Samajwadi Party Cancels I-PAC Tie-up, Akhilesh Blames Fund Crunch For This Decision

Lucknow: The Samajwadi Party has decided against moving ahead with its proposed tie-up with political consultancy firm Indian Political Action Committee for the 2027 Uttar Pradesh Assembly elections, with legal concerns, recent electoral outcomes and internal scepticism shaping the decision, sources said.

Addressing the media, Akhilesh Yadav said the party could not sustain the arrangement due to lack of funds. “Yes, we had an agreement with this company. They worked with us for a few months, but we are not in a position to continue. We do not have that kind of funds to spend on election planning,” he said, dismissing speculation that recent Assembly poll results influenced the move.

Party insiders said SP chief Akhilesh Yadav was not convinced about bringing I-PAC on board despite a presentation made by the firm. The interaction, arranged following inputs from the All India Trinamool Congress, did not lead to any formal agreement.

Sources in I-PAC said an initial understanding reached earlier this year is no longer being pursued. The situation changed after the Enforcement Directorate arrested I-PAC director Vinesh Chandel in connection with alleged financial irregularities linked to a coal smuggling case in West Bengal. The development raised concerns over the firm’s functioning and its ability to manage large-scale election campaigns.

An I-PAC employee pointed to a lack of internal communication following the developments. “The senior leadership has maintained silence and is not communicating anything to us. We have also heard that the contract has been cancelled,” the employee said.

Recent Assembly election outcomes also appear to have weighed on the SP’s decision. Parties advised by I-PAC, including the Trinamool Congress in West Bengal and the Dravida Munnetra Kazhagam in Tamil Nadu, did not meet expectations, prompting a reassessment within the party.

Following the enforcement action, I-PAC scaled down its operations in West Bengal, with offices either shut or functioning with limited staff. The reduced presence is learnt to have strained its ties with the Trinamool Congress leadership during the campaign.

The impact has extended to Uttar Pradesh as well. Sources said I-PAC has shut its office in the state and asked several staff members hired for the SP project not to report to work, indicating a halt to preparatory activities.

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Within the Samajwadi Party, leaders have questioned the need for external consultants. Party leader Vijay Maurya said the organisation relies on its cadre for feedback. “We are the eyes and ears of Bhaiya, Akhilesh Yadav. He does not need extra information,” he told this reporter.

Another leader, Ikram Ali, flagged potential risks linked to such engagements. “Hiring I-PAC would be like walking on a double-edged sword. The government may launch ED raids as it did in Bengal, which would be detrimental,” he said.

Leaders said Akhilesh Yadav has consistently preferred inputs from party workers over external agencies, underlining the party’s reliance on its organisational network. However, sources indicated that the SP may still explore other professional firms, possibly led by former I-PAC associates, as it prepares for the 2027 Assembly elections.