NEW DELHI: Recent changes to the Foreign Contribution Regulation Rules (FCRA) empower the government to get details instantly about the accounts of non-governmental organisations whenever they receive foreign contributions or utilise the money. According to the home ministry: "All FCRA designated bank accounts and utilisation accounts will have to be brought on the online platforms of Public Finance Management Services ( PFMS) of the Ministry of Finance."
This means the bank accounts of any NGO registered under FCRA can be easily inspected by authorities under the home ministry. This will not only allow them track the funds disbursed, but also maintain a vigil, said officials.
As per the new amendments, the guidelines for reporting by banks have been tightened. "The banks shall report to the central government within 48 hours any transaction in respect of receipt of any foreign contribution," a home ministry notification said.
NGOs will be required to publish details of foreign contributions received on a quarterly basis on their websites or a website as specified by the government. This should be done within 15 days of the end of the quarter, and the reports should clearly show details of the donors, amount received and the date of receipt. According to government officials, the simplified online services will not only help reduce corruption but also allow maintaining a database of genuine NGOs.
The new rules make it easier for NGOs to file applications for registration, prior permission and renewal of registration under FCRA online and pay fees through a payment gateway.
Source: http://economictimes.indiatimes.com/news/politics-and-nation/changes-to-fcra-enables-government-to-receive-account-details-of-ngos-instantly/articleshow/50346914.cms
This means the bank accounts of any NGO registered under FCRA can be easily inspected by authorities under the home ministry. This will not only allow them track the funds disbursed, but also maintain a vigil, said officials.
As per the new amendments, the guidelines for reporting by banks have been tightened. "The banks shall report to the central government within 48 hours any transaction in respect of receipt of any foreign contribution," a home ministry notification said.
NGOs will be required to publish details of foreign contributions received on a quarterly basis on their websites or a website as specified by the government. This should be done within 15 days of the end of the quarter, and the reports should clearly show details of the donors, amount received and the date of receipt. According to government officials, the simplified online services will not only help reduce corruption but also allow maintaining a database of genuine NGOs.
The new rules make it easier for NGOs to file applications for registration, prior permission and renewal of registration under FCRA online and pay fees through a payment gateway.
Source: http://economictimes.indiatimes.com/news/politics-and-nation/changes-to-fcra-enables-government-to-receive-account-details-of-ngos-instantly/articleshow/50346914.cms
