Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do. There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Now as I approach my 90th birthday ( 27 June 2023 ) , I invite you to visit my Digital Avatar ( www.hemenparekh.ai ) – and continue chatting with me , even when I am no more here physically

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Thursday, 12 February 2026

Prevention of Irresponsible Promises by Political Parties Act - 2026 { PIPPPA - 2026 }

 To: 


Hon'ble Shri Amit Shah


     Union Home Minister

     Government of India

     North Block, New Delhi - 110001


==============================================


Subject: 

Request to Introduce the Prevention of Irresponsible Promises by Political Parties

 Act, 2026 (PIPPPA-2026) in the Next Session of Lok Sabha


Respected Shri Amit Shah Ji,


Namaskar.

I am writing to bring to your urgent attention a matter of grave national

 importance

- the fiscal crisis engulfing several Indian states due to the

 proliferation of fiscally irresponsible freebies promised by political parties during

 elections.


THE CRISIS : EVIDENCE-BASED ANALYSIS

Enclosed herewith is a comprehensive table documenting the TOP TEN states

 whose finances have been devastated by freebie politics. The data reveals:


1. PUNJAB leads with a catastrophic debt-to-GSDP ratio of 48.98% (against the

 FRBM mandated 20%), spending 24% of revenue receipts on subsidies and

 45.5% of tax revenue on freebies.


2. RAJASTHAN follows at 42.37% debt-to-GSDP, which rises to 54.94% when state

 enterprise borrowings and guarantees are included.


3. ANDHRA PRADESH, WEST BENGAL, BIHAR, TAMIL NADU, TELANGANA, and

 MAHARASHTRA are all experiencing severe fiscal stress.


4. Combined, these ten states account for a disproportionate share of India's state

 debt burden.


The Reserve Bank of India has warned that annual costs are rising by ₹10,000-

12,000 crore due to new freebies, crowding out infrastructure and development

 spending. 


NITI Aayog's Fiscal Health Index confirms that states with higher freebies

 consistently show weaker fiscal parameters.


THE SUPREME COURT'S CALL FOR ACTION


The Hon'ble Supreme Court has repeatedly condemned this "revadi culture":

·         • The Court observed that freebies "can push states towards imminent

 bankruptcy" and are distributed "only for increasing the popularity of the party

 and electoral prospects."


·         • The Court has called for a legislative solution, noting that "the court

 cannot pass any direction on electoral promises" but can "help Parliament with a

 report."


·         • Most recently, the Court condemned pre-election freebies, warning they

 "discourage work and create a class of parasites."


THE SOLUTION: PIPPPA-2026


I humbly submit for your consideration a draft Bill - the Prevention of Irresponsible

 Promises by Political Parties Act, 2026 (PIPPPA-2026) - enclosed herewith.


This Bill is based on a concept I outlined in my blog post dated 21 March 2024,

 and refined in light of subsequent developments.

https://myblogepage.blogspot.com/2024/03/dear-pm-promise-pipppa-not-freebies.html

KEY FEATURES:

1. DISTINGUISHES between genuine welfare (infrastructure, healthcare,

 education, targeted support for vulnerable sections) and electoral bribes (cash

 handouts, consumer durables, unconditional loan waivers, etc.)


2. MANDATES that political parties file detailed manifestos 180 days before

 elections, specifying: cost of each promise, source of funding, implementation

 timeline, and fiscal impact analysis.


3. ESTABLISHES independent Manifesto Scrutiny Committees (comprising retired

 judges, economists, CAG and RBI representatives) to examine manifestos.


4. IMPOSES graduated penalties based on severity of violation: Level 1 (Censure

 and fines), Level 2 (Freezing of party symbol), Level 3 (De-recognition for 5

 years), Level 4 (Declaration as illegal association)


5. ENSURES transparency through mandatory publication on party websites,

 Election Commission website, and major newspapers.


