Non-governmental organisations (NGOs): India
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An overview
Only 2% NGOs registered with govt
PTI | Mar 23, 2014
NEW DELHI: Despite voluntary organizations receiving over Rs 11,500 crore of foreign funds annually, only two per cent of the 20 lakh odd NGOs operating in the country have been registered, raising eyebrows in the home ministry.
According to a home ministry report, although there is no centralized database on the number of NGOs in the country and the quantum of finance involved in their operations, unofficial figures indicate that there are over 20 lakh NGOs registered under Societies' Registration Act, Trust Act etc.
However, the number of NGOs registered under Foreign Contribution Regulation Act would be less than 2 per cent of the total number of NGOs.
"Though, the number of associations reporting receipt and utilization of foreign contribution is increasing; yet, it is a matter of concern that a large number of registered associations still do not submit their statutory annual returns mandated by the law," the latest Home Ministry report on receipt and utilization of foreign contribution by voluntary associations said.
A total of 43,527 NGOs were registered under the Foreign Contribution (Regulation) Act up to March 31, 2012. During the year 2011-12, a total of 22,702 NGOs reported receipt of foreign contribution amounting to Rs 11,546.29 crore.
Altogether 9,509 NGOs have reported 'Nil' receipt of foreign contribution while many have not filed their returns.
Top four recipient states
(There are two related graphics on this page)
Among all states and Union Territories, Delhi received highest amount of foreign contributions in 2011-12.
While Rs 2285.75 crore of foreign contribution has been received by 1482 NGOs in the national capital, 3341 NGOs in Tamil Nadu received Rs 1704.76 crore, 2527 NGOs in Andhra Pradesh received Rs 1258.52 crore and 2056 voluntary organizations in Maharashtra received Rs 1107.39 crore.
State-wise foreign receipts
Delhi NGOs get most foreign donations
Lubna Kably Mumbai
TNN
The Times of India Jul 01 2014
Actual Receipts Could Be Higher Than Reported
Non-government organizations (NGOs) in India received Rs 10,900 crore as foreign donations during financial year 2012-13.
This is a slight decline from the previous year’s figure of Rs 11,548 crore.
Going by past trends, it is safe to assume that only 3040% of NGOs comply with reporting requirements. Thus the actual receipts of foreign donations could be much higher for both these years.
Foreign donations over the past few years, starting from FY 2006-07, have been in the range of Rs 10,000-11,000 crore. This is a steep rise of more than 100% if compared with foreign donation inflows of just Rs 4,872 crore during FY 2001-02.
NGOs registered in Delhi reported the highest receipts of foreign donations at Rs 2,232 crore during FY 2012-13, followed by Tamil Nadu at Rs 1,621 crore and Andhra Pradesh at Rs 1,146 crore.
Karnataka unseated Maharashtra as the fourth ranking territory in terms of foreign donations to its registered NGOs. The receipts by NGOs in Karnataka and Maharashtra were Rs 1,109 crore and Rs 1,038 crore, respectively . The top ten states/UTs, which include Kerala, WB, Gujarat, UP and Orissa, account for 87% of total foreign donation inflows.
The aggregate data for the financial year 2012-13 was collated by TOI based on the information available with the home ministry as of June 18.
A Rajya Sabha reply dated December 18, 2013 had indicated that of 41,844 NGOs registered under the Foreign Contribution Regulation Act (FCRA), 16,756 have not yet filed their annual returns for the year 2011-12. TOI also analysed the key activities of the top recipient NGO in each of the top 10 states/UTs. Tamil Nadu-registered World Vision of India got the maximum quantum of foreign donations of Rs 251 crore (Rs 233 crore during 2011-12). These funds were primarily utilized for AIDS awareness and treatment and its key overseas donors were World Vision USA and Coca Cola.
Among the list of the top recipient NGOs in each state/UT during 2012-13, only a few utilized all or most of their foreign donations for religious activities. These included The Indian Society of Church of Jesus Christ of Latter Day Saints (foreign donations of Rs 193 crore), Believers Church (foreign donations of Rs 67 crore) and Bochasanwasi Akshar Purushottam Swaminarayan Sanstha (foreign donations of Rs 50 crore). MHA 's December 2013 report also shows that key specific activities for which foreign funds have been utilized in the past include rural development, children welfare and education.
The recent report by the Intelligence Bureau, alleging that a few NGOs carried out activities aimed at stalling India's projects has created ripples among foreign donors.
“NGOs across the world compete for getting increased funding each year--be it from parent associations or other foundations. The fear that their welfare activities--such as medical relief--could be construed as having a devious motive is likely to have an ad verse impact in the coming f years. No foreign donor would like to be dragged into a contro versy ,“ said a US-based non profit consultant The central government is l also empowered to ban receipt of foreign donations by an NGO or permit such donations only with prior permis sion, if such receipts are likely to prejudicially impact `public interest', `sovereignty and integrity of the nation', `harmo. ny between religious groups' to name a few instances. Some of these widely defined terms are also causing anxiety among NGOs and their overseas donors.
Top five donor countries
The five major donor countries are the US (Rs 3838.23 crore), the UK (Rs 1219.02 crore), Germany (Rs 1096.01 crore), Italy (Rs 528.88 crore) and the Netherlands (Rs 418.37 crore).
Number of NGOs
Those that file accounts
The Times of India, Sep 19 2015
Dhananjay Mahapatra
NGOs outnumber cops 2:1
But only 10% of the 30 lakh organisations submit accounts: CBI
For a country ranking low in social indices, the data provided to the Supreme Court on Friday by the CBI on non-government organisations was both startling and heartening -there are two NGOs for every policeman. On a petition filed by advocate M L Sharma alleging misuse of funds by an Anna Hazare-led NGO in Maharashtra, the SC had asked the CBI two years ago to count the number of NGOs and how many were filing annual income and expenditure details with the Registrar of Societies.
At the last count on September 1, the CBI found that there were 30,81,873 NGOs operating in India which would indicate a heartening trend of so many organisations working for the uplift of a large population.
But this heartening finding was accompanied by a startling feature -only 10% of the 3 million NGOs submit accounts of their funding and expenditure to the authorities as mandatorily required under the Societies Registration Act. This means no one knows how more than 27 lakh NGOs spent their funds. Of the total 30.81 lakh NGOs registered under the Societies Registration Act, only 2.9 lakh NGOs filed annual returns with the authorities indicating their fund inflow and expenditure details. Jammu & Kashmir with 147 NGOs and Mizoram with 34 NGOs were fully compliant with the law requiring annual filing of funding and expenditure details. The NGOs outnumber the total police force by almost two to one. Total policemen, both civil and armed, in India number 15.85 lakh.
Sharma's PIL had alleged misuse of funds by Hazare's NGO Hind Swaraj Trust (HST). After the state government provided details of misuse of funds, a bench headed by Justice H L Dattu had on September 2, 2013, asked the CBI to find out details of funding of NGOs across India.
Council for Advancement of People's Action and Rural Technology , which functions under the rural development ministry , had given a grant of Rs 1 lakh to HST for watershed development in three villages in 1999-2001, but more than 90% of the money was spent on honorarium, travelling, printing and stationery , the court was told.
Regulating NGOs
SC: ‘figures are mind-boggling; devise a legal framework’
Dhananjay Mahapatra, Explosion of NGOs leaves SC startled. Sep 15 2016 : The Times of India (Delhi)
The Supreme Court was in Sept 2016 startled by the number of NGOs operating in India, 31 lakh and counting, and decided to lay down a legal framework to regulate their funding, spending and working.
The CBI informed a bench of Chief Justice T S Thakur and Justice A M Khanwilkar that only 8-10% of the nearly 31 lakh NGOs had filed their accounts with Registrar of Societies (RoS) detailing receipt and spending of funds.
Appearing for the CBI, advocate P K Dey informed the SC that Telangana and Odisha, despite several reminders, had not furnished data on NGOs operating there. Dey said in Assam, there were around 97,000 NGOs and none of them filed annual returns. The SC asked him: “There are so many NGOs. What do you want the court to do?“
The bench said: “This is a major problem. These are mind-boggling figures.“ The bench appointed senior lawyer Rakesh Dwivedi as amicus curiae and asked him to examine whether the SC could lay down a legal framework to monitor their activities.
NGOs under Lokpal if govt funds cross Rs 1 crore
The Times of India, Jun 22 2016
Office-bearers of NGOs with an annual government funding exceeding Rs 1 crore will be covered under the ambit of the Lokpal. As per a new rule notified under the Lokpal and Lokayuktas Act, 2013, office-bearers of such NGOs will be treated as “public servants“, making them liable to file declaration of annual returns, and will be charged under the anti-corruption law in case of irregularities.
In another notification, the government specified the home ministry as the competent authority to refer to the Lokpal corruption cases involving office-bearers of NGOs receiving foreign contributions in excess of Rs 10 lakh a year. Though the Lokpal Act brought director, manager, secretary or any other officer of society or association of persons or trust, whol ly or partly financed by the government, under the jurisdiction of Lokpal, it left it to the Central government to notify the threshold of the annual income that would make an NGO and its officer-bearers answerable to the watchdog.
The notification issued on Monday said, “In exercise of the powers conferred by clause (g) of sub-section (1) of Section 14 of the Lokpal & Lokayuktas Act, 2013, the Central government hereby notifies the amount of annual income of society or association or persons or trust...wholly or partly funded by the government...for being under the jurisdiction of Lokpal, shall be `one crore rupees'.
The Rs 1-crore threshhold spells relief for smaller NGOs, working with limited funding from the government, as they will be spared the trouble of having to file annual declaration of returns under the Lokpal Act.
The competent authority for government-funded NGOs with an annual income beyond Rs 1crore (only the financial assistance by the Centre would be taken into consideration for determining such annual income) would be the minister-in-charge of Union ministrydepartment providing such assistance. In case the NGO receives assistance from more than one ministry , the ministrydepartment whose contribution is highest in the year shall be the competent authority .
As per a DoPT notification “the original declaration of annual return may be filed before the ministry or department making the highest contribution as financial assistance and a copy of the returns may be sent to all other ministries or departments financing such society or association of persons or trust“.
The institution of Lokpal is yet to be set up by the Centre as a bill to amend the Lokpal Act is pending in Parliament.
2017, SC on auditing the accounts of NGOs
Dhananjay Mahapatra, Jan 11 2017: The Times of India
Only 10% Have Filed Audited Acs; Court Wants Audit Reports By March 31
The Supreme Court ordered the Centre and state governments on Tuesday to scrutinize the accounts of lakhs of NGOs and voluntary organisations, which together received thousands of crores of rupees of public funds, and take civil and criminal action against all organisations misusing the grants.
