Why Home Ministry sends notice to 10,000 NGOs: Explained

The Ministry of Home Affairs on Tuesday issued show-cause notices to over 10,000 non-governmental organisations (NGO) registered under the Foreign Contributions (Regulation) Act, 2010 (FCRA). What is the issue? The Home Ministry has issued notices for failing to file mandatory annual returns for three successive years starting 2009-2010. It has asked over 10,000 NGOs, why their licences should not be cancelled after they failed to file their annual returns of foreign aid. The Home Ministry orders also said the NGOs which have filed returns should furnish copies and proof of submission. Andhra Pradesh accounts for the largest number of defaulting associations (1,441), followed by UP (1,167) and Tamil Nadu (1,108). What Data say? A MHA report says there are more than 20 lakh NGOs but less than 2 per cent of them (43527) were registered till March 31, 2012. According to a Home Ministry report, NGOs receive over Rs 11,500 crore in foreign funds annually. Crackdown on NGOs Earlier this year, the Ministry issued notice to 22,702 of the 43,527 registered NGOs under FCRA. They had failed in submitting annual return under Foreign Contribution (Regulation) Act. The Ministry had invoked section 46 of FCRA. Who are main defaulters? Some of the defaulters' are the University of Delhi, Jawaharlal Nehru University. Supreme Court Bar Association, Indian Council for Agriculture Research YMCA units in many States. What are the rules? As per rules, associations registered under FCRA 2010 must submit annual report in Form FC-6 to Union Home Secretary. It should be accompanied by an income and expenditure statement, receipt and payment account, balance sheet for every financial year. It should be filed within nine months of closure of the financial year. Associations which do not receive any foreign contribution are also required to furnish a 'NIL' return.

Source: http://news.oneindia.in/feature/why-home-ministry-sends-notice-10-000-ngos-explained-1533001.html