Vedanta's decision to shift its semiconductor factory with Foxconn to Gujarat last year triggered a political row, following which the firm announced an iPhone plant in Maharashtra. Although Vedanta may just be another corporate caught in the crossfire between ruling and opposition parties, it hasn't exactly maintained a distance from politics.
Stock exchange disclosures have revealed that Vedanta donated Rs 155 crore to political parties via electoral bonds in FY23 alone, taking its total contribution to Rs 457 crore.
Contributions rising despite debt
This comes at a time when Vedanta's $2.5 billion debt bill has been flagged as a risk, and the firm used dividend paid to the parent firm for meeting its obligations.
The record dividends may have helped it cut debt, but reduced cashflows may affect Vedanta's subsidiaries in future.
But amidst these headwinds, Vedanta has donated consistently to political parties in the past five years since electoral bonds were launched.
The instruments were introduced as an alternative for cash donations in 2018, and allow corporates to contribute anonymously towards political campaigns.
Through this route, BJP has received a whopping Rs 5,270 crore, while Congress got Rs 964 crore in five years, followed by Trinamool Congress at Rs 767 crore.
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