Taking umbrage at years of inaction on the part of governments in seeking accountability from NGOs on fund utilization, a bench comprising Chief Justice J S Khehar, Justice N V Ramana and Justice D Y Chandrachud said: “The governments are not aware of their responsibility to audit the NGOs as provided under the General Finance Rules, 2005.We direct the respondents to complete the exercise of audit and submit a report to the court by March 31 under all circumstances.“ The bench authorised the governments to take punitive action against NGOs and voluntary organisations which failed to provide proper accounts of public funds received by them.
“In case an NGO is found to be non-compliant after auditing, it is imperative for the authorities to initiate civil and criminal action so as to enable the government to recover the money , apart from punishing those who misappropriated the funds,“ the bench said.
CBI, through additional solicitor general Tushar Mehta, informed the court that it had so far detected 32.97 lakh registered NGOs and voluntary organizations but less than 10% of them (3.07 lakh) filed their audited accounts with the Registrar of Cooperative Societies. CBI was directed to undertake the NGO fund monitoring exercise on a PIL filed by advocate M L Sharma who had accused Anna Hazare's NGO of misappropriating funds allotted by Council for Advancement of People's Action and Rural Technology (Capart). But the court said the problem of NGOs with no accountability seemed to be a much larger issue than the Rs 5 crore grant given to Hazare's NGO.
Amicus curiae Rakesh Dwivedi, with advocate Sansriti Pathak, startled the court by quoting an independent study by Asian Centre for Human Rights (ACHR).Dwivedi said RTI replies collated by ACHR revealed that various departments of the Centre had released Rs 4,756.71 crore as grants to NGOs during 2002-09 and during the same period, states and Union territories had released Rs 1,897.64 crore. This meant that a total of Rs 6,654.35 crore was released to NGOs and voluntary organisations during 200209, or an average of Rs 950.62 crore a year. This figure was worked out despite key states like Madhya Pradesh, Uttar Pradesh, Odisha, Jammu & Kashmir, Arunchal Pradesh, Mizoram and Union territories not providing any information. Dwivedi said it indicated that the actual amount released to NGOs would be higher. Surprisingly , the Centre did not provide any statistics on the amount of money it had given to NGOs from the public exchequer. The bench wanted to put an end to this lack of financial accountability by NGOs. It ordered the Centre to frame and submit for the court's scrutiny a guideline on the procedure for accreditation of NGOs and voluntary organizations, the manner in which they should maintain regular accounts and the mechanism to recover misused or unused funds.
The petition by advocate M L Sharma had been pending in the court for the last five years, a major part of which was taken by the CBI to gather data on registered NGOs and those which had complied with the statutory requirement of furnishing audited accounts. The bench took a decisive action on Tuesday saying: “We cannot allow the matter to remain in a flux. We must take the case forward as it has remained stagnant for years“.
Foreign aid can be deposited in only 32 banks
Foreign-funded NGOs told to open a/cs in 32 select banks, December 26, 2017: The Times of India
Get One-Month Deadline; MHA Move To Ensure Transparency
The home ministry has directed all NGOs and entities receiving foreign funding to open accounts in any of the 32 designated banks integrated with the government’s public financial management system (PFMS) within a month. The ministry, in an order issued on December 21, said this would ensure a higher level of transparency in their foreign contribution receipts.
“The central government has decided that all banks where FCRA registered persons/organisations have opened their FC (foreign contribution) account would be integrated with the PFMS for providing a higher level of transparency and hassle-free reporting compliance,” the order said.
The Foreign Contribution (Regulation) Act, 2010, provides for regulation of acceptance of foreign funds or foreign hospitality by certain individuals, associations, organisations and companies “to ensure that such contributions or hospitality is not being utilised for activities detrimental to the national interest”, the ministry said.
“Therefore, in exercise of the powers conferred under the FCRA, 2010, the central government hereby directs all persons who are either registered or who have sought prior permission under the FCRA, 2010, to open their bank accounts as mandated in one or more banks in the list of the 32 banks,” it added.
This exercise shall be completed within one month (by January 21) with intimation of details of bank accounts to the ministry under a prescribed form, the order said.
Among the 32 designated banks where individuals, NGOs and other entities can open their accounts are Abu Dhabi Commercial Bank, ICICI Bank, Cosmos Co-Operative Bank, Bank of Baroda, State Bank of India, South Indian Bank, IDBI Bank, Central Bank of India, Corporation Bank, HDFC Bank, UCO Bank and IndusInd Bank.
The PFMS, which functions under the Controller General of Accounts in the finance ministry, provides a financial management platform for all plan schemes, a database of all recipient agencies, integration with core banking solution of banks handling plan funds, integration with state treasuries and efficient and effective tracking of fund flow to the lowest level of implementation for plan scheme of the government.
The 32 banks have been integrated with the govt’s public financial management system. Among the 32 banks are Abu Dhabi Commercial Bank, ICICI Bank, Cosmos Co-Operative Bank, Bank of Baroda, State Bank of India, UCO Bank, HDFC Bank and IndusInd Bank
NGOs should route foreign funds into one account: MHA/ 2017
Route foreign funds into one account, NGOs told, June 8, 2017: The Hindu
The Centre has directed 2,025 NGOs to validate their foreign contribution designated accounts with banks and inform the Home Ministry within 15 days. The ministry said all NGOs should receive donations from abroad in a single account.PTI
Rules
Declaration of movable, immovable assets\ 2023
Bharti Jain, Sep 26, 2023: The Times of India
NEW DELHI: NGOs and associations registered under the Foreign Contribution Regulation Act (FCRA) will now be required to annually declare details of movable and immovable assets created by them out of the foreign contributions received.
Amending the Foreign Contribution Regulation Rules, 2011 through a notification issued on September 22, the home ministry has revised Form FC-4 — to be filled up as part of annual returns required to be submitted by NGOs under FCRA — to introduce two new tables. Under the first table, the NGOs must list details of movable assets, their value at the beginning of the relevant financial year, value of assets acquired and disposed of during the financial year and their value as per the balance sheet at the end of the year.
In the second table relating to immovable assets, NGOs must list details of the land and buildings acquired from foreign contributions as on March 31 of the relevant financial year, their size, location and value as per the balance sheet. Currently, Form 4 only contains the field relating to purchase of fresh assets in the relevant year.
The change in rules came ahead of a six-month extension in validity of registration certificates issued to NGOs under FCRA, where such licence was or is due to expire between September 29, 2020 and March 31, 2024 but the application for its renewal has already been or will be submitted to the ministry before expiry of the validity.
“The validity of registration certificates of such entities whose validity was extended till 30.09.2023... and whose renewal application is pending, will stand extended till 31.03.2024 or till the date of disposal of renewal application, whichever is earlier,” states the public notice issued by FCRA division of the ministry.
It adds that for NGOs whose FCRA registration is expiring between September 30, 2023 and March 31, 2024, and which have applied or will apply for renewal before expiry of validity of the five-year licence, the licence “will stand extended up to 31.03.2024, or till the date of disposal of renewal application, whichever is earlier”.
The notice, however, clarified that the FCRA licence of NGOs whose renewal plea has already been turned down, will be deemed to have expired on the date of such refusal, rendering them ineligible to either receive or utilise any foreign contribution.
As per the home ministry’s FCRA website, 16,666 NGOs and associations with FCRA licence were active as on September 25, while the FCRA licence of 13,282 entities was deemed expired. The FCRA registration of another 20,694 NGOs to receive foreign funds, had been cancelled, it said.
NGOs in anti-India activities
Govt to Lok Sabha, 2012
UPA too talked of NGOs' role in anti-India activities in '12
The Times of India Jun 15 2014 Deeptiman Tiwary New Delhi:
TNN
Docu Said Bodies In Delhi, TN Got `10k Cr In 3 Yrs
The UPA-commissioned Intelligence Bureau report on NGOs, that surfaced days after the new government took over, has kicked up a ruckus but the assertion that some of these organizations were engaged in “anti-national activities” was made way back in 2012 by the government in Parliament.
In reply to a question in Lok Sabha, the Congres-led UPA had then said, “There were reports that certain NGOs were engaged in antinational and political activities.” The statement had come amid raging protests against the Kundankulam nuclear power project in Tamil Nadu. The government had even presented a document showing that NGOs in
Tamil Nadu and Delhi had received foreign contributions to the tune of over Rs 10,000 crore between 2008 and 2011.
It said Tamil Nadu-based NGOs received 10,119 contributions in that period, adding up to Rs 4,800 crore. Delhi based NGOs, the government said, received 4,297 contributions amounting to Rs 5,800 crore. The contributions came from around 160 countries, the government had informed the House.
A recently leaked IB report, submitted to the Narendra Modi government on June 3, has also called into question the role of NGOs involved in the Kudankulam
protests and gives details of foreign contributions received by them.
The report says that eight out of 11 NGOs involved in the protests were primarily funded by Europe-based donors who allegedly pumped in Rs 80 crore between 200506 and 2010-11.
Of this, Rs 43 crore flowed into Tuticorin Multipurpose Social Service and Rs 20 crore to Tuticorin Diocesan Association.
In the 2012 document, the government said one of the NGOs involved in Kundankulam protests was facing a CBI inquiry for contributions received by it and that 30% of the 3000-odd foreign contributions in the period had been cornered by Tamil Nadu.
The outfit under CBI inquiry — Coimbatore-based Tamil Nadu Muslim Muneetra Kazagham (TNMMK) — had supported the anti-Kudankulam protests and some of its members were arrested during an agitation in September 2012. Other NGOs under investigation by the Tamil Nadu Police include AID India (Chennai), Saccer (Nagercoil) and Centre for Promotion of Social Concern.
Following vociferous protests by NGOs, the government had alleged the Kudankulam stir was being funded from abroad by vested interests and put 77 NGOs under the scanner for funding. The document also named some other states where NGOs had received a large number of contributions.
These included Andhra Pradesh, West Bengal, Kerala and Maharashtra with 4,500-6,000 contributions during the period.
Working with the Government
80% of national NGOs work with govt
Rupali Mukherjee, 80% of desi NGOs work with govt: Study, Feb 27, 2017: The Times of India
India's social sector programmes are usually believed to be poorly planned and shoddily implemented.But a new study that analysed Indian non-profits says that India -faced with a plethora of challenges -is actually offering lessons across the world, and particularly to the US.
The other surprising finding is that instead of disrupting the government, about 80% of these fast-growing organisations that were studied seek to collaborate with it to reach out to the socially and economically challenged population.
