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Monday, October 6, 2014

NGOs’ Foreign Funding – Home Ministry Notice

In a much awaited move, the Home Ministry has sent show-cause notices to more than 10,000 NGOs for not filing their annual returns of foreign receipts. The notice asks the NGOs to justify why their licenses should not be cancelled.

The notice which was sent by the Union Home Ministry says, “The mandatory annual returns for the years 2009-2010, 2010-2011 and 2011-2012 have not been received from the associations whose names appear in the annexure. Notices are being sent to these associations by post at their known addresses.”

University of Delhi, Jawaharlal Nehru University, and Supreme Court Bar Association are some of the organisations named in the defaulters’ list.

According to an earlier Home Ministry report, voluntary organisations (NGOs) receive over Rs 11,500 crore in foreign funds annually and the number of associations receiving foreign contributions is increasing. The Union Home Secretary Anil Goswami had said, “The general policy of the Government is not to encourage soliciting of foreign contribution. However, if it is intended for bona fide welfare activities, foreign contributions can be received by obtaining registration or prior permission from the Centre.”

The MHA report further said that there are more than 20 lakh NGOs in the country, but less than 2 per cent of them — which is 43527 — were registered under the Foreign Contribution (Regulation) Act (FCRA) up to March 31, 2012. During 2011-2012, 22,702 NGOs reported receipt of foreign contributions amounting to Rs 11546.29 crore. Imagine what foreign contributions may have amounted to in all 20 lakh of them.

Intelligence Bureau (IB), on June 3 this year, submitted another report to the PMO which said that foreign funding of these NGOs is aimed at stalling development in India. “A significant number of Indian NGOs (funded by some donors based in the US, the UK, Germany, the Netherlands and Scandinavian countries) have been noticed to be using people-centric issues to create an environment which lends itself to stalling development projects.”

Concerned about the same, in July, the Home Ministry had served notice to 21,493 NGOs for not submitting annual return under FCRA. The Parliament was informed about the same. Minister of State for Home Kiren Rijiju had said then that in case of 4,138 NGOs, letters dispatched from the Home Ministry were returned undelivered by the post office as addresses were not found and after due consideration their registrations were cancelled.

Source: http://www.niticentral.com/2014/10/01/ngos-foreign-funding-home-ministry-notice-239632.html