6. PROTECTS genuine welfare aligned with Directive Principles of State Policy.


WHY THIS BILL IS NECESSARY NOW


1. FISCAL SUSTAINABILITY: India aspires to be a $5 trillion economy and beyond.

 We cannot achieve this with states drowning in debt due to freebies.


2. INTERGENERATIONAL EQUITY: Current freebies create debt burdens that our

 children and grandchildren will bear.


3. VOTER DIGNITY: Indian voters deserve to be treated as stakeholders in nation-

building, not as beneficiaries to be bribed.


4. ECONOMIC EFFICIENCY: Resources diverted to freebies could build world-class

 infrastructure, hospitals, universities, and manufacturing capacity.


5. CONSTITUTIONAL DUTY: Article 292 and 293 empower Parliament to regulate

 borrowing. The FRBM Act precedent shows such regulation is necessary and

 constitutional.


REQUEST FOR ACTION


Sir, 

I respectfully urge you to:


1. Review the enclosed draft Bill (PIPPPA-2026);

2. Introduce the Bill in the next session of the Lok Sabha;

3. Build cross-party consensus on this critical issue (as all parties ultimately

 govern and face these fiscal constraints);

4. Position this as a nation-building measure, not a partisan initiative.


This Bill will be your Government's lasting legacy - protecting India's fiscal health

 and democratic integrity for generations to come.


CONCLUSION

The time for action is now, before more states descend into fiscal crisis. 

As the

 Hon'ble Prime Minister often says, "sabka saath, sabka vikas, sabka vishwas" -

 this requires fiscal responsibility, not fiscal recklessness.


I place myself at your disposal for any clarifications or discussions on this matter.


With profound respect and regards,


Hemen Parekh

Email: hcp@RecruitGuru.com

Date: 13 February 2026


Website: www.hemenparekh.ai

Blog: https://myblogepage.blogspot.com



ENCLOSURES:

1. Table: Top Ten States Suffering from Freebie Politics

2. Draft Bill

The Prevention of Irresponsible Promises by Political Parties Act, 2026 (PIPPPA-2026)

 

Jai Hind ! Jai Bharat !

PIPPPA-2026: COMPREHENSIVE PACKAGE

Prevention of Irresponsible Promises by Political Parties Act, 2026

 

DOCUMENT 1: TOP TEN STATES SUFFERING FROM FREEBIE POLITICS

Evidence of Fiscal Distress Caused by Freebies (Data as of 2024-25)

State

Debt-to-GSDP Ratio

Fiscal Deficit (% of GSDP)

Subsidy Burden (% of Revenue)

Key Freebie Schemes

Punjab

48.98% (Target: 20%)

4.5%+

24% (Highest)
45.5% of tax revenue on freebies

Free electricity to farmers; Farm loan waivers; Free power to 60 lakh people

Rajasthan

42.37%
(With guarantees: 54.94%)

3.9%

13%

Free electricity; 95%+ subsidies for power sector

West Bengal

37.39%

Elevated

High

Various welfare schemes; Revenue deficit rising

Bihar

36.73%

Elevated

High

Multiple welfare schemes

Andhra Pradesh

35.30%
(With guarantees: 53.77%)

4.2%

15%
30.3% of tax revenue on freebies

Free power; Loan waivers; Revenue surplus dropped 35%

Madhya Pradesh

31.53%
(With guarantees: 47.13%)

4.1%

Elevated

Various welfare schemes

Telangana

27.80%
(With guarantees: 47.89%)

Moderate

Elevated

Free power; Cash transfer schemes

Tamil Nadu

27.27%
(With guarantees: 39.94%)

Moderate

14%

Free bus travel for women (9% of subsidy spending); Mixer-grinders; TVs

Chhattisgarh

26.47%

Moderate

Moderate

Various welfare schemes

Maharashtra

Elevated

Rising (0.9% revenue deficit FY26)

Rising sharply

Ladki Bahin scheme (₹460 bn FY25, cut to ₹360 bn FY26); ₹2,100/month to women; Free LPG; Toll waivers