The study done by philanthropy advisory Bridgespan Group, published in Stanford Social Innovation Review, says there may not be a better lab than India for studying the challenges non-profits face in trying to scale up, while stretched for resources. “Close to 80% of Indian organisations we studied apply the collaborative mindset with government institutions -the most prevalent,“ said Soumitra Pandey , co-author of the study and partner, Bridgespan. “They seek either to fill gaps in existing programmes, like Akshaya Patra's assistance with providing midday meals to school children, or to spur innovation by example (Agastya's hands-on learning program mes in science, technology , engineering and math delivered to government schools by van or motorcycle).“
Bridgespan studied 20 Indian non-profit organisations, including Aravind Eye Care, EducateGirls, Karuna Trust, Mamta Health Institute, Pratham, SEWA, Gram Vikas and Goonj, that have deftly managed the tension between scale and scarcity. It identified five recurring mindsets that India's non profit leaders use to maximise outreach and assist millions of people in need.
The first was the denominator mindset: When thinking about a non-profit's impact as a fraction, the denominator represents the total size of the need, and numerator the quantity of need that the non-profit is currently meeting. Many of India's nonprofits use denominator thinking to stay focused on addressing the total size of the need, rather than on perfecting a solution that serves relatively few.
The second was the dignity mindset: Elevating the humanity of each participant is critical when confronted with addressing the needs of millions. Many of India's non-profits focus on preserving an individual's dignity in an effort to avoid reducing and compartmentalising the human experience into numbers on a spreadsheet.
The third was the radical frugality mindset: When scarcity abounds, most Indian non-profits not only focus on reducing costs, but find ways of using frugality to scale up. They optimise operational expenses and rein in capital expenditures, while at the same time ensuring that no cuts are made in areas that might starve innovation.
The fourth was the innovative hiring mindset: One of the biggest impediments to a non-profit's growth in India is the scarcity of people who have the right skills to fill certain types of jobs. Some non-profits have responded by searching for people in overlooked but promising corners of the talent pool.
The fifth and final was the collaborative mindset: While would-be innovators in Western countries tend to focus more on “disrupting the system“ or “thinking outside the box“, many of India's larger non-profits have sought to innovate within the system, and make government a vital ally.
Foreign funding
Rose between 2012 and 2014
Foreign funding to NGOs rising since '12, Nov 23 2016 : The Times of India
The government told the Lok Sabha that foreign contributions received by NGOs had been rising steadily since 2012-13, totalling Rs 1,452 crore in 2014-15.
This, incidentally , was the year when the Modi government carried out a comprehensive review of foreign-funded NGOs, leading to the cancellation of Foreign Contributions Regulation Act (FCRA) licen ces of 10,020 NGOs.
In comparison, Rs 1,152 crore of foreign funds were received by NGOs in 2012-13 and Rs 1,309 crore in 2013-14
2013-14: Foreign funding increases by 13%
The Times of India, Dec 03 2015
Foreign funding to NGOs jumps 13% in 2013-14
Total foreign donations to Indian NGOs jumped by over 13% in 2013-14 as compared to 2012-13, the government informed the Rajya Sabha.
Minister of state for home Kiren Rijiju, while replying to a question, said foreign contributions totaling Rs 13,051 crore were donated to 17,616 NGOs, as against Rs 11,527 crore donations made to 20,497 NGOs in 2012-13 and Rs 11,558 crore to 22,747 NGOs in 2011-12. Rijiju said NGOs are required to seek registration or prior permission under Foreign Contribution Regulation Act 2010 to receive foreign contribution.
Some well-funded NGOs
Government cracks down on NGOs which scoop Rs 10,000 crore a year in foreign donations... but don't bother to file returns
By ABHISHEK BHALLA
31 July 2013 |
Missionaries of Charity in West Bengal recieved funding of Rs 62.29 crore
The foreign hand is rocking quite a few cradles in India.
It's been believed for long that that Non-Governmental Organisations (NGOs) get a major part of their funding from overseas.
Now it's all come together in a government file, tabulated and troubling. What's really set alarm bells ringing is that an average Rs 10,000 crore pours into the country every year in form of donations to NGOs from organisations across the world.
Getting foreign funding is no crime; flouting guidelines under the Foreign Contribution Regulation Act 2010 that governs such transfers is.
The government is warier of NGOs in the wake of persistent allegations about their role in recent agitations like the one against the Kudankulam nuclear plant, or those sparked by Delhi's December 16 gang-rape, or even those led by Anna Hazare.
Sample this: In the last two years, Chennai- based NGO World Vision of India has received Rs 442.68 crore, making it the highest paid organisation consecutively in 2009-10 and 2010-11.
Despite being the highest paid, the NGO has not filed its returns under FCRA.
It is a Christian charity organisation focused on children's well being and humanitarian efforts following disasters.
Another NGO, the Oxfam Trust, Delhi, got Rs 71 crore - and did not file returns. Bal Raksha Bharat, also Delhi-based, got Rs 67.57 crore but filed no returns.
NGOs and institutes in the Capital account for the larger part of foreign contributions; many FCRA defaulters are also from here.
There are close to 700 defaulting NGOs for the financial year 2011-12 in Delhi. Andhra Pradesh has the highest number of such defaulters at 2,453.
All are under the home ministry scanner now.
In the last three years, the home ministry has cancelled the FCRA registration of more than 4,000 institutes; over 17,000 regular defaulters are under scrutiny.
The US continues to be the highest donor country, followed by the UK and Germany. While huge amounts are pouring in from developed countries, countries like North Korea, Syria, Cuba, Tonga, Kyrgyzstan, Burkino Faso, Djibouti are also among the donor countries.
Over the last three years more than Rs 30,000 crore has been received by organisations across the country.
Institutes in Delhi have amassed the highest amount touching Rs 6,000 crore. The number of organisations and entities receiving funds from abroad has been going up steadily.
According to the latest home ministry report on FCRA in 2010-11 the number of institutes that received foreign funding was 22,735-a jump from the previous years.
In 2009-10 this number was 21,508 and in 2008-09 it was 20,088. In the last decade the number of associations registered under FCRA has doubled.
The number was 21,244 in 1999-2000 and it is 40,575 in 2010-11. Intelligence agencies are maintaining a strong vigil on the donations being made from associations abroad.
"There are several organisations that are under scanner and action would be taken if any wrongdoing is found," said a home ministry official.
Sources said it is feared that the foreign aid can be misused and diverted for purposes other than mentioned.
Fearing this misuse and money laundering the FCRA Act of 2010 has made the procedure for foreign funding stringent. Action against the dubious organisations is being taken.
While 72 organisations have been prohibited from getting funds from abroad, accounts of 32 NGOs have been frozen, and 24 cases referred to the CBI.
In some cases, state police forces are probing illegalities committed by these organisations. In many cases the government has put the organisations on notice for not filing their returns.
Sources said the defaulters are required to a pay a penalty, and if they don't, cancellation of FCRA registration is the likely outcome. It's not just NGOs that have been added to the list of defaulters by MHA for not filing their returns.
The list shows that top educational institutes in the national capital have also flouted the guidelines by not filing their returns in the previous two years.
The University of Delhi, Jawaharlal Nehru University, Jamia Millia Islamia, Indian Institute of Technology, Lady Irwin College, Indian Council for Medical Research, School of Planning and Architecture, Indira Gandhi Open National Open University, International Management Institute and Gargi College are among the 693 organisations in Delhi that have not filed their returns under FCRA.
The home ministry report indicates that most of the funds are meant for establishment expenses, rural development, welfare of children, construction and maintenance of schools and colleges, grant of stipend and scholarships, AIDS awareness, research, awareness campaigns, welfare and maintenance of religious functionaries and schools, welfare of women and construction of hostel for poor students.
Christian NGOs top foreign funding list
Bharti Jain, Christian NGOs top foreign funding list, March 20, 2017: The Times of India
Kerala Trust, `Rebranded Version Of US-Based Charity', Got Highest At Rs 826Cr Last FY
Kerala-based Ayana Charitable Trust, the new name under which US charity Gospel for Asia is reportedly funding projects in India, has emerged on top of the list of Indian NGOs with the highest foreign funding in 2015-16.
It is one of three Christian evangelical NGOs the other two being Believers Church India and World Vision India that figure among the top four foreign contribution grossers in the country last fiscal.
Ayana Charitable Trust, is supposedly a rebranded version of Gospel for Asia, the Texas-based NGO which ran into trouble in Canada due to allegations of financial bungling. A look at Ayana's FCRA returns, which declare its total foreign funding in 2015-16 at a whopping Rs 826 crore, lists Gospel for Asia, Hong Kong, as the source of most of its foreign funds.
Param Shakthi Peeth, an NGO run by Sadhvi Rithambara was the second highest recipient of foreign funding in 2015-16. The NGO has a sprawling ashram in Vrindavan and operates women's shelters, orphanages, hospitals and cowsheds. With foreign funding of Rs 417 crore in 2015-16, as per its FCRA returns uploaded on the home ministry website, Param Shakthi Peeth has fi gured for the first time in the past three years among the country's top ten NGOs in terms of foreign receipts.
Another Kerala-based evangelical charity , Believers Church India, which has been among the country's top 10 foreign-funded NGOs for the past several years and received Rs 113 crore and Rs 125 crore in 2013-14 and 2014-15 respectively , has shown Rs 342 crore foreign funding in its returns for the last fiscal. Interestingly, it also recorded Rs 500 crore as “foreign funding from local sources“, claiming a total foreign funding of Rs 842 crore.
Home ministry officials said it was not clear if the Rs 500 crore was received from FCRA-registered local NGOs.Interestingly , Gospel for Asia also figures as a prominent donor of foreign funds to Believers Church, which is headquartered in Kerala's Pat hanamthitta district.
Chennai-based World Vision India, the top foreign fund receiving NGO in 2013-14 and 2014-15, was pushed to the fourth place last fiscal with contributions falling to Rs 319 crore from Rs 357 crore in 201415 and Rs 341crore in 2013-14.
Other top foreign funds recipients among Indian NGOs in the last fiscal included Care India Solutions for Sustainable Development, Rural Development Trust, Kiran Nadar Museum of Art, Public Health Foundation of India 0(Bill and Melinda Gates Foundation was one of its top donors), The Hans Foundation and Bak Raksha Trust.
A prominent NGO missing in the list of top ten foreign-funded Indian NGOs is Compassion East India, which had declared foreign donations at Rs 118 crore (2014-15) and Rs 111crore (2013-14).
