will be issued to the
candidate(whether to add the suppressed
expenditure in the account of candidate or not )
District Expenditure Monitoring Committee (DEMC)
Contd….
 Candidates shall be given another opportunity
in
Account Reconciliation Meeting, to be convened by
DEO on 26th day after declaration of result, to reconcile
the under stated amount of election expenses, if any.
 The candidates should come prepared with their final
accounts of election expenses and registers, etc.,
 DEMC, after scrutinizing the accounts, shall pass order in
writing, giving detailed reasons in cases, where the
differences could not be reconciled and serve it on the
candidate/ agent on the same day,
 If, candidate agrees, he may incorporate the same in his
final accounts. If not, he may lodge his final accounts with
DEO, with reasons for disagreement giving letter to DEO.
 If account lodged prior to this meeting, the candidate may
revise his accounts within the statutory period of 30 days
24 X7 DISTRICT COMPLAINT MONITORING CELL
 District
67
level Control Room to operate from the date
of announcement of election.
 Toll free telephoneNo. With 3-4 hunting lines.
 Copies of all complaints received and reports of
inquiries conducted shall be put on the notice
board of the RO for information of the Public. Any
member of the Public can obtain copies of these
documents on payment of a fee of Re. 1 per page.
 All complaints filed with DISTRICT LEVEL Complaint
Monitoring cell to be recorded and investigated
PUBLIC MEETINGS/RALLIES
 Format
for applying for permission to
hold public meeting/ rally is given in
Annexure-16
 Candidate has to mention date time,
duration
and location of such
meeting/rally along with expenditure plan
for obtaining due permission
 This is necessary for maintenance of law
and order and proper video recording of
events.
STAR CAMPAIGNERS
 All
Passengers going by private aircrafts/helicopters will
be frisked both in airports and airstrips
 The candidate or Party shall inform about travel plan of
the aircraft/helicopter 24 hrs in advance for landing and
take off in non commercial airports, to DEO for security
purpose
 Candidate shall inform the RO concerned within 5 days
of landing about the hiring charges paid or payable for
helicopter /air craft and name of the pol. Party in case
hiring charges borne by it.
 List of Star campaigners to be submitted to CEO and
the Commission within 7 days of the notification
STAR CAMPAIGNER
 Travel expenses of star campaigners of allied party are
not exempt
 If Star campaigner travels with candidate(s), then 50% of
the travel expense will be added/apportioned to the
expenditure of candidate(s)
 If candidate shares the Pandal with the Star Campaigner
or his photo or poster with his name is exhibited in the
meeting, then the meeting expense will be added to his
account
 If any attendant, security guard or medical attendant of
Star campaigner or any member of the party, who is not
a candidate in the constituency concerned, or any
representative of electronic/print media travels with
him, then travel expenses of such star campaigner shall
not be added to the account of candidate provided they
do not play any role in election campaign of the
candidate.
PRINTING PAMPHLETS, BANNERS AND POSTERS
 The
print and electronic media, cable network and
FM radio will be closely monitored
 Prior approval of CEO before any broadcast or
telecast
 Press or publisher’s name and address, number of
copies and amount charged to be mentioned in all
printed material including media advertisements
and sent to DEO immediately
 Advertisement in Print media to be covered under
section 127A of RP Act,1951 (copy of the printed
material and declaration from the publisher to be
sent by the printer to CEO or DEO)
RALLY EXPENSES
 All
public rallies and Public meetings (even before
notification and after announcement) to be
videographed
 Rally expense for filing nomination to be included
 Public who attend the rally in their own vehicle without
receiving any payment or without any flag, banner or
photo of candidate not to be included
 Commercial vehicles used for rally to be included in
expense
 Notional cost of fuel and driver salary of one Personal
vehicle used by the candidate to be added (Notional
cost of hiring in case of more than one personal vehicle
used)
 One vehicle of district level party officer ( Not being the
candidate) exempted
Advertisement in electronic and Print Media
Electronic Media Advertisements:
Prior approval of CEO before any broadcast/telecast in
electronic media, cable network and FM radio (As per Supreme
Court Judgment)
 Print Media Advertisements:
Press or publisher’s name and address and amount charged to
be mentioned in all printed material including media
advertisements and sent to DEO immediately
 Advertisement in Print media to be covered under section
127A of RP Act,1951 and media must collect a declaration
signed by the publisher, attested by two persons (copy of the
printed material and declaration from the publisher to be sent
by the printer to CEO or DEO within 7 days).
 Punishment for violation is imprisonment up to 6 months or
fine

