Under FCRA licences of 1,811 organisations have been cancelled: MHA

New Delhi, Dec 13: The Ministry of Home Affairs told the Lok Sabha that the Foreign Contribution (Regulation) Act (FCRA) registration certificates of 1,811 organisations have been cancelled between 2019 and 2021.

Union Minister of State for Home Affairs, Nityananda Rai shared the information in a written reply to a question by Trinamool Congress MP Sougata Ray.

During the last three years from 2019 to 2021, the FCRA Registration Certificates of 1,811 associations have been cancelled under section 14 of The Foreign Contribution (Regulation) Act, 2010 (FCRA, 2010) due to violation of provisions of the FCRA, 2010, Rai said in the written reply.

Rai said that appropriate action has been taken under the FCRA, 2010 and other extant laws and rules whenever inputs pertaining to the use of foreign contributions to spread terror activities is received by the Ministry.

When asked if the FCRA licence cancellation caused a lack of funds for humanitarian assistance in the country, the Minister replied, 'no sir.'

The FCRA was enacted in 1976 during the Emergency amidst apprehensions that foreign powers were interfering in India's affairs by pumping money into the country through independent organisations. These concerns had in fact been expressed in Parliament in 1969 itself.

The FCRA seeks to regulate foreign donations to individuals and associations so that they function in a manner consistent with the values of sovereign democratic republic.

Under the UPA government the FCRA was amended to make the law stronger and prohibit foreign funds being used for activities detrimental to national interest.

In 2020 the NDA government amended the law giving the government tighter control and scrutiny over the receipt and utilisation of foreign funds by NGOs.

The FCRA requires every person or NGO receiving foreign funds to be (1) registered under the Act, (ii) to open a bank account for the receipt of foreign funds in the State Bank of India, Delhi, (iii) to utilise those funds only for the purpose for which they have been received and as stipulated by the Act. These individuals and NGOs are also required to file annual returns and cannot transfer the funds to another NGO, the rules also mandate.