2014> 2015: dip in foreign funds
July 26, 2018: The Times of India
Foreign funds received by Indian NGOs and associations declined to Rs 15,329 crore in 2016-17 from Rs 17,799 crore in 2015-16. In 2014-15, the inflow of foreign funds stood at Rs 15,305 crore.
The dip in foreign contributions may be explained to some extent by the fall in total number of NGOs and association with valid FCRA licences from more than 40,000 in 2014-15 to 24,000 at present. Junior home minister Kiren Rijiju informed Rajya Sabha on Wednesday that registration of over 13,000 NGOs was cancelled in the last three years for violations of various provisions of FCRA.
In reply to a related question, Rijiju told the Rajya Sabha that the FCRA licence of nearly 18,864 associations and institutions had been cancelled since 2011. He said that though one-time opportunity was given to the associations to upload the pending annual returns, containing details of their income and expenditure, receipt of foreign funds and balance sheets, without penalty in May 2017, followed by extension of the amnesty window to June 14, 2017, nearly 2,547 NGOs were yet to submit their pending returns.
2016-17: Foreign funding drops by around 60%
Foreign funding of NGOs dips sharply, December 21, 2017: The Times of India
The foreign funding of non-government organisations (NGOs) has come down drastically from Rs 17,773 crore in 2015-16 to Rs 6,499 crore in 2016-17, the government told Parliament on Wednesday.
Union minister of state for home Kiren Rijiju also informed the Rajya Sabha that registration of 18,868 NGOs under the Foreign Contribution (Regulation) Act were cancelled by the home ministry during 2011-17 for violating laws. Rijiju said the quantum of foreign funding received by NGOs in India in the last three years are: Rs 15,299 crore in 2014-15, Rs 17,773 crore in 2015-16 and Rs 6,499 crore in 2016-17.
Currently, 10,000 FCRA-registered NGOs are in operation but the Centre has taken strict action against the NGOs which are flouting rules.
The government feels that NGOs had been operating freely without any oversight for years and funds were misused so the ministry of home affairs decided to streamline the whole process and take action against the defaulters, said sources.
Licences of some big NGOs have been cancelled by MHA in last few years.
Recently, licence of 4,842 NGOs and organisations, including Indira Gandhi National Open University (Ignou) and Delhi's Guru Tegh Bahadur Khalsa College were cancelled for failing to file annual returns from 2010-11 to 2014-15 despite several reminders.
It is mandatory for an NGO or an organisation that has been granted licence under FCRA to file returns of its foreign contribution receipts and expenditure records on an annual basis.
2016-20
March 26, 2021: The Times of India
Foreign donations received over the past four years by NGOs and associations registered under the Foreign Contribution (Regulation) Act, totalled over Rs 50,975 crore, with the US topping the list of countries from where the funding emanated.
Replying to a query in the Rajya Sabha, minister of state for home Nityanand Rai informed that foreign contributions to NGOs based in India rose from Rs 15,355 crore in 2016-17 to Rs 16,940 crore in 2017-18, before falling slightly to Rs 16,490 crore in 2018-19. In 2019-20, the donations declared by NGOs in their annual returns total Rs 2,190 crore, though this figure is not final since many NGOs are yet to file their annual returns in view of the deadline having been extended till June 30, 2021.
Incidentally, the number of NGOs that received foreign funds has fallen steadily from 18,304 in 2016-17 to 18,235 in 2017-18 and 17,540 in 2018-19.
The minister said the highest foreign contributions were received from the United States — Rs 5,869 crore in 2016-17, Rs 6,199 crore in 2017-18, Rs 6,907 crore in 2018-19 and Rs 966 crore in 2019-20.
In terms of states/UTs in India where the foreign funding was headed, Delhi was No. 1 in 2016-17, 2017-18, 2018-19 and 2019-20. Tamil Nadu was second during the four-year period, barring in 2019-20 when Kerala took the No. 2 slot in terms of extent of foreign donations received.
In terms of states/UTs in India where the foreign funding was headed, Delhi was No. 1 in 2016-17, 2017-18, 2018-19 and 2019-20. Tamil Nadu was second during the four-year period, barring in 2019-20 when Kerala took the No. 2 slot.
2021
10 foreign donors on ‘prior clearance’ list
Sep 15, 2021: The Times of India
As many as 10 foreign donor agencies working in fields like climate change and anti-slavery advocacy were recently added to the list of foreign organisations who require prior clearance of the home ministry to make contributions to Indian NGOs.
The agencies are European Climate Foundation, Freedom Fund, Minderoo, Humanity United, Stardust, Walk Free Foundation, Omidyar Network India, Laudes Foundation, Children’s Investment Fund Foundation and Legatum Fund. An RBI communication to banks dated July 1 had instructed that funds coming from these donors to FCRA-registered associations in India should be first reported to the MHA.
While the reason for the putting the 10 donors on ‘prior clearance’ list is not clear, some NGOs like Walk Free Foundation have in the past put out slavery reports showing India in poor light. TNN
Foreign funds
No foreign funds for NGOs if purpose not declared: SC
AmitAnand Choudhary, Nov 10, 2021: The Times of India
The Supreme Court said NGOs should not be allowed to receive foreign funds if the donor did not declare the purpose for which the money is to be spent and said the Centre has diluted the intent of Foreign Contribution Regulation Act (FCRA) by not insisting on such a provision.
A bench of Justices A M Khanwilkar, Dinesh Maheshwari and C T Ravikumar said as per Section 8 of the Act, disclosure has to be made at the outset regarding the purpose for which a contribution has been made and asked the Centre to make its stand clear on the issue.
Section 8 says every person who is registered and granted a certificate or given prior permission under the Act and receives any foreign contribution, shall utilise such contribution for the purposes for which the contribution has been received.
Referring to the section, the bench said the purpose of the contribution has to be disclosed and only then would inflow of funds be allowed. Solicitor general Tushar Mehta contended that an NGO can use the fund for activities for which they are registered which could be social, cultural, religious purposes.
But the bench said that even in cases where an NGO is registered to carry out various activities, the organisation is bound to spend foreign contributions only for the purpose for which money was transferred. It said that in such cases an NGO has to maintain separate accounts for carrying out different activities.
“You are diluting the whole proceedings and intent of the Act. Disclosure has to be made by the donor at the outset regarding for what purpose the contribution is being made.Purpose of the contribution has to be disclosed only then inflow should be allowed. It is another matter that you are not following it. We need a clear stand of the government on the issue,” the bench told the solicitor general.
While justifying Centre’s decision to amend the Act to regulate foreign contribution to NGOs, Mehta contended this was to stop NGOs from making chaintransfers of foreign funds a business. He said that there are Intelligence Bureau inputs on NGOs misusing the funds and and they cannot claim to have a fundamental right to receive funds from abroad. However, while the Centre too sought higher accountability of funds, the court called for the donor to also state purpose.
Non-aligned NGOs entitled to them: SC
NEW DELHI: In a big relief to NGOs and civil society groups which are not associated with any political party but indulge political action like agitation, bandh or hartal in support of public causes, the Supreme Court ruled that the Centre cannot prevent them from getting foreign aid and funds by declaring them as organisation of political nature.
A bench of Justices L Nageswara Rao and Deepak Gupta held that organisations of farmers, workers, students etc, which are not directly aligned to any political party but which works towards advancement of political interests of such groups, are entitled to receive foreign under Foreign Contribution (Regulation) Act. After examining various provisions of the law and the rule framed under it, the apex court said that such voluntary organisations working for social welfare of people can not be penalised under the Act for getting foreign funds.
“Any organisation which habitually engages itself in or employs common methods of political action like 'bandh' or 'hartal', 'rasta roko', 'rail roko' or 'jail bharo' in support of public causes can also be declared as an organisation of political nature, according to the guideline prescribed in Rule 3 (vi). Support to public causes by resorting to legitimate means of dissent like bandh, hartal etc. cannot deprive an organisation of its legitimate right of receiving foreign contribution,”Justice Rao, who wrote the judgement for the bench, said.
The court, however, did not declare the provision unconstitutional but clarifies that that it will be applicable to only those organisations involved in active politics.
“It is clear from the provision itself that bandh, hartal, rasta roko etc., are treated as common methods of political action. Any organisation which supports the cause of a group of citizens agitating for their rights without a political goal or objective cannot be penalized by being declared as an organisation of a political nature. To save this provision from being declared as unconstitutional, we hold that it is only those organisations which have connection with active politics or take part in party politics, that are covered by the Rule,” the court said.
The bench passed the order on a plea filed by a voluntary organisation Indian Social Action Forum (INSAF) challenging the validity of various provisions of the Act and Rule. Senior advocate Sanjay Parikh contended that the Act confers “unguided and uncanalised power” on the Centre to specify an organisation as an organisation of a political nature not being a political party to prevent it from getting foreign fund. It said that the words ‘political interests’ used in the Rule are vague and are susceptible to misuse.
“A balance has to be drawn between the object that is sought to be achieved by the legislation and the rights of the voluntary organisations to have access to foreign funds. The purpose for which the statute prevents organisations of a political nature from receiving foreign funds is to ensure that the administration is not influenced by foreign funds. Prohibition from receiving foreign aid, either directly or indirectly, by those who are involved in active politics is to ensure that the values of a sovereign democratic republic are protected,”it said.
“On the other hand, such of those voluntary organisations which have absolutely no connection with either party politics or active politics cannot be denied access to foreign contributions. Therefore, such of those organisations which are working for the social and economic welfare of the society cannot be brought within the purview of the Act or the Rules by enlarging the scope of the term ‘political interests’. We are of the opinion that the expression ‘political interests’ in Rule 3 (v) has to be construed to be in connection with active politics or party politics,”it said.
The Centre is empowered under the Act to specify any organisation as organisation of political nature on the ground that organisation of farmers, workers, students, youth based on caste, community, religion, language or otherwise, which is not directly aligned to any political party, but whose objectives are towards advancement of political interests of such groups and if organisation employs common methods of political action like 'bandh' or 'hartal', 'rasta roko', 'rail roko' or 'jail bharo' in support of public causes.
Foreign-funded NGOs (with FCRA licences) with malign agendas
Foreign-funded NGOs stalling devpt: IB repor
The Times of India Jun 12 2014
To Muzzle Dissent, Say Activists An Intelligence Bureau report has accused “foreign-funded” NGOs such as Greenpeace, Cordaid, Amnesty and ActionAid of “serving as tools for foreign policy interests of western governments” by sponsoring agitations against nuclear and coal-fired power plants across the country.
The NGOs, said to be working through a network of local organizations such as PUCL and Narmada Bachao Andolan, have negatively impacted GDP growth by 2-3%, claims the IB report sent to the PMO and other government agencies.