MONITORING OF VEHICLES
Candidates
to submit before the RO
details of vehicles proposed to be
used and obtain permission in writing
Permission letter to be displayed on
the wind screen of vehicle
Permission given to a particular
candidate being used by another,
vehicle to be seized and exp. For
entire period to be added
OTHER INSTRUCTIONS:
 If
candidate attends a community kitchen,
during election campaign, (other than those
organized by religious communities and normal
ceremonies like marriage etc,) the entire
expenditure will be added as his election
expenditure,
 If the vehicle permitted to any independent
candidate or any other candidate is found
carrying campaign material of another
candidate or being used for campaign for any
other candidate, the entire expenditure on the
vehicle from the date of permission will be
added to the candidate using it for his campaign
and permission will be withdrawn
MONITORING
 From
PRODUCTION, STORAGE AND
DISTRIBUTION OF LIQUOR
the date of announcement of election till completion of
election, the production, off-take, stock limits of stockists and retailers
of IMFL/Beer/country liquor are to be monitored district wise,
 Opening and closing of liquor vending shops are to closely
monitored,
 Intensive vigil over inter state movement of vehicles at RTO checkposts and border check-posts by special enforcement staff of Excise
Deptt.,
 To conduct raids to seize illicit liquor,
 Inter state coordination of Excise Commissioners of the
bordering states,
 District level Nodal Officer to submit report every alternate day to
DEO, Exp. Observer and State Level Nodal Officer, who will
compile the state level report to Commission and CEO (Annex.22).
 All distilleries/ warehouses shall be put under 24x7 CCTV monitoring
with police guard so that no liquor is released without license.
Other Monitoring Measures

The bookings of marriage halls/ Mandaps to be monitored,

Distribution of gift items/cash coupons to be closely
monitored,

Unusual cash deposit/ withdrawal in account of SHGs and
NGOs,

Disbursal of wages under ongoing Government schemes only
in presence of Government officials during elections.

Bank reports of Cash withdrawal above Rs. 10 lakh.

FIU to send Suspicious cash withdrawal report to Income tax
Deptt. on real time basis.

The Directorate of Revenue Intelligence to keep watch on
International Airports and Enforcement Directorate on cash
movement

BSF and SSB to keep greater vigil on border.
LODGING OF ACCOUNTS OF ELECTION EXPENSES:
Candidates are required to lodge their accounts of election
expenses with the DEO within 30 days of declaration of result
along with the register of election expenses (U/s. 78 of the RP
Act,1951)
 Documents required to be filed:
1. Part I to Part IV of Abstract statement (along with Schedule 1 to
9) signed by the candidate , (Revised format)
2. Certified Copy of Bank statement ,
3. Bank Register and Cash Register,
4. Affidavit signed by the candidate,
4. Register of Day-to-day Accounts with all bills and vouchers in
original duly signed,
5. Copies of expenditure related notices issued by RO and
replies to such notices and
6. Replies to discrepancies pointed out at the time of Inspection,

E- FILING OF ABSTRACT STATEMENT OF ACCOUNT
Facility of e- filing of Abstract Statement can be used by
candidates without any cost.
 Willing candidates can avail this facility by logging into
ECI website through internet.
 Available in Hindi and English.
 Candidates can take free assistance of EC Return
Preparers(ECRP), trained by Commission.
 After e- filing, candidates can take print out of the
statement and Affidavit, sign on all pages and get the
Affidavit notarised and send them to DEO with all the bills
and vouchers, bank statement of account opened for
election expenses, Day to Day account Register etc.,
 Same facility for political parties for submitting their
79
accounts of election expenses after 75/90 days after
Assembly/ Lok Sabha elections.

