What was the reason for this Verdict in the Election 2009?

The Calculators are out. Our politicians are busy adding and subtracting and so are the bookies. These politicians are excellent mathematicians, I should say. They know what to add and where and that is how they have been surviving all these years.
But is this how a democracy should behave like? India has about 2 National Parties, 60 recognized state parties and 730 unrecognized parties as per the list published by the Election Commission in 2005. What is the credibility of such an election? 90% of these parties play the role of party-poopers. You and I vote and find ourselves in a situation where the mainline National parties have to beg for the support of these party-poopers, to form a government. The hard part in this entire "politics of calculators" is that these parties who get a few votes have no ideologies or, principles. I have heard them say that they are secular parties and that they would not support the Bharatiya Janata Party, who is a non-secular party and then after a few days they support the same party just because they have been offered a cool position in the parliament. Absurd, isn't it?
I am of the opinion that the Election Commission should disallow the formation of any party till the time there is a set number of members to the party. This would discourage the formation of any such small parties and would in turn stop the splitting of votes during elections, thus helping one of the National parties form a government at the Center with a majority.
The Election Commission could even bar these small time parties from contesting the elections for the Lok Sabha and can let them contest the Vidhan Sabha elections.
We need the EC to act firmly if we are to stop mid-term polls happening frequently. This time again, it would be a situation where the alliance forming the government at the Center is going to be of a large number of small parties. This would mean that the government is going to be all the more unstable and could crumble at any one of these parties withdrawing support, if they are not offered a portfolio of their choice. We, the citizens of India, would then again be face-to-face with another mid-term polls. The answer to the question, who is going to bear the expenses of the polls again, is quite obvious.