Environmental activists joined Greenpeace in rubbishing the IB report. Greenpeace said it was a conscious attempt by the country’s premier intelligence agency to crush and stifle opposing voices in civil society. The organization also wrote to the home minister, requesting him to share a copy of the report “to know and understand impacts of this labeling”.
As far as the source of funding is concerned, the NGO said, “Greenpeace India is funded by individual supporters in India. Greenpeace does not accept any donation from corporate or government entities.” Environmentalist Ramesh Agrawal, who recently won the Goldman Environmental Prize for resisting destruction of forests by private mining companies in Chhatisgarh, said the report was an attempt to muzzle dissent. “Environmentalists working on the ground have always been branded as anti-development.
At a time when global warming is threatening us and air pollution is the most serious public health problem, why is the government suppressing voices of dissent?“ he asked.
Holland's CORDAID and oil drilling in Manipur
IB: Dutch-funded NGO bid to stall oil drilling in NE
Bharti Jain New Delhi:
TNN
The Times of India Jun 14 2014
The Dutch government-funded CORDAID and its associate outfits had organized an elaborate training session for northeastern NGO activists in Shillong last year, teaching them how to use GPS tracking to map oil wells, mines, dams, forests and habitation for an updated GIS platform on extractives in the region.
The database would be used to facilitate targeted local protests and international activism against extractive industries like oil drilling in Manipur, according to an Intelligence Bureau report on the impact of foreign-funded NGOs' activism on India's GDP growth.
The trainers at the session, two Dutch and an American, constantly told the participants that oil reserves in the northeast were as large as those in the entire Gulf region and that the resources must be preserved by the local tribals for their own use. They alleged that the government of India was, in collaboration with MNCs, “stealing the resources of the region and refusing to remove the Armed Forces Special Powers Act (from Manipur) as it needed the Indian Army to extract those resources“.
The trainers insisted that until the rights of communities over their land and resources were recognized, Jubilant Energy , engaged in oil drilling in Manipur, and the government should stop all petroleum and drilling activity in Manipur.
According to the IB report, CORDAID has added `extractive industries in the northeast' as one of the focal points for its interventions in India.
2006-15: Foreign-funded NGOs' registrations cancelled
Home ministry cancels registration of 9,000 foreign-funded NGOs
Aloke Tikku, Hindustan Times, New Delhi| Apr 28, 2015
The order to cancel the registration of such organisations came days before the Centre’s effort to tighten the grip on prominent NGOs that receive foreign funds like Greenpeace India and the Ford Foundation. (Shankar Mourya/HT Photo)
2006-2009: 4,138 registrations cancelled
In the Manmohan Singh government the home ministry issued notices to over 21,000 NGOs that hadn’t filed their returns from 2006-2009. But it eventually cancelled the registration only in 4,138 cases where letters from the Centre were returned undelivered by postal authorities.
2015: 8,975 registrations cancelled
[For the period 2009-12] In an order, the home ministry said the registration of foreign-funded 8,975 NGOs that had neither filed their annual returns for three years (beginning 2009) nor given any explanation for the delay, stood cancelled with immediate effect. The ministry also directed the district magistrate concerned to “manage the assets” of these NGOs in any manner “considered necessary and in public interest”.
As part of this exercise, the ministry had issued notices through September and October 2014 to 10,343 organisations across the country that had not filed their annual returns for 2009-10, 2010-11 and 2011-12.
Only 229 organisations had responded to home ministry’s showcause notice. These responses “are being examined on a case to case basis”, the order by the home ministry’s deputy secretary said.
What the rules require
The Foreign Contribution Regulation Act (FCRA) requires every registered NGO to submit its returns annually, irrespective of whether it received foreign funding in that year.
As per rules, the ministry can levy a penalty of up to 5% of the foreign funds received, or Rs 50,000 — whichever is higher.
2014-18: Registration of 14,800 NGOs cancelled for FCRA violations
July 17, 2019: The Times of India
Over Rs 50,000 crore was received as foreign contributions by various NGOs and associations in India over a period of three years from 2015-16 to 2017-18, the home ministry said on Tuesday. Foreign contributions rose in 2017-18 to Rs 16,894 crore from Rs 15,343 crore in 2016-17, even though the government said it had cancelled the registration of over 14,800 associations under the Foreign Contributions (Regulation) Act in the last five years.
Junior home minister Nityanand Rai, in reply to a written question in Lok Sabha, said foreign donations received by FCRA-registered bodies fell from Rs 17,803 crore in 2015-16 to Rs 15,343 crore in 2016-17 but picked up in 2017-18. “Registration of more than 14,800 associations has been cancelled during the last five years because they committed violations of the provisions of FCRA, 2010,” the minister added.
25 NGOs lose FCRA licences, in national interest/ 2016
The Union home ministry has refused to renew the registration of 25 NGOs under the Foreign Contribution Regulation Act (FCRA), 2010, for their alleged indulgence in “activities not conducive to national interest“.
This action comes after the cancellation of the FCRA licences of 11,319 NGOs for failing to apply for renewal within the deadline.
The FCRA licence renewal of another 1,736 NGOs was withheld “for non-submission of documents or deficient documents or other statutory shortcoming within the stipulated time“.
As a result, the total number of NGOs that can receive foreign funding has now shrunk to around 20,000, down from 33,138, in the country . A final call on approving the renewal of the FCRA registration of the 1,736 NGOs will be taken after they explain deficiencies in their applications by November 8.
While home ministry officials were tight-lipped on the identity of the 25 NGOs struck off the foreign funding list, the names of over 11,000 NGOs whose FCRA registrations are deemed cancelled -for not applying for renewal -includes several big names like Oxfam India Trust, Adani Foundation, Indira Gandhi National Centre for Arts (IGNCA), Sanjay Gandhi Memorial Trust, Office of the Chief Executive Officer of Shri Amarnathji Shrine Board, Indian Medical Association, Indira Gandhi National Open University (IGNOU), Mumbaibased Jaslok Hospital & Research Centre and The Loyola College Society, Chennai.
According to a senior ministry officer, of the total 33,138 NGOs registered under the FCRA, renewal of 27,810 was due this year. The government, while extending validity of their licence till October 31, 2016 had in March directed them to submit ap plications for renewal by June 30, 2016. Of the 27,810 NGOs, only 16,491 sought renewal, while 11,319 did not submit any application. The government, in an order issued on November 2, said the licence of these 11,319 NGOs was “deemed cancelled“ from November 1, 2016.
As for 16,491 NGOs who applied for renewal of their FCRA registration within the deadline, the government found applications of 14,730 in order and approved renewal. Of the remaining 1,761 NGOs, the documentation and papers submitted by 1,736 -of which Mata Amritha nandmayi Math and Rama Krishna Sevashram -was found as inadequate.
The application of the remaining 25 NGOs was rejected despite complete documentation as the government found them to be allegedly working against “national interest“. “NGOs that are not serving larger national interest or indulging in subversive activities should not be allowed foreign funding,“ said a senior home ministry officer.
The officer said the 11,319 NGOs which did not bother to apply for renewal “were history as far as FCRA was concerned,“ he stated.
2016: 1,300 NGOs denied FCRA licence renewal
Renewal of FCRA licence denied to 1,300 NGOs in 2016, Mar 23, 2017: The Times of India
More than 1,300 NGOs were refused renewal of licence to receive foreign funding last year over violations of the Foreign Contributions Regulation Act 2010 and the rules made there under. Minister of state for home Kiren Rijiju, in a written reply to a question in the Rajya Sabha, said that licences of over 14,000 NGOs had been cancelled till date for violation of FCRA, 2010, as well as for violation of rules notified under the Act.
NGOs were told to apply for renewal of their FCRA licence by October 31, 2016. However, when around 11,319 NGOs did not file the renewal application within the deadline, their registrations were deemed expired with effect from November 1, 2016.
In addition, over 1,300 NGOs were found unfit for renewal of licence on grounds of having violated FCRA 2010 and the rules framed under the Act. “As per available information, more than 25,000 NGOs are active and using FCRA online services,“ Rijiju informed the Elders.
24 NGOs denied FCRA licences
Bharti Jain, Jaising NGO, 24 others denied FCRA licences, Nov 12 2016 : The Times of India
`Activities Not Conducive To National Interest'
An NGO run by lawyer Indira Jaising who had sought a reprieve for 1993 Mumbai blast convict Yakub Memon, one suspected of “funding proselytisation“ and yet another that opposed the Koodankulam nuclear project are among 25 NGOs whose FCRA licence was not renewed for “anti-national“ activities.
Jaising's Lawyers Collective and Compassion East India, an affiliate of US-based NGO Compassion International, are among the NGOs that cannot receive foreign funds for alleged activities “not conductive to national interest“. According to official sources, Lawyers Collective, Compassion East India, People's Watch, Sanchal Foundation Hazards Centre, Indian Social Action Forum (INSAF) and Institute of Public Health (Bengaluru) are among the 25 NGOs that had applied for renewal of their five-year license under the Foreign Contributions Regulation Act, 2010.
The applications filed ahead of expiry of licence on October 31, 2016 were declined by the home ministry last month after intelligence agencies flagged their “anti-national activities and violations of FCRA provisions,“ said an official. Confirming that Lawyers Collective had been derecognized under FCRA, its managing trustee Indira Jaising told TOI on Friday: “Yes, they have (refused to renew our FCRA licence)....We are looking at all legal options.“ Jaising and her husband Anand Grover had moved a last-minute petition in SC last year to challenge the rejection of Yakub Memon's clemency plea.Jaising has since sought to link the government's crackdown on her NGO, which led to suspension of its FCRA license in June this year, to the petition moved by her on Yakub's behalf. Another NGO debarred from receiving foreign funds is Compassion East India, a Kolkata-based affiliate of US charity Compassion International that Indian intelligence agencies suspect of “funding proselytisation and evangelism in the name of child welfare“. Compassion International was put on `prior permission' list under FCRA earlier this year, requiring all its donations to Indian NGOS to be cleared by the home ministry .
People's Watch, the NGO founded by Henri Tiphagne who has been associated with the Koodankulam protests in Tamil Nadu, was refused renewal of registration for “inciting and sponsoring agitations against development projects in India at the cost of its economic well-being“, claimed the official.
INSAF's FCRA license was not renewed after intelligence agencies pointed to its role in anti-GM food agitations, TOI has learnt. INSAF has already challenged the home ministry's decision in court, submitting that no reason was assigned while communicating the non-renewal.
Another Delhi-based Santhal Foundation unit was taken off FCRA list based on inputs that pointed to its alleged “interactions with Left-wing extremist elements“, said an intelligence source. Bengaluru-based Institute of Public Health, was denied FCRA registration for using its NGO “front“ to allegedly “lobby for Western corporates and businesses,“ the source added.
