​Fear of the foreign, Pg8

Key Highlights:

• The Centre is attempting to introduce amendments to the Foreign Contribution (Regulation) Act (FCRA) to control assets of organizations receiving foreign contributions.
• A Bill introduced in the Lok Sabha on March 25, 2026, proposes a "designated authority" to seize and manage assets of organizations that lose their FCRA licence.
• The proposed process would be automatic upon discontinuation of FCRA status, without judicial determination.
• The Bill has been temporarily stalled due to protests, but the government intends to pursue it.

Detailed Insights:

• The FCRA was first enacted in 1976, re-enacted in 2010, and amended in 2020, progressively tightening regulations on foreign funds.
• The proposed legislation allows the Centre to withdraw FCRA permission and then benefit from its own decision by seizing assets.
• Concerns have been raised that the government selectively allows certain entities to receive foreign funds, indicating potential favoritism.
• The proposed legislation may violate principles of natural justice by allowing seizure of assets legally built with foreign funds.
• Christian groups are particularly concerned due to their reliance on foreign contributions for health and educational institutions.

Key Concepts Involved:

• Foreign Contribution (Regulation) Act (FCRA): Indian law regulating the acceptance and utilization of foreign contributions by individuals, associations, and organizations.
• Designated Authority: A proposed body under the amended FCRA with the power to seize, manage, and dispose of assets of organizations that lose their FCRA license.
• Natural Justice: The principle that everyone should be treated fairly in legal proceedings, including the right to a fair hearing and freedom from bias.