The Finance Ministry has set up a special investigation unit, SIU to monitor the funding and donations made to political parties. It will monitor election-related expenditure, regulate political funding and enforce compliance to tax laws by political parties and groups including checking exemptions granted to parties.The Finance Minister Pranab Mukherjee recently gave his approval for setting up SIU. The new unit will function under the Central Board of Direct Taxes (CBDT) and will be headed by the Commissioner rank officer of the I-T department.