Foreign Contribution Regulation Act (FCRA)
2020/ Rules for FCRA clearance/ registration
Bharti Jain, November 29, 2020: The Times of India
The home ministry, in a bid to ease the transition of NGOs and associations to the new FCRA regime following recent amendments to the Foreign Contribution Regulation Act (FCRA) and rules, has put out an advisory for compliance depending on whether an NGO has already applied for FCRA registration, prior permission or renewal or is yet to submit the application.
As per the advisory issued, the three basic compliances that the NGOs and associations must meet following the latest changes in FCRA, 2010 and Foreign Contribution Regulation Rules (FCRR), 2011 relate to obtaining a DARPAN ID from Niti Aayog portal; opening the main FCRA account in SBI Parliament Street branch, New Delhi; and seeding Aadhaar details of all office-bearers or key functionaries.
Only last week, the home ministry had extended the deadline for NGOs/associations to upload annual returns for 2019-20 up to June 30, 2021, acknowledging that meeting the new conditions under amended provisions of FCRA and FCRR “may require some additional time”.
In a table put on the FCRA website on Friday, the ministry spelt out the requirements needed to be fulfilled under the amended Act and rules for four different categories of NGOs and associations; ones that have already submitted renewal application; those which have already submitted application for FCRA registration or prior permission; those which are yet to submit application for renewal of FCRA registration; and ones that are yet to submit application for FCRA registration or prior permission.
NGOs with a religious agenda
Compassion International
Placed on the `prior permission' list/ 2016
Curbs on American NGO linked to `religious field' to stay for now, Oct 19 2016 : The Times of India
The government has no immediate plans to take American NGO Compassion International off the `prior permission' list, which means that it will have to keep seeking the home ministry's nod before making foreign contributions in India. The reluctance of the government to show any leniency towards the international donor comes despite an intervention on its behalf by US secretary of state John Kerry.
Kerry , during a visit to India in September 2016, is said to have asked external affairs minister Sushma Swaraj to reconsider the decision to place Compassion International in the `prior permission' category . The donor was put on the watchlist in March after Indian intelligence agencies reported several FCRA violations, including contributions to Indian NGOs like Caruna Bal Vikas being diverted to organisations working in the reli gious and socio-religious fields. Many of the end-user NGOs were suspected to be involved in proselytisation.
“The concerns that led us to put Compassion International in `prior permission' category , as per provisions of the Foreign Contribution (Regulation) Act, 2010, still remain. There is no proposal as of now to reconsider our decision for mandatory home ministry clearance to all its donations to Indian NGOs,“ said a home ministry officer.
Incidentally , when Kerry took up Compassion's case with Swaraj during his visit here, she is believed to have told him that all NGOs operating in India were expected to adhere to the country's rules and regulations.
A home ministry official on Tuesday clarified that there was no bar on foreign funding of Indian NGOs by Compassion International. “We pre-approved 34 donations by the American NGOs prior to Kerry's visit here (after it was placed on `prior permission'), and 10 after the visit.This was after some of the recipient NGOs approached us claiming that they were not involved in religious activities, including proselytisation, and we found their plea to be genuine. The home ministry's nod for the recent donations by Compassion International was not linked to Kerry's visit here,“ said a home ministry official.
YEAR-WISE DEVELOPMENTS
2021/ 1
Bharti Jain, Sep 13, 2021: The Times of India
The home ministry has over the past one-anda-half months suspended the foreign funding licence of six NGOs, which includes Christian evangelist groups and Islamic charities allegedly linked to religious conversion or funds misutilisation, citing violations of the Foreign Contribution (Regulation) Act, 2010. With these actions, the total number of organisations whose FCRA registration has been suspended so far this year has gone up to nine.
While the FCRA licence of Markazul Ighasathil Kairiyathil Hindiyya, a big Keralabased NGO linked to influential Sunni leader Sheikh Aboobacker Ahmed, was cancelled on August 27 over “misutilisation” of funds, misrepresentation of facts, and nonfiling of annual FCRA returns in 2019-20, Odisha-based People’s Organisation of Empowerment of Tribals and Heavenly Grace Ministries as well as Madurai-based Russ Foundation were issued suspension orders under FCRA on August 28. One of the directors of Russ Foundation home was arrested in 2019 for allegedly sexually assaulting a 10-year-old inmate.
In July, Lucknow-based Al Hasan Educational and Welfare Organisation saw its FCRA nod being suspended over alleged activities related to forced religious conversions. Haryana-based Mewat Trust for Educational Welfare also had its FCRA licence suspended for180 days, though the reasons are not yet clear.
Earlier on June 8, 2021, the FCRA registration of Commonwealth Human Rights Initiative, an NGO led by well known commentator on northeast Sanjoy Hazarika, was suspended, as was that of Bengaluru-based Centre for Wildlife Studies on April 8, 2021. Another evangelist NGO that had its foreign funding licence suspended is Holy Spirit Ministries, which operates out of Andhra Pradesh.
The suspension of FCRA registration disables an NGO or association from receiving foreign contributions unless with the prior nod of the ministry. The FCRA bank accounts of the NGO are also frozen, preventing the organization from using funds parked in them. The affected NGO may make a representation to the MHA against the suspension, which unless revoked remains valid for 180 days and is followed by a permanent cancellation of the FCRA registration.
Blacklisting of NGOs
March 2015: 69 NGOs blacklisted
Of 69 blacklisted NGOs, 30 work for minorities
Deeptiman Tiwary The Times of India Mar 05 2015
Prohibited From Getting Foreign Funds
The government has banned 30 NGOs, ostensibly engaged in welfare of minorities, from receiving foreign funds after adverse reports about their activities from intelligence agencies.These are part of 69 NGOs which have been prohibited by the government from receiving foreign funds under the Foreign Contributions Regulation Act (FCRA). Andhra Pradesh accounted for most of these “dubious“ NGOs followed by Tamil Nadu and Gujarat. Of the 14 NGOs blacklisted by the home ministry in Andhra Pradesh, eight are engaged in minority welfare. While seven of these are Christian institutions, one is an Islamic education association.
Of the 12 NGOs banned in Tamil Nadu, four are Christian organizations while one is Islamic. In Gujarat, of the five organizations banned, all except one is engaged in Muslim welfare.
Across the country , 15 organizations each engaged in Muslim and Christian welfare have been banned from receiving foreign funds.
The information was shared by minister of state for home Kiren Rijiju in reply to a question in Lok Sabha on Tuesday . Home ministry regularly reviews and audits flow of funds in NGOs from abroad and issues notices to those not filing their returns properly. It also initiates action against those not following the FCRA regulations while receiving foreign funds and blacklists those suspected to be working against the interests of the country . NGOs in India receive foreign donations in excess of Rs 10,000 crore annually from over 150 countries with the US and Europe being top donors apart from United Arab Emirates.
Registrations of 4,138 associations under the FCRA were cancelled for non-submission of annual returns from 2006-07 to 2008-09. Among these, Tamil Nadu accounted for the maximum NGOs (794) followed by Andhra Pradesh (670) and Kerala (450).
Recently , over 31,000 NGOs were served notices for not filing annual returns on their foreign donations. In 2011-12, notices were sent to 21,493 associations which had not submitted annual returns under the FCRA for the years 2006-07, 2007-08 and 2008-09. In 2014, notices were issued to 10,343 associations which had not filed annual re turns from 2009-10 to 2011-12.
Rijiju had earlier informed Parliament that adverse reports were received from intelligence agencies against NGOs such as Tuticorin Diocesan Association; East Coast Research and Development Trust, Thoothukudi; Centre for Promotion and Social Concerns, Madurai and Greenpeace India Society , Chennai.
“Based on inspectionsinvestigations, the FCRA registration of Tuticorin Diocesan Association and Centre for Promotion and Social Concerns were suspended and their bank accounts frozen. The FCRA registration of East Coast Research and Development Trust was cancelled,“ he had said.
The Modi government has mounted greater scrutiny on the activities of NGOs and their funding. In a report leaked last year, IB claimed a host of NGOs, including Greenpeace India, were working against the interests of the nation at the behest of foreign powers and that their activities had cost the country 2-3% of GDP .
The government recently prevented Greenpeace activist Priya Pillai from flying to London to address a gathering.
A complete list of the 69 NGOs blacklisted in March 2015
1. Society for People’s Action for Development, 11-4-5, Donica Road, Chenchupet, Tenali, District – Guntur, Andhra Pradesh
2. Action for Welfare and Awakening in Rural Environment(Aware), Administrative Office, 5-9-24/78, Lake Hill Road, Hyderabad, Andhra Pradesh-500463.
3. Agape Helping Ministries, 80-24-4/1, Jayasri Gardens, A.V.A. road, Rajahmundry, West Godavari, Andhra Pradesh
4. Anjumane Hussamia Educational Association, 22-6-785, Hussamia Manzil, Panjeshah, Hyderabad, Andhra Pradesh
5. Aware (India) Foundation (AIF) H. 8-2-703/A/C/B 5, Banjara Hills Road No. 12, Hyderabad, Andhra Pradesh
6. Christ’s Helping Hand Children’s Home, Near B.G.R. High School, Alcot, Gardens, Rajahmundry, Andhra Pradesh,
7. Christian Outreach Centre, Rayadupalem, Kakinada-5, Andhra Pradesh
8. Christian Outreach Ministries Properties Trust, H. No. 11-6-23, Laximpur, Warangal, Andhra Pradesh
9. Christian Outreach Ministries, H. No. 11-6-23, Laximpur, Warangal, Andhra Pradesh
10. Good Samaritan Evangelical and Social Welfare Association, Sathyavedu, Krishna Dt.-517-588 Andhra Pradesh
11. John Abraham Memorial Bethany Home, TANDUA, P.O.Bag NO.3, TANDUA-501141, Rangareddy Distt. Andhra Pradesh
12. John Abraham Memorial Bethany Home, House No.6-19, Plot No. 342, Vivekanagar Colony, Kukatpally, PO, Hyderabad, Andhra Pradesh-500072.
