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EC revives economic intelligence panel ahead of Bihar polls

20 Oct 2025 GS 2 Governance
EC revives economic intelligence panel ahead of Bihar polls Click to view full image

Context:

  • The EC has reactivated the Multi-Departmental Committee on Election Intelligence (MDCEI) — also referred to as an economic intelligence panel — after a break of about six years.

  • The reactivation is ahead of the upcoming Bihar Legislative Assembly elections.

  • The MDCEI will focus on curbing inducements (money, liquor, drugs, freebies) used to influence voters.

Why this step

  • Electoral integrity in India is challenged by money power, freebies, liquor/drug inducements, and unaccounted cash flows during elections.

  • Bihar being a large and politically significant State, with a porous border (e.g., with Nepal) and history of high-stakes elections, the EC needs enhanced intelligence and enforcement coordination.

  • By reviving the panel, the EC seeks to enhance coordination among multiple agencies (financial, enforcement, regulatory) and push for a “zero-tolerance” approach to inducements.

Composition & mandate of the MDCEI

  • The MDCEI is composed of 17 departments/agencies including:

    • Central Board of Direct Taxes (CBDT)

    • Central Board of Indirect Taxes & Customs (CBIC)

    • Enforcement Directorate (ED)

    • Central Economic Intelligence Bureau (CEIB)

    • Financial Intelligence Unit ‑ India (FIU-IND)

    • Reserve Bank of India (RBI)

    • Security forces such as Border Security Force (BSF), Sashastra Seema Bal (SSB), etc.

  • Mandate:

    • Map constituencies vulnerable to illegal inducements (cash, liquor, drugs).

    • Create a roadmap for intelligence-sharing and enforcement action.

    • Strengthen real-time monitoring of money flows, freebies, liquor/drugs distribution, and smuggling through borders, especially in sensitive areas.

Significance / Implications

  • Reinforces EC’s role beyond just scheduling elections — emphasising enforcement and deterrence.

  • Sends a message to political parties, candidates, and agencies that the EC is intensifying oversight of money-power and inducement politics.

  • May help strengthen the institutional architecture for free and fair elections, especially in States with history of inducement practices.

  • Could serve as a model for future elections in other States where inducements, freebies and unaccounted cash are a concern.

About MDCEI

  • The MDCEI was originally formed in 2014 ahead of the general elections, became inactive after 2019, and is now revived in 2025.

  • The EC’s directive emphasises: “Zero-tolerance” approach to cash, liquor, drugs influencing elections. 


Prellims Practice MCQ

Q. With reference to the Multi-Departmental Committee on Election Intelligence (MDCEI), consider the following statements:

  1. It was originally constituted by the Election Commission of India in 2014 to curb the influence of money power in elections.

  2. The Committee includes agencies such as the CBDT, CBIC, Enforcement Directorate, FIU-IND, and Reserve Bank of India.

  3. Its primary function is to recommend electoral reforms to the Parliament.

Which of the statements given above is/are correct?

(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 only
(d) 1, 2 and 3

Answer: (a)
Explanation:
The MDCEI was formed by the ECI in 2014 to coordinate between enforcement and intelligence agencies to curb inducements like cash, liquor, and drugs during elections. It does not recommend reforms to Parliament.



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