Office-bearers, key functionaries and members of NGOs receiving foreign funds will have to declare before the government that they were not prosecuted or convicted for converting anyone from one faith to another, the home ministry said on September 16.

In a notification, the ministry announced the changes in the Foreign Contribution (Regulation) Rules, 2011, which includes that individuals receiving personal gift valued up to Rs 1 lakh need not inform the government about it anymore.

The NDA government has over the past five years tightened rules and procedures to receive and utilise foreign contribution.

Permission to receive foreign contribution has been taken away from nearly 18,000 NGOs which were found to be violating the various clauses of the Foreign Contribution (Regulation) Act.

Key changes

The Centre amended the rules governing the Foreign Contribution (Regulation) Act, 2011, and notified changes alongside some other modifications.

Earlier, as per the FCRA 2010, only the applicants such as directors who were seeking permission to receive foreign contribution were required to make such a declaration.

According to the notification, it has been made mandatory for every key member of the NGO office-bearers and key functionaries and members to certify that they have not been prosecuted or convicted for conversion from one faith to another and for creating communal tension and disharmony.

Every member of an NGO must also, under oath, through an affidavit, certify that they have never been involved in diverting foreign funds or propagating sedition or advocating violent means. Earlier, this declaration was to be only given by the applicant of an NGO.

Individuals receiving personal gift valued up to Rs 1 lakh need not inform the government about it anymore. Earlier, the threshold value was Rs 25,000, as per the market value of the gift item in India.

In case of emergent medical aid needed during a visit abroad, the acceptance of foreign hospitality has to be intimated to the government within a month of such receipt. The intimation should contain full details including the source, approximate value in rupees and the purpose for which and the manner in which it was utilised. Earlier, the intimation was required to be given within two months.

Background

The Foreign Contribution (Regulation) Act, 2010 has come into effect from May 1, 2011.

The ministry of home affairs also notified the Foreign Contribution (Regulation) Rules, 2011, made under section 48 of FCRA, 2010. The FCR Rules, 2011, have come into force simultaneously with FCRA, 2010.

FCRA, 2010, has been enacted by Parliament to consolidate the law to regulate the acceptance and utilisation of foreign contribution or foreign hospitality by certain individuals or associations or companies and to prohibit acceptance and utilisation of foreign contribution or foreign hospitality for any activities detrimental to national interest and for matters connected therewith or incidental thereto.

While the provisions of the repealed FCRA, 1976, have generally been retained, the FCRA, 2010, is an improvement over the repealed Act as more stringent provisions have been made in order to prevent misutilisation of the foreign contribution received by the associations.

Any organisation of a political nature and any association or company engaged in the production and broadcast of audio or audio visual news or current affairs programme have been placed in the category prohibited to accept foreign contribution.

Who can receive foreign contribution?

Any “person” can receive foreign contribution subject to following conditions:

a) Must have a definite cultural, economic, educational, religious or social

programme.

b) Must obtain the FCRA registration / prior permission from the central government.

Who cannot receive foreign contribution?

The following are prohibited to receive foreign contribution:

a) Candidate for election, MPs, MLAs

b) Correspondent, columnist, cartoonist, editor, owner, printer or publisher of a registered newspaper.

c) Judge, government servant or employee of any corporation or any other body controlled or owned by the government.

d) Political party or office bearer thereof.