Key Points :
- The bill is not against the NGO’s but to stop the misuse of foreign funds – Nityanand Rao (MHA)
- The amendment to the Bill proposes that not more than 20% of the total foreign funds received could be spent on administrative expenses.
- After the Bill is passed by the Rajya Sabha, public servants will be barred from getting foreign funds.
The Lok Sabha on Monday passed the amendments to Foreign Contribution (Regulation) Act (FCRA), 2010. The bill asks to make Aadhaar mandatory for office bearers of any NGOs to receive foreign funds.
Lok Sabha passes 'The Foreign Contribution (Regulation) Amendment Bill, 2020.'
— LOK SABHA (@LokSabhaSectt) September 21, 2020
The Aadhar number of office bearers, directors or key functionaries will be the identification document for any person seeking beforehand permission, registration or its renewal.
The Bill proposes that not more than 20% of the total foreign funds received could be spent on administrative expenses. At present, the limit is 50%.
“The annual efflux of foreign contribution has almost doubled between the years 2010 and 2019, but many beneficiaries of foreign contribution have not utilized the same for the purpose for which they were registered or granted prior permission under the supposed Act. Many of them were also found wanting in guaranteeing basic legal compliances such as submission of annual returns and maintenance of proper accounts,” the proposed amendment states.
Minister of Home Affairs of India, Nityanand Rai said that, “When the government brought FCRA Bill in 2010, we were in opposition but we supported it. This amendment is not against NGOs and is not an attack on any religion. It will not stop foreign contribution. FCRA is a national and internal security law. This amendment is essential for Atmanirbhar Bharat.”
“If director or manager of an organization want to hide their identity and can’t disclose their address, what work will they do? It casts suspicion on their intention. Why is Aadhaar Card being opposed? The Aadhar Card is a significant proof of identification,” Nityanand Rai added after the SC said it’s not essential to make Aadhar Card a medium to identify individuals.
After the bill is cleared by the Rajya Sabha and gets approval from President Ram Nath Kovind, public servants will be banned from receiving funding from overseas.