 

Key Findings:

·         FRBM Act mandates maximum 20% debt-to-GSDP ratio - all 10 states exceed this limit

·         Combined these states represent significant portion of India's total state debt

·         Rising subsidy costs crowd out infrastructure and development spending

·         Annual costs rising by ₹10,000-12,000 crore due to new freebies (RBI)

·         States with higher freebies show weaker fiscal parameters per NITI Aayog's Fiscal Health Index


Sources: CAG Reports (2020-21 to 2024-25), RBI State Finances Study 2024-25, PRS Legislative Research, Emkay Global Financial Services, Various State Budget Documents


 

DOCUMENT 2: DRAFT BILL - PIPPPA 2026


THE PREVENTION OF IRRESPONSIBLE PROMISES BY POLITICAL PARTIES ACT, 2026 (PIPPPA-2026)

A BILL

to prevent political parties from making fiscally irresponsible promises and offering

 freebies in their election manifestos, to protect the financial health of the Union

 and States, to uphold the dignity of voters, and for matters connected therewith

 or incidental thereto.


BE it enacted by Parliament in the Seventy-seventh Year of the Republic of India

 as follows:—


CHAPTER I - PRELIMINARY

1. Short title, extent and commencement

(1) This Act may be called the Prevention of Irresponsible Promises by Political

 Parties Act, 2026.

(2) It extends to the whole of India.

(3) It shall come into force on such date as the Central Government may, by

 notification in the Official Gazette, appoint.


2. Definitions

In this Act, unless the context otherwise requires,—

"Freebie" means any promise made in an election manifesto or during an election

 campaign that involves distribution of goods, services, or cash transfers to voters

 without:


    (i) adequate financial provisioning,


    (ii) clear budgetary allocation and funding source,


    (iii) contribution to long-term asset creation or economic productivity, or


    (iv) transparent cost-benefit analysis;


"Election Manifesto" means any document, declaration, or public statement

 issued by a political party that outlines promises, schemes, or policies to be

 implemented if the party comes to power;


"Political Party" means any political party registered with the Election

 Commission under Section 29A of the Representation of the People Act, 1951;


"Election Commission" means the Election Commission of India constituted

 under Article 324 of the Constitution;


"Manifesto Scrutiny Committee" means the committee constituted under

 Section 6 of this Act;


"Responsible Promise" means a promise that:


    (i) has detailed financial provisioning,


    (ii) creates long-term assets or enhances productivity,


    (iii) is targeted to specific vulnerable sections based on objective criteria,


    (iv) does not discriminate on grounds of religion, caste, creed, or region, and


    (v) is accompanied by transparent implementation and monitoring mechanisms.


CHAPTER II - PREAMBLE AND OBJECTIVES


3. Preamble

We, the people of India, declare that our votes are sacred instruments of

 democracy and not commodities for sale. We reject attempts by political parties

 to bribe voters through fiscally irresponsible freebies that:


(a) undermine the financial stability of the Union and States,

(b) create unsustainable debt burdens for future generations,

(c) divert resources from essential infrastructure and development,

(d) foster a culture of dependence rather than empowerment, and

(e) corrupt the electoral process by treating citizens as beneficiaries rather than

 stakeholders in nation-building.


4. Objectives


The objectives of this Act are:

(a) to ensure election manifestos contain only fiscally responsible promises,

(b) to protect the fiscal health of the Union and State governments,

(c) to promote transparency and accountability in political promises,

(d) to distinguish between genuine welfare measures and electoral bribes,

(e) to uphold the dignity and intelligence of voters, and

(f) to ensure political competition is based on governance vision rather than

 distribution of public resources as private goods.


CHAPTER III - RESTRICTIONS ON FREEBIES IN ELECTION MANIFESTOS


5. Prohibition of Freebies

(1) No political party shall promise any freebie in its election manifesto.

