New Delhi: In a landmark decision, the Supreme Court this morning invalidated the electoral bonds scheme, terming it unconstitutional.

The ruling, which comes just months ahead of the Lok Sabha elections, was delivered by a five-judge Constitution Bench, putting an end to a contentious method of political funding that has been under scrutiny since its inception.

The Supreme Court directed the issuing bank, State Bank of India (SBI), to cease issuing electoral bonds with immediate effect. “Electoral bonds scheme is violative of Article 19(1)(a) and unconstitutional. Amendments to the Companies Act are unconstitutional. The issuing bank shall forthwith stop the issue of electoral bonds,” Chief Justice of India D.Y. Chandrachud said .