13. Matsyagandhi Mahila Welfare Association, Appu Ghar Fishermans Colony, Visakhapatnam (U), Andhra Pradesh
14. Andhra Pradesh Pragati Orphen Home, Pagati Nagar, Old Town, Tanuku- 534211 Andhra Pradesh
15. Chandigarh Apostolic Christian Assembly, Chandigarh Ministry,123/1 Sector- 55,Chandigarh
16. Bhartiya Cattle Resource Development, D-37, South Extension, Part- II, New Delhi
17. IGEP Foundation, C 3A/86C, Janakpuri, New Delhi
18. Saraswati Charitable Trust, M-109, Greater Kailash-II, New Delhi- 110048
19. Gujarat Gujarat Idar-E-Talimate Islamia, (Darul-Ulm Shahe-Alam), Jamalpur Road, Ahmedabad, Gujarat- 380001
20. Jameah Rashidiyah Trust, Surat- Via-Kim At/PO Nani Naroli, Surat, Gujarat- 394110
21. Madrasa Jamiyad Ravatul-e-Hat, Porbandar Bye Pass Road, New Micro Town, District-Mongrol, Junagadh-362225, Gujarat
22. Samadhan Foundation, Chilakota Block No. 1564 D, Khadda Colony, Dahod, Gujarat-389160
23. Samast Muslim Khalifa Sunnatwal Jamat Navsari, 1/1057, Char Pul Road, Navsari, Gujarat- 396445
24. Haryana Organisation for Progress and Ecology (HOPE) H. No.1592, Sector – 15, Sonepat, Haryana- 131001
25. Jammu & Kashmir Akandar Tryst C/o Muslim Augaf Trust, MujahidManjil, Srinagar Jammu & Kashmir
26. Public Relief Trust C/o Prof Yunus-Al-Umar, Islamic Study Circle, Augaf Building, Badshah Chowk, Srinagar, Jammu & Kashmir
27. Falah – e- Aam Trust C/o G.M. Butt, Village Lathishah, Sapore, Baramula, Jammu & Kashmir
28. J & K Muslim Conference Wazirabad, H. NO. 114, Sardar Manzil, Srinagar, Jammu & Kashmir
29. Asian Aid Organisation Welfare Trust, No. 55, Kodandaramn Garden, 2nd Stage, Coxtown, Jeevanahalli, Bangalore, Karnataka 560005
30. Tibetan Culture & Education Foundation, C-10, Devetha Plaza, Residency Road, Bangalore, Karnataka
31. Action for people’s Participation and Environmental Care, A-62, Ashoka Marine Drive, Ernakulam, Cochin, Kerala
32. Islamiya College kuttiadi, Calicut Distt. Kerala
33. Social Action Movement of Idukki, Pulianmela- 685565 District Idukki, Kerala
34. Society for Action with the Poor, H. No. 126, Ward No. V, Manglath, Pannivizha, Adoor PO, Pathanamthitta Dt. Kerala Pin- 591523
35. Evangelical Lutheran Church in Madhya Pradesh, Luther Bhawan, Post Box No. 30, Chhindwara, Madhya Pradesh-48000
36. Reach Valley View Academy, 21/B Shreeram Nagar, Indore, Madhya Pradesh
37. Iqra Education Society, Haji Gulam Nagar, Mehrun Jalgaon, Maharashtra -425135
38. Khair-e-Ummat Trust (KEUT), 51-55, B.I.T. Chawl, 2nd floor, Immamwada, Compound, Kambekar Street, Mumbai, Maharashtra- 400009
39. Watch Tower Bible & Tract Society H- 58, Old Khandala Road, Lonavla, Maharashtra –410401
40. M. A. Wahab Islamic Public School Usmanganj, Lilong, Manipur 795130
41. Adima Jati Seva Samiti (AJSS), Circular Road, Phulbani Sahi, Kandhamal, Orissa- 762002
42. Health Education Development Society, A-6, Tribeni, Sahidnagar, Bhubaneswar, Khurda, Orissa
43. Society for Development Action (SODA), Iindapahi, PB No.16, Baripada, Dt. Mayurbhanj, Orissa
44. The Association, Society for Awareness of Human Society & RuralAdvancement (SAHARA), Kalahandi, P.O. Numper Vis M. Rampur Kalahandi, Orissa- 766102
45. Vikash Parishad Gandhi Nagar, Korsput-764020 Distt. Koraput, Orissa
46. Harpawat Charitable Trust, 30 C, Madhuban, Behind Bhartiya Lok Kala Mandal, Udaipur, Rajasthan
47. Harvest Ministries, Door No. 4/56, Arul Illam 5th Cross Street, Shanthi Nagar, Palayamkottai, Thirunelveli, Tamil Nadu-627002/ Door No. 15C, Opposite to World Gymn, Ratnada Subji Mandi, Jaipur, Rajasthan-342011
48. New Life Community Development Society, Mubarak Bagh, Ajmer Road, Jaipur, Rajasthan- 302006
49. Aid India, Chennai, Tamil Nadu
50. Association Madras Church of Christ, No. 11, Shenoy Road, Nungambakkam, Madras, Tamil Nadu- 600034
51. Nadu Church of Christ Trust, Carmel Nagar, Siluvathur, Dindigul, Tamil Nadu
52. Community Service Society, S/83, Keelaperuvilltai, Asaripallam 629 201, Nagercoil, Kanyakumari, Tamil Nadu
53. Development Organisation for Women (DOW), P.O. Batlagundu Distt. Dindigul, Tamil Nadu
54. Good Vision, Kanyakumari, Tamil Nadu
55. Mount View Academy, Madurai and Reach International Education and Social Welfare Trust, Kodimangalam, Madurai, Tamil Nadu
56. Muslim Munnetra Kazhagam (TMMK) No. 6, Vadaraikayyaar, Street, Chennai. Tamil Nadu
57. Reach in the Nilgiris, Plot No. 99, Sai Deep Apartments, VGP Saravanan Nagar, Madambakkam, Chennai, Tamil Nadui-600073
58. Saccer, Nagercoil, Tamil Nadu
59. Trust for Rural Uplift and Education, Tirunelveli, Tamil Nadu
60. Tuticorin Diocese Association, Tuticorin, Tamil Nadu
61. Heritage Foundation, Village- Badhwar, Bye pass Road, Varanasi, Uttar Pradesh
62. Jamai Atul Falah, Bilariganj, Azamgarh, Uttar Pradesh
63. Khwaja Khushal Charitable Trust, Vill-Bihargarh, PO-Morna, Muzaffarnagar, Uttar Pradesh-251316
64. Maa Research Foundation, 31/10, Siddantha Colony, Arya Samaj Road, Muzaffarnagar, Uttar Pradesh – 251 002
65. Dhe Chen Chokhor Kagyupa Monastery, Clement Town, Dehradun, Uttrakhand
66. Shrimati Jashoda Devi Foundation Society, Pauri Garwal, Uttrakhand
67. Calcutta Urban Service, 14/2, 1st Floor, Sudder Street, Kolkata, West Bengal-700016
68. Children’s Development Communities India, 134, S.N. Banerjee Road, Calcutta, West Bengal
69. Congregation of the Daughters of St. Anne, St. Anne Convent, Assammore, P.O. Mohit Nagar, Jalpaigiri, West Bengal- 735101
April: licences of 8,975 NGOs cancelled
Govt cancels licences of 8,975 NGOs for failing to file annual returns
The Times of India Bharti Jain,TNN | Apr 27, 2015
After suspending the FCRA registration of Greenpeace India and putting foreign donor Ford Foundation on the watchlist, the government cancelled the licences of 8,975 NGOs for failing to file annual returns for the years 2009-10, 2010-11 and 2011-12.
The home ministry order communicated to the NGOs, to district magistrates of the concerned districts where the NGOs are based and to the RBI read:
"..in exercise of the power conferred by Section 14 of the FCRA 2010, the Central government hereby cancels, for violation of Section 18 thereof, read with Rule 17(2) of Foreign Contribution (Regulation) Rule, 2011, the certificate of registration of 8975 associations...which includes 510 associations to whom notices were sent but returned undelivered and 632 associations from whom no reply has been received to the notices within the stipulated period".
June 2015: 4,470 NGOs debarred from, foreign funds
Fresh crackdown: Licence of 4,470 NGOs cancelled
In another round of action against erring NGOs, the government has cancelled the Foreign Contribution Regulation Act licence of 4,470 entities, which bars them from receiving foreign funds.
The decision has been taken by the Union home ministry after examination of their activities that allegedly include non-filing of annual returns and other anomalies.
All associations were given proper notice by the foreigners division of the home ministry with adequate time to reply before their FCRA licences were cancelled, official sources said.
Prominent organisations whose FCRA licences were cancelled include
Escorts Heart Institute
Gargi College, Delhi
Gujarat National Law University
Kabir (floated by Delhi Deputy Chief Minister Manish Sisodia)
Lady Irwin College Delhi
Panjab University, Chandigarh
Supreme Court Bar Association
Vikram Sarabhai Foundation
2017/ Anti-tobacco PHFI’s registration revoked
Bharti Jain, Anti-tobacco efforts cost NGO FCRA nod, April 20, 2017: The Times of India
`Zero-Tax NGOs Can't Lobby In This Regard'
The government has revoked the registration of Public Health Foundation of India (PHFI), an NGO funded by Bill & Melinda Gates Foundation, under the Foreign Contribution (Regulation) Act over the alleged misuse of foreign funds for anti-tobacco lobbying, in violation of norms the law lays down.
The home ministry's revocation of the renewal of PHFI's FCRA licence has rendered the NGO ineligible to receive any funding from abroad.
A source said the main charge against the NGO, which has also worked in partnership with the Union ministry of health and family welfare, is that it used foreign funds totalling Rs 43 crore to lobby with parliamentarians, the media and the government on tobaccocontrol issues, which is not among the five activities permitted under FCRA.
The five activities for which NGOs can receive foreign contributions under the law include those of a social, cultural, religious, educational and economic nature. PHFI was registered under the FCRA under the head “social and educational“.
According to a home ministry official, PHFI recei ved around Rs 43 crore for anti-tobacco lobbying, which it misrepresented as `research grants' in its FCRA returns. The officer added that an NGO was not permitted to lobby for tobacco-control, which could only be done by an entity as a public relations company that must pay due taxes.
“Anti-tobacco lobbying is a valid and perfectly legal activity but not through zero-tax NGOs,“ the officer told TOI.
According to a source, PHFI received foreign contributions amounting to nearly Rs 150 crore in 2014-15 and Rs 200 crore in 2013-14.Bill & Melinda Gates Foundation accounted for nearly one-third of its foreign fun ding, USAID for around 10%, while the remaining donors included some leading western pharmaceutical companies such as GlaxoSmithKline.
PHFI, in a release, said it had received a notification from the home ministry regarding the renewal of its FCRA registration. “Certain observations have been made by the ministry on utilisation of funds related to PHFI's projects on tobacco, HIVAIDS and its financial reports.PHFI has submitted the requisite information and documents to the MHA on the observations raised in the notification and provided the needed clarifications.
