Centre proposes FCRA amendments to regulate foreign funds, manage assets, and revise penalties.
The Union government plans to amend the Foreign Contribution (Regulation) Act (FCRA) in the ongoing Parliament session. Key proposed changes include appointing a "designated authority" to manage or dispose of assets created from foreign funds by NGOs whose FCRA registration is suspended or cancelled. The amendments also expand the definition of "key functionary" to include various roles beyond office bearers, making them liable for FCRA offenses. Additionally, the Bill proposes to reduce the maximum imprisonment for FCRA offenses from five years to one year and introduces fixed timelines for utilizing foreign funds received under "prior permission" category. Law enforcement agencies will also require prior Central government approval for investigations into FCRA-related complaints.
Key Points
- Amendments to the FCRA are proposed to regulate foreign funds and manage assets of NGOs.
- A "designated authority" will be appointed to handle assets of NGOs with suspended or cancelled FCRA registrations.
- The definition of "key functionary" is expanded, making more individuals liable for FCRA offenses.
- Maximum imprisonment for FCRA offenses is proposed to be reduced from five years to one year.
- Prior Central government approval will be required for law enforcement agencies to investigate FCRA-related complaints.
Exam Facts
- Act to be amended: Foreign Contribution (Regulation) Act (FCRA).
- Year of parent Act: 2010.
- Number of registered associations under FCRA: Around 16,000.
- Annual foreign funds received: Around ₹22,000 crore.
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