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Government Revokes FCRA Licenses of Six NGOs Citing Multiple Violations

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New Delhi, May 1, 2024: The Union Home Ministry has revoked the Foreign Contribution Regulation Act (FCRA) licenses of six prominent non-governmental organizations (NGOs), citing alleged violations of FCRA regulations, misuse of foreign funds, and unauthorized activities related to religious conversions. This action follows a detailed examination by the government conducted between March and April this year.

The affected NGOs include the Diocesan Society Church of North, Jesus and Mary Delhi Educational Society, Delhi Diocese Overseas Grant Fund, Institute of Economic Growth (IEG), Sansam Foundation Charitable India Trust, and Hemophilia Federation of India (HFI).

IEG is one of India's leading academic institutions working in the field of economic and social development. Many past and current faculty members are internationally renowned scholars, including Nobel laureates Amartya Sen, according to the IEG website.

Another prominent NGO, the Samuel Foundation Charitable India Trust, established in 1983, offers a rigorous 15-month technical education program on a full-time basis. The Hemophilia Federation of India (HFI) positions itself as the national lead organization supporting children afflicted with Hemophilia and collaborates with multiple governmental and non-governmental bodies. It is primarily funded by Save One Life from the United States.

Additional NGOs facing scrutiny include the Diocesan Society Church of North and the Delhi Diocese Overseas Grant Fund, both accused of FCRA violations. Furthermore, the Jesus and Mary Delhi Educational Society, which supports the Covenant of Jesus Mary School operational since before India's independence in 1919, is also highlighted. In the last two years, over 100 NGOs including the Centre for Policy Research, the Rajiv Gandhi Foundation, and Oxfam India have seen their FCRA licenses revoked due to alleged mismanagement of foreign funds.

Earlier, close to a month back, the Union home ministry had cancelled the foreign funding licence of at least five NGOs over alleged violation of provisions of the Foreign Contribution (Regulation) Act, 2010, and Foreign Contribution (Regulation) Rules, 2011. The NGOs whose registrations under FCRA had been cancelled were CNI Synodical Board of Social Service, Voluntary Health Association of India, Indo-Global Social Service Society, Church's Auxiliary for Social Action, and Evangelical Fellowship of India, as per the sources.

The loss of FCRA licence means that these NGOs can no longer receive funding from foreign sources, nor utilise their existing foreign contributions. The home ministry cancelled the FCRA registration of the NGOs for allegedly utilising the foreign contributions for purposes other than their declared objectives.

Current data reveals a dynamic landscape for NGOs in India, with 16,242 maintaining active FCRA licenses as of early April 2024. However, the licenses of another 14,396 are considered expired, and 20,701 have been cancelled outright. Recent parliamentary disclosures highlight that between 2019 and 2022, registered NGOs received over Rs 55,741.51 crore in foreign contributions, reflecting the significant scale and impact of international funding on the Indian non-profit sector.

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