5,922 NGOs might lose licence to get foreign funds

New Delhi: Home ministry is likely to cancel the licences of as many as 5,922 NGOs which permits them to receive foreign contribution after their failure to file their annual return for three or over three years. The ministry has issued a final showcause notice to these NGOs asking why their registration under the Foreign Contribution (Regulation) Act, may not be cancelled.

Nearly 6,000 NGOs could lose their licence to receive foreign donations with the home ministry serving them showcause notices for not filing annual income and expenditure records for five consecutive years, an official said on Monday.

The ministry has issued a final showcause notice to these NGOs asking why their registration under the Foreign Con-tribution (Regulation) Act (FCRA), may not be cancelled for having failed to furnish their annual returns from the year 2010-11 to 2014-15.

Ministry officials claimed that all NGOs were given an opportunity in May this year to furnish their annual returns for the said period within a month’s time, staring May 15, without paying any penalty or compounding fees. This was followed by sending regular mails and SMS alerts to the concerned organisations. But despite sufficient notice, it was

According to FCRA norms, it is mandatory for NGOs receiving foreign donation to file their annual return every financial year

observed that 5,922 such NGOs failed to furnish their annual returns for three or more years with the home ministry.

Since these organisations failed to file their returns despite repeated warning the home ministry has now issued a final showcause notice to them. In case, officials added, these NGOs fail to respond even now, their registration under FCRA would be cancelled and the organisations will not be able to receive any foreign contributions.

According to FCRA norms, it is mandatory for NGOs receiving foreign donation to file their annual return every financial year within a stipulated timeframe of nine months starting April 1.