Revocation of fcra

shyam lal (Querist) 14 August 2024 This query is : Resolved
Unmovable property bought by a NGO through FCRA funds
Query.. Govt has cancelled the FCRA .what happens to the Unmovable property bought by the NGO through FCRA funds.

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This discussion addresses the implications of an NGO's FCRA (Foreign Contribution Regulation Act) licence being revoked, specifically concerning immovable property purchased with FCRA funds. While the NGO retains ownership, the property's use and disposal remain subject to the original FCRA conditions. It's advised to contact the Ministry of Home Affairs for guidance. The discussion also touches upon recent amendments requiring NGOs to declare assets acquired through foreign contributions.

SIVARAMAPRASAD KAPPAGANTU (Expert) 14 August 2024
FCRA permission is cancelled by Govt means the said NGO is no longer permitted to receive donations or contributiobs from abroad henceforth. As the funds with which immovable property was purchased were earlier received under FCRA, although the ownership of the property is with NGO, the said NGO should continue to comply with the conditions under which FCRA permission was given.

In a nutshell, the use and/or disposal of property continue to be governed by FCRA rules. You may contact Ministry of Home Affairs(MOHA) who gave the permission for FCRA for further course of action, duly referring to the original permission and the withdrawal thereof. In case, the withdrawal letter contains any compliances by NGO, a compliance report to be enclosed while taking up with MOHA.

T. Kalaiselvan, Advocate (Expert) 15 August 2024
The Ministry of Home Affairs (MHA) amended rules asking non-governmental organisations (NGOs) and associations to declare movable and immovable assets created out of foreign contribution. Registration under the Foreign Contribution (Regulation) Act (FCRA) is mandatory for NGOs to receive foreign funds.

According to the Foreign Contribution (Regulation) Rules Amendment Rules, 2023, notified on Monday, two new additions have been made to the existing rules where NGOs are required to declare the details of assets by March 31 of the financial year. The rules in existence since 2011, were last amended in 2022.

The details required to be filled in a form are — description of the assets, size and location of the immovable asset such as land, building etc, value of the movable assets at the beginning of the financial year, value of assets acquired and disposed during the financial year, and value of movable and immovable assets as per the balance sheet at the end of the financial year.

shyam lal (Querist) 15 August 2024
In continuation.
A religious minority society(christian) wants to amend the Memorandum of society and induct a non minority(hindu) as one of the member of the society .Query..is this legal/permissable..whie thanking you for the previous reply.

T. Kalaiselvan, Advocate (Expert) 15 August 2024
The minority society is recognized by its community status hence it may not be logic nor it would be legally valid to include a non minority person as a member of the minority institute, you may go through the bylaws of the society in furtherance.

kavksatyanarayana (Expert) 15 August 2024
The society shall amend the rules and regulations but not the Memorandum (memorandum the party of the bylaw is meant for aims and objects and certificates under non-profit and non-agitations etc. In the 2nd part of the bylaws(rules and regulations), there will be clauses for joining the society as a member and electing an Executive Body. To amend the clause concerned and after approval of the amendment by the Registrar of Societies, other than minority members may be allowed to join the society.

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