“PHFI is seeking an early resolution of the issue and continuation of the FCRA registration, based on the clarifications provided,“ it stated.
According to the PHFI website, the NGO was launched by former Prime Minister Manmohan Singh in 2006. The NGO provides technical assistance to central and state governments in several areas of engagement including HIV prevention, access to drugs, tobaccocontrol and immunisation, etc. Many of these activities have been in partnership with the ministry of health and family welfare.
2017/ 7 violations by PHFI
Bharti Jain, MHA order nixing PHFI licence lists 7 violations, April 21, 2017: The Times of India
NGO Declared Only Six Of 151 Accounts
The home ministry order revoking the licence of Public Health Foundation of India (PHFI) to receive foreign funds, lists seven “undesirable activities“ of the NGO, including declaring only six of its 151 bank accounts, wrongful declaration of Rs 43 crore received for anti-tobacco lobbying and making remittances of Rs 22 crore to foreign countries from its FCRA account.
Stating that the omissions of the PHFI and its associates had come to its adverse notice for diversion of funds and “undesirable activities“, the home ministry's April 10 order declares renewal of its registration under the Foreign Contributions Regulation Act (FCRA), granted on August 4, 2016, as void from the start.
The seven violations cited by the home ministry against PHFI, which has been receiving a significant chunk of its foreign funding from Bill and Melinda Gates Foundation, include using foreign contributions to lobby media, parliamentarians and government on tobacco control policy issues, “which is prohibited under FCRA“. PHFI, according to the home ministry, has bank accounts with credits of Rs 223 crore more than what it had declared to the home ministry.
Also, it is alleged to have wrongfully declared Rs 43 crore received for anti-tobacco lobbying when foreign funding during 2009-10 and 2012-13 was received seeking permission of the home ministry for the purpose `research' and `establishment of corpus fund'.
Another charge against PHFI includes making remit tances of Rs 22 crore to foreign countries from its FCRA account and Rs 10.75 crore to BBC World Services Trust, UK “for unknown purpose“.
The revision order, issued under Section 22 of FCRA, states that PHFI declared only six of its 151 bank accounts to MHA. Of the 151 accounts, 22 are saving or current accounts while 128 are FD accounts. Two bank accounts were used as `transit' accounts for unknown reasons, violating provisions of FCRA and FCRR, 2011, according to the home ministry . PHFI was also found to be having more than one PAN identity for opening accounts and FDs, in violation of the Income Tax Act, 1961. Besides, the NGO failed to declare foreign receipts of Rs 1.19 crore from GlaxoSmithKline in 2014-15.
Stating that the association and its associates have indulged in gross violations detrimental to public interest and in contravention of stated provisions of FCRA, the home ministry said there was need to revise its order for renewal of registration in public interest.
2022, Jan
January 12, 2022: The Times of India
From: January 12, 2022: The Times of India
From: January 12, 2022: The Times of India
From: January 12, 2022: The Times of India
What did the IB think was alarming? Things like Greenpeace upgrading its communication systems and using encrypted software — “such experts are a permanent part of Greenpeace India’s strategy making and implementation,” it said. Field reports by NGOs — “these foreign donors lead local NGOs to provide field reports, which are used to build a record against India”. And protests — while talking about the Koodankulam nuclear power project protests, the report says that “enquiry into the pattern, design and funding of protests at the 21 anti-nuclear plant or uranium mine sites in India revealed the presence of 65 NGOs, 17 FCRA-registered.” So, just over a quarter of the NGOs it found protesting were foreign-funded.
It started last week when the FCRA license for Missionaries of Charity, the Kolkata-based group founded by Mother Teresa for the poor, sick and destitute, was cancelled. The ministry quickly said that it did not meet the “eligibility conditions” and “some adverse inputs were noticed” while going over its renewal application.
As of January 4 afternoon, there were 16,908 FCRA-registered associations (down from about 22,800 on December 31, 2021) and licenses of 12,501 organisations have expired — of which around 6,000 lost theirs on January 1. Among them were IIT-Delhi, Oxfam India, Jamia Millia Islamia, Indian Medical Association, Nehru Memorial Museum, India Habitat Centre, India Islamic Cultural Centre and Tirumala Tirupati Devasthanams.
The government explanation is that their renewal applications were either rejected or they did not apply. And some of these might be because the Centre had last year decided that organisations set up by governments were exempt from FCRA registration.
Why is it being seen as controversial?
BJP, which is in power at the Centre, and Congress were both found guilty of violating FCRA in 2014 by the Delhi high court. Within a year, the BJP-led government changed the definition of a “foreign source” and sought legitimacy for their corporate funding before the high court.
Not much has happened in the case since then but the questions around specific definitions in the Act have often stirred controversy. The PM CARES Fund, for instance, is exempt from FCRA registration. “This enables PM CARES Fund to accept donations and contributions from individuals and organisations based in foreign countries. This is consistent with respect to Prime Minister’s National Relief Fund (PMNRF). PMNRF has also received foreign contributions as a public trust since 2011,” its site says. It was not set up under a central or state Act, which are exempt, but as a charitable trust. The exemption is granted to government establishments that are audited by the CAG. PM CARES is not.
Over the years, meanwhile, the number of organisations whose FCRA registration has been renewed has gone down dramatically.
And the number of FCRA registrations revoked shot up in the election year of 2019.
Since when do laws keep tabs on NGOs in India?
It goes back to the Revolt of 1857. A 1976 paper on laws and regulations for the voluntary sector in south Asia said that the “intellectual underpinnings of the rebellion came from the numerous arts and culture societies that had sprung in India in the middle of the nineteenth century.” So, two years after the rebellion was crushed in 1858, the Societies Registration Act was put in place, on the lines of the English Literary and Scientific Institutions Act, 1854, in England. Any group of seven or more people forming an association had to register with the government. Monitoring organisations would now be easier.
The law stayed on when India became independent. But the 1970s were the times of frenetic political activity. The India-Pakistan War, the Emergency, the Naxalite movement. Saying that funds from overseas were being used for subversive causes, the government introduced the Foreign Contribution (Regulation) Act in 1976. The FCRA.
The IB report on the 'threat' of foreign-funded NGOs had identified coal-fired power plants, nuclear power plants, uranium mines, genetically modified organisms, mega industrial projects, hydel projects and extractive industries in NE as sectors running into the staunchest protests by NGOs
How has FCRA evolved since then?
The 1976 Act placed restrictions on foreign funds. Politicians, elected representatives, election candidates, journalists and government employees were not allowed to take any money from foreign sources. And contributions for everyone else were going to be regulated. While that applied to anyone getting foreign funding — students with scholarships, for instance — the focal point of discussions was the NGO sector.
What an NGO defines itself as determines which law it came under. If it is a society, the Societies Registration Act would govern it. As a trust, the Indian Trust Act, 1882 or the Charitable and Religious Trusts Act, 1920 would. A union would come under the ambit of the Trade Union Act 1926 and a cooperative under the Cooperative Societies Act, 1912.
Its funding, however, would be under the FCRA radar from 1976. But not with the finance ministry or a ministry concerned with the work it does. It was placed under the ministry of home affairs and ministry of internal security — the money trail, from this point on, was to be treated as a security issue.
The first version of the Act asked NGOs to inform the government whenever they received money from abroad. But how would the government know if an NGO didn’t?
So, in 1984, the Act was amended and two changes were brought in — an NGO that expected foreign funds would have to register with the government and tell the government every six months if it has received any, or it could ask the government for permission before getting foreign funds each time (as opposed to telling it after).
In 2010, it was repealed and a new, wider Foreign Contribution (Regulation) Act brought in. A provision to identify organisations of “political nature” came in. Someone authorised to receive foreign funds could not transfer those to someone who was not registered. The money would have to be received in a single bank account (though it could use the money through other accounts in other banks) and would not be used for “speculative purposes”. No more than 50% of the money could be used for administrative expenses. And the Centre could stop an organisation from getting foreign contributions, and identify an organisation, person, sector, purpose and source for which prior permission would be needed. The Act was amended again in 2020. Now, an organisation cannot transfer any of its foreign funds to anyone else, even if they are registered to receive overseas contributions. It cannot use its foreign contribution money through any account other than one that it registers as the “FCRA account”. The 50% cap on foreign money used for administrative expenses is down to 20%. The government can order an inquiry before issuing a registration. And it can suspend a registration for an additional 180 days (after the first 180-day period, as under the 2010 Act, passes).
Has it become a political tool?
Voluntary associations, by definition, need support and aid to keep on doing their work. That comes from either the state itself or from foreign benefactors, especially when an organisation challenges the workings of the state. So, funding choices can translate into either dependence or latitude.
It’s the same in many parts of the world. In Egypt, NGOs can’t get foreign funding without the approval of the administrative authority. Ethiopian NGOs can’t get more than 10% of their budget from foreign donors. The most prominent example came last week, when Russia shut down its oldest human rights organisation, Memorial International, after designating it as a “foreign agent” and using a law targeting organisations that get international funding. In court, the organisation was accused of creating “a false image of USSR as a terrorist state.”
This brings us back to the 2014 IB report, which, in similar terms, lays out why it thinks foreign-funded NGOs need to be monitored: “A small group of activists and NGOs have at times succeeded in shaping policy debates in India. Apart from that, in some cases it is observed that in a cyclic process, an NGO is set up, funds are obtained from abroad, a few articles are commissioned, a PR firm is recruited and, slowly, with the help of the media, an image is created. And then awards are procured from foreign countries to enhance the image, after which Government machinery finds it that (much) more difficult to act against the awardee.”
Greenpeace India
See Greenpeace India
NGOs and Pakistan
2018: Pakistan shuts 18 international NGOs
Pak orders 18 international NGOs to wrap up operations, October 6, 2018: The Times of India
Pakistan ordered 18 international aid organizations to close, threatening the assistance they provide to some of the country’s most vulnerable, international aid workers said on Friday.
The majority of the shuttered aid groups are US-based, while the remainder are from Britain and the EU, according to a government list. Caught in the latest order to close are aid groups such as World Vision US, Catholic Relief Services US, International Relief and Development US, ActionAid UK, and Danish Refugee Council, Denmark.
There was no official explanation from the new government and there was no response to queries about the closures from the Interior Ministry, which issued the order. The Information Ministry and Foreign Ministry also did not respond to the AP requests for comments.
The organizations have been given 60 days to wrap up their operations, said Imran Yusuf Shami, country director for Plan International, whose organization was told its registration had been denied. Shami said the closures will hurt hundreds of thousands of Pakistan’s neediest people.
