The central government's notification tightening the rules for non-governmental organizations (NGOs) and social institutions in the country for accepting and utilising foreign funds has drawn widespread criticism. The gazette notification issued on June 22, amending the provisions of the Foreign Contribution Regulation Act (FCRA), is intended to ensure transparency in the use of foreign funds and prevent misuse, but the agenda clearly goes beyond that. A glance at the notification reveals that this is a new move by the Centre to impose strict restrictions on the freedom of operation of non-governmental social service institutions and, thereby, on minorities in the country. The 2011 Act has been amended in two main respects: the first concerns the details of the activities of the organisation. The objectives and areas of work of NGOs must be submitted to the government with greater precision. The second concerns the penalties for violations. Although technically this may seem like merely a statutory amendment, the devil is in the detail: the hidden dangers and Hindutva agenda become apparent in the details.
The FCRA was introduced by Indira Gandhi in 1976. In 2010, the second UPA government renewed it. Since then, the law has been amended nine times. With each amendment, the agenda of tightening the noose around NGOs became more evident. Finally, an amendment to the law was introduced during the recent Budget session as the "last nail". The bill, which was introduced with the aim of restricting NGOs, could not be taken forward because of opposition protests. Now, it has been imposed through a backdoor amendment through changes in the rules. Although the provisions of the notification directly refer to NGOs, the objective is different. Minority groups have registered voluntary organisations and run hospitals, educational institutions and publishing houses. Beyond mere ideological propagation, they all proceed as a social mission. These initiatives have brought about major changes in the health and education sectors in the country. That is why international organisations ranging from Oxfam to the World Health Organization work with such NGOs. It is also because of this social commitment that NGOs are able to secure funds from abroad. However, the ruling class has, from the very beginning, viewed such social organisations, which complement the government's activities, with suspicion, and there have always been attempts to bring them to a halt. After the Narendra Modi government came to power in 2014, this stance took on a different dimension. It created a narrative that NGOs generally work against national security. Hindutva organisations also joined in portraying them as part of an international conspiracy for religious conversion. The new amendment to the law is a continuation of all this.
Previously, organisations could accept foreign funds by citing general social objectives. There was no problem in utilising them anywhere in India, subject to proper auditing. But that is no longer the case. Only activities selected from among the 105 activities identified by the central government in five areas in a drop-down list — religion, culture, education, social welfare and economic activities — will be accepted. Along with activity reports and annual accounts, social media accounts, websites, publications, articles written in newspapers, and information about major donors must also be submitted. This is certainly a way to prevent writings and speeches that go against the interests of the central government. There is also a provision to cancel licences and impose heavy fines on those who engage in activities against the rules. Through this amendment to the rules, the government has opened multiple avenues to prevent the continued functioning of NGOs. The licence can be renewed for the following year only if the government is convinced that 75 per cent of the amount received in the first year has been spent. This is often not possible. The government can also cancel the licence of NGOs if they are found to be "inactive". Any voluntary organisation that writes or speaks against the government can be shut down with this whip. Another more dangerous provision concerns "religious conversion". The amendment states that 'religious conversion' must not be carried out using foreign funds. At the same time, it permits the use of foreign funds for activities such as the construction of places of worship, religious instruction, meditation, sermons and the promotion of devotional songs. While "religious conversion" can be interpreted in many ways, it remains unclear how the government will approach this issue.
All the health and educational institutions run by minority groups in the country are worried about the new amendment. Various minority groups are protesting against it. It is reassuring that opposition parties have taken up these protests. However, it is doubtful whether the protests of opposition parties, fragmented for various reasons, will be reflected significantly either inside Parliament or outside.