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Aug
01

10,000 NGO registrations cancelled, foreign aid set to drop

The Economic Times published an article titled “10,000 NGO registrations cancelled, foreign aid set to drop.” The article reads in part as follows:

“Foreign funding for Indian non-governmental organisations (NGOs) doubled in 2014-15 over the previous year, but with 10,000 NGO registrations cancelled in 2015, foreign contributions are likely to drop, according the latest data on foreign contributions.

Delhi, Tamil Nadu, Andhra Pradesh (unified), Karnataka and Kerala together got 65 per cent of foreign aid coming to India, the data, tabled in the Lok Sabha on July 26, 2016, revealed.

Of Rs 45,300 crore ($7 billion) in foreign funding to Indian NGOs over four years — 2011-12 to 2014-15 — Rs 29,000 crore($ 4.5 billion) was received by organisations in the national capital and these four (five after Telangana) states, an IndiaSpend analysis reveals.

Organisations in Delhi received Rs 10,500 crore ($ 1.6 billion), while each of the five states received close to Rs 5,000 crore ($770 million) over the past four years.

There are 33,091 NGOs registered to receive foreign funds-under the Foreign Contributions (Regulation) Act (FCRA) — after the registrations of 10,000 NGOs were cancelled by the Ministry of Home Affairs in 2015.

Among the reasons for cancellation: Not filing returns, misutilisation of funds and accepting funds for “prohibited activities”, which include funding legal costs of bail, writ petitions of Indian NGOs and their activists, and undisclosed payment of salaries by foreign NGOs to foreign activists.

Foreign funding doubled in 2014-15 to Rs 22,137 crore ($ 3.4 billion) compared to Rs 12,000 crore ($ 1.8 billion) in 2013-14.”

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