(2) Without prejudice to the generality of sub-section (1), the following shall be

 deemed to be freebies:

    (a) Cash transfers without work requirement or productivity linkage;

    (b) Distribution of consumer durables (televisions, mixer-grinders, laptops,

 tablets, smartphones, gold coins, etc.);

    (c) Free or heavily subsidized alcohol, food packets not linked to food security;

    (d) Unconditional payment of utility bills (electricity, water) for all citizens;

    (e) Unconditional loan waivers not linked to genuine distress;

    (f) Distribution of vehicles (bicycles, scooters) without skills/employment

 linkage;

    (g) Unemployment allowances without skilling or work requirements;

    (h) Any promise discriminating on grounds of religion, caste, or region;

    (i) Any other item specified by the Manifesto Scrutiny Committee as a freebie.

(3) Notwithstanding sub-section (2), the following shall NOT be deemed freebies if

 they meet the criteria in Section 2(f):

    (a) Infrastructure projects (highways, ports, airports, railways);

    (b) Healthcare facilities accessible to all citizens;

    (c) Educational institutions and skill development programs;

    (d) Targeted nutrition programs for children and pregnant women;

    (e) Social security pensions for elderly, disabled, and destitute;

    (f) Subsidized food grains for Below Poverty Line families;

    (g) Agricultural support linked to productivity enhancement;

    (h) Housing for economically weaker sections;

    (i) Clean drinking water and sanitation facilities;

    (j) Disaster relief and rehabilitation measures.


 

CHAPTER IV - MANIFESTO FILING AND SCRUTINY


6. Constitution of Manifesto Scrutiny Committee

(1) The Election Commission shall constitute a Manifesto Scrutiny Committee for

 each general election consisting of:

    (a) A retired Supreme Court Judge (Chairperson);

    (b) A retired Chief Secretary;

    (c) An economist of national repute;

    (d) A representative from the Comptroller and Auditor General;

    (e) A representative from the Reserve Bank of India (for State elections) or

 NITI Aayog (for Lok Sabha elections).

(2) The Committee shall serve for the duration of the election cycle.


7. Mandatory Filing of Election Manifestos

(1) Every political party contesting an election shall file its election manifesto with

 the Election Commission at least 180 days before the first date of polling.

(2) The manifesto shall be filed in the prescribed format and shall contain:

    (a) Complete list of all promises and schemes;

    (b) Estimated cost of each promise (capital and recurring for 5 years);

    (c) Source of funding (new taxes, expenditure cuts, borrowing, etc.);

    (d) Implementation timeline and monitoring mechanism;

    (e) Cost-benefit analysis for each major promise;

    (f) Impact on fiscal deficit and state/central debt.


CHAPTER V - ENFORCEMENT AND PENALTIES


9. Penalties for Violation

(1) If a political party's manifesto contains freebies despite the Committee's

 prohibition, the Election Commission may, depending on the severity and extent

 of violation:


    (a) LEVEL 1 (Minor Violation):

        • Issue public censure;

        • Require removal of the offending promise(s);

        • Fine up to ₹10 crore.

    (b) LEVEL 2 (Moderate Violation):

        • Freeze party symbol for specific election;

        • Prohibit acceptance of Electoral Bonds or donations for 2 years;

        • Fine up to ₹50 crore.

    (c) LEVEL 3 (Serious Violation):

        • Deregister/de-recognize party for 5 years;

        • Prohibit party from contesting elections for 5 years;

        • Freeze all party bank accounts;

        • Fine up to ₹100 crore.

    (d) LEVEL 4 (Grave Violation):

        • Declare party as "illegal association" under Unlawful Activities (Prevention) Act;

        • Seize all movable and immovable assets;

        • Permanent ban on party and its office bearers from electoral politics;

        • Criminal prosecution of party leaders.


(2) The Election Commission shall determine the level of violation based on:

 number and magnitude of freebies promised, estimated fiscal impact, whether

 violation was willful or inadvertent, party's past record of compliance, and any

 other relevant factor.


 


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