Average MLA has 24 more times in assets than constituents in Oct 21 polls

Gap is wider in parts of Haryana and Maharashtra

An average member of Legislative Assembly (MLA) has assets which are at least 24x that of his constituent for the October elections.

The gap may be wider, depending on where the constituent is located, shows an analysis of the data from the Association for Democratic Reforms (ADR), Maharashtra Election Watch, Haryana Election Watch, and the National Sample Survey Office (NSSO). The numbers looked at Maharashtra and Haryana. Both states go to polls this month.  

The average assets per sitting MLA in Maharashtra are Rs 10.62 crore. It was Rs 12.97 crore for those in Haryana for the elections conducted in 2014. The NSSO provides periodic data on the assets of average Indians at the household level.  The Household Assets and Liabilities (January–December 2013) report said that the average urban household in Maharashtra has assets of Rs 43.37 lakh. It is Rs 36.78 lakh in Haryana. This means the average MLA is 24.5x richer than the average urban constituent in Maharashtra. He is 35.3x richer in Haryana. 

The average Haryana rural household is richer than its urban counterpart. It has assets of Rs 46.2 lakh. The MLA is 28.1x richer than rural households. But rural voters are poorer in Maharashtra. The average household has assets of only Rs 11.23 lakh. This means it will take 94.6 such households to match the wealth of an average Maharashtra MLA.

A similar analysis at the time of the Lok Sabha elections showed that politicians at the Centre are richer. The average Member of Parliament in 2014 was worth Rs 14.7 crore. The average Indian household is poorer in terms of assets than even the poor rural Maharashtrian household. He is worth only Rs 10 lakh. The politician at the Centre has 147x the assets of his voters.

Jagdeep S Chhokar, one of the founders of ADR, said the rich have a tendency to be represented more among politicians standing for power.

“If someone chooses to contest an election….he or she already has money,” said Chhokar. This is largely because political parties typically select candidates who can finance themselves or even contribute to the party, he said. Such candidates typically grow richer after elections. Chhokar says that an elected representative’s assets grow faster than that of the average Indian. A representative with ministerial birth shows an even faster asset growth.

Interestingly, he has also noticed that even losing candidates show an increase in assets. The marking of a person as a serious politician has a positive impact on assets, according to his observations on re-contesting candidates.

Such issues can best be resolved through improved transparency on political funding. Internal party democracy would also be required, according to Chhokar.

Who owns how much