 statement of objects and reasonsparliamentary democracy envisaged in the constitution of india can develop and succeed only when the political parties in the country function in an orderly manner and under public scrutiny credibility of political parties in the eyes of people has considerably been eroded most of the political parties which are unable to bear the expenses of their candidates in the elections adopt unhealthy methods and seek assistance from bodies/organisations in the country and outside the country it is also found that the political parties and individual candidates seek money from the big houses and multinationals such illegal practices encourage generation of black money and proliferation of small parties setting up their candidates thereby putting unnecessary burden on the public resources the circulation of black money and influence of multi-nationals and big houses in the elections cause a great set back to the smooth functioning of the parliamentary democracy in the country with a view to check these tendencies and to set a healthy practice, it will be necessary for the government to bear the expenditure incurred or to be incurred by a political party on its candidates for undertaking campaigning in the elections to the lok sabha or state assembly certain facilities should be given to recognised political parties for their effective functioning and the facilities should be given in kind rather than in cash certain regulations should also be imposed on political parties for orderly campaign during election period the bill seeks to achieve these objectives new delhi; uttamrao dhikale november 22, 2000 financial memorandumthe bill seeks to provide for assistance to political parties in respect of rent free accommodation, telephone to recognised political parties it further provides for certain 'other facilities to recognised political parties and candidates set up by such parties the bill also seeks to constitute an election fund it is difficult to estimate the precise financial implications at this stage however, to begin with, a recurring expenditure of rupees five hundred crore per annum will be required the expenditure will be made from the consolidated fund of india a non-recurring expenditure of about rupees one thousand crore will also be involved j i memorandum regarding delegated legislationclause 9 of the bill empowers the central government to frame rules in consultation with the election commission the matters for which the rules may be framed are the particulars to be contained in an application of a political party for the grant of assistance, factors to be taken into account for determining the quantum of assistance to be granted to a political party, etc the delegation of legislative power, therefore, is of a normal character 