Bharat Tightened FCRA To Fight Conversion

*Centre Tightens FCRA Rules, Excludes Religious Conversion From Foreign-Funded Activities*

*Proselytisation excluded from faith-based activities as govt amends FCRA rules*
* The government has issued a series of amendments tightening the FCRA Rules for NGOs and associations in Bharat on receiving and using foreign money
*FCRA Rules Tightened: Key Highlights*

* Bharat has tightened rules under the Foreign Contribution Regulation Act (FCRA) to increase transparency and accountability of NGOs receiving foreign funds.*
● All FCRA-registered NGOs and associations must now declare their social media accounts and provide detailed information about their activities and geographical areas of operation.
● Organizations will be required to strictly adhere to the activities specified in their registration, reducing the scope for diversion of foreign-funded projects.
● NGOs receiving foreign funds will be prohibited from engaging in or promoting political content and political activities using foreign contributions.
● The government says the changes are aimed at improving oversight, ensuring transparency, and preventing misuse of foreign funds.

*US Lawmakers Raise Concerns*
● Lawmakers from both Democratic and Republican parties have expressed concerns that the proposed FCRA changes could negatively impact civil society organizations operating in India.
● They argue that stricter compliance requirements may affect the functioning of NGOs involved in social, humanitarian, and advocacy work.

*Karnataka High Court Hearing on Foreign Funding Case*
● The Karnataka High Court is hearing a case involving the alleged routing of ₹92.55 crore ($9.9 million) in foreign funds into India between November 2025 and April 2026.
● The case involves US-based organization The Timothy Initiative, which allegedly used US bank debit cards to withdraw cash from ATMs across Karnataka, Chhattisgarh, and Assam.
● Enforcement agencies claim the transactions violated FEMA and FCRA regulations.
● More than 1,000 foreign debit cards were allegedly distributed across India over several years to facilitate fund transfers.
● Some of the funds are alleged to have reached Maoist-affected regions, prompting investigations under both financial and national security laws.
● The accused have challenged the FIR, arguing that charges under the Unlawful Activities (Prevention) Act (UAPA) cannot be invoked without sufficient evidence.
● The Karnataka High Court has reserved its order and directed police not to take coercive action against the petitioners until the verdict is pronounced.

*Why It Matters*
● Foreign funding remains a sensitive issue involving transparency, national security, and NGO accountability.
● The case highlights the government’s increasing scrutiny of overseas funding channels and compliance with Indian laws.
● The outcome could influence future enforcement of FCRA regulations and foreign-funded NGO operations in India.

*Now, foreign nationals, except those of Indian origin, will ordinarily not be eligible to hold key positions in NGOs seeking registration or prior permission under the Act.*

*The Union government has notified fresh amendments to the Foreign Contribution (Regulation) Rules, tightening disclosure requirements for NGOs receiving foreign funds while explicitly keeping religious conversion activities outside the ambit of permissible foreign-funded religious work.*