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41 NGOs banned from receiving foreign aid

November 16, 2010 14:42 IST
US dollarsForty one NGOs have been banned from receiving foreign contributions due to corruption or irregularities in utilisation of such funds received under Foreign Contribution (Regulation) Act, government said on Tuesday.

Minister of State for Home Mullappally Ramachandran said that on the basis of complaints received in the past and enquiries made, 41 NGOs or associations were prohibited from receiving foreign contribution.

"Thirty-five associations are placed in prior permission category and accounts of 11 associations are frozen. Besides, nine cases have been referred to CBI for detailed investigations for FCRA violations," he told Lok Sabha in a written reply.

Of these nine cases, the Minister said, four are on trial, two are stayed by court, one has been closed due to insufficient evidence and one case is being scrutinised for prosecution sanction.

There has been conviction in one case. Ramachandran said Rs 10,802.67 crore (Rs 108.02 billion) in foreign contribution had been received by 20,088 associations in 2008-09 and Rs 9,663.46 crore (Rs 96.63 billion) by 18,796 organisations in 2007-08.

About Rs 7,877.57 crore (Rs 78.77 billion) were received by 18,570 associations across the country in 2005-06 and Rs 11,336.97 crore (Rs 113.36 billion) by 18,996 associations in 2006-07.

The minister said though a majority of registered NGOs have been submitting returns within the prescribed time, 13,574 registered associations did not furnish their returns within the prescribed time in 2005-06.

In 2006-07 and 2007-08, the number was 14,941 and 16,007
respectively.

"Action is being taken so that after due verification, the defaulting NGOs are notified and placed under 'prior permission' category," he said.

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