AFFIDAVIT OF ASSET AND LIABILITY
 To
file Affidavit of Asset and Liability along with
nomination of self, spouse and dependant children as per
revised format,
 Affidavit to contain:
I. Actual value and cost of addition to
Immovable assets along with Market value,
II. Bank Deposits and Shares,
III. Actual liabilities including Govt.
dues and disputed liabilities
IV. PAN of self, spouse and children and
Income Tax paid as per last return,
V. Cases pending and Conviction Orders obtained
 Affidavit are to be scanned and uploaded to web site of
CEO within 24 hrs of receiving.
 At
DEO’S SCRUTINY REPORT : ( ANNEX-21)
Sl. no.8, prescribed format:- Whether candidate
has submitted his Expenditure Register ( Part A,
B,C), Abstract Statement (Part I to IV, with
Schedules 1 to 9) along with Affidavit sworn in by
candidate before Magistrate of first class or Oath
Commissioner or Notary Public, vouchers of expenses
singed by candidate/Agent, Self certified copies of the
Bank Account,
 Sl.
no.10(a) of DEO`s Report:- DEO has to
mention as to whether items of expenses reported by
candidate tally with those shown in Shadow
Observation Register. If there is understatement or
candidate has not mentioned any expenses then it
has to be shown in relevant columns of 10(b) with
proper evidences collected by various teams on
Expenditure Monitoring kept with the DEO.
SOP: CHECKING OF HELICOPTERS/ AIRCRAFT
 The Bureau of Civil Aviation Authority Instruction vide its OM
dt. 14.02.12 ( Annexure-53)
 During election process proper frisking and pre embarkation,
checking of all persons, screening/ phy. Checking of baggage
to be done,
 CISF to inform the Income Tax dept. if cash above 10lacs/
bullion is detected in poll bound states,
 No prior permission for landing/ take off at commercial
airports from DEO. But ATC to keep records of all such pvt.
Aircrafts/ helicopters and make available such information to
the CEO within 3 days of landing or takeoff. The CEO 82to
share this information with EO for accounting purpose.
SOP: CHECKING OF HELICOPTERS/ AIRCRAFT
 For
airstrips not used for commercial purposes
applications to be made to the DEO
concerned 24 hrs in advance by candidate or
pol. Party,
 Every candidate shall inform the RO concerned in
writing, regarding the details of expenditure
incurred on hiring such crafts and name of
pol. Party if party has borne the expenses
 Pol. Parties to inform the ECI within 75 days (for
AC) and in 90 days ( for PC) after completion of
election, details of expenses borne on such hiring
83
of crafts.
Checking at non-commercial airports
 No
body – frisking of any passenger at the
time of deplaning.
 All baggage coming out of private/chartered
helicopters to be checked
 No separate entry or exit for passengers of
private/chartered helicopters – all subject
to CISF checking
 Commercial airlines to report regarding
movement of cash through check-in
baggage
ROLE ASSIGNED TO
INCOME TAX DEPARTMENT
 To
gather intelligence/ keep watch over movement of
cash in the constituency and take necessary action under
IT Laws
 To watch all airports of the state, major railway stations,
hotels, farm houses, hawala agents, financial brokers,
Cash couriers, Pawn brokers
 IT Deptt. will open Air Intelligence Units in all airports of the
poll bound states and also shall keep vigil over movement of
cash through aircrafts/ helicopters leading to poll bound
states,
 To verify asset and liability of candidates with IT return
 To verify, whether all parties have filed return
OBSERVERS FEEDBACK ON T NADU
ELECTIONS
 In
rural areas and in slums, the people on
seeing the news on TV, become aware that
taking money for voting in election
was a punishable offence which may
entail one year imprisonment or fine
or both.
 In many places free gifts like sarees,
dhoties etc., left at the doorsteps of the
people by political parties were thrown on
the streets or brought to the notice of
election authorities!
Amu
dha
IAS
TN
CHENNAI: "Terror of money power contained
in TN. Tamil honour vindicated.
Thanks to EC. Bravo."
Amudha IAS TN
NEW INDIAN EXPRESS
Election Commission the real hero in TN polls
Express News Service
14 May 2011
TRY THIS
Expenditure will never exceed the ceiling
limit !
Balancing earnings & expenditure!
TELEFAX NO. / E-MAIL ID FOR REPORTING





Sh. Avinash Kumar, Under Secretary (EE Div.)
- Tel: 011 23052055, Mob-9868911976 avinash.kr@eci.gov.in .
Sh. Malay Mallick, Under Secretary (EE Div.)
- Tel: 011 23052058, Mob-9868113451 malay.mallick@eci.gov.in .
Sh. S.K. Rudola, Secretary , 011-23052149, Fax: 011- 23052049,
Mob-9013308437
(e-mail: skrudola@eci.gov.in)
Sh. N.C. Swain, Director, 011-23052009Fax: 011- 23052003, Mob09013851493
(e-mail: ncswain@gmail.com)
In case of urgency:Sh. P. K. Dash, DG (Exp.) Tel. 011 23356025, Fax: 011- 23318506,
Mob-09868301742
e-mail: prasana.dash@eci.gov.in
Address- Nirvachan Sadan, Ashoka Road, New Delhi01
धन्यवाद !
THANKS
90