Amendments to FCRA Rules Spark Controversy, Congress Calls for Withdrawal

NEW DELHI: Congress leader KC Venugopal has termed the recent amendments to the Foreign Contribution (Regulation) Act (FCRA) rules as measures that are intended “not to regulate but to strangulate” independent civil society. Venugopal made this statement in a letter to Prime Minister Narendra Modi on Thursday, urging the government to retract these modifications.

He labeled the newly introduced rules an “overt and systemic assault on India’s civil society,” cautioning that they would have detrimental financial and operational effects on non-governmental organizations (NGOs) that provide essential services to marginalized communities across the country.

In a similar vein, CPM MP John Brittas has voiced his concerns by writing to Union Home Minister Amit Shah, also demanding the retraction of these rules.

Venugopal highlighted that these amendments appear to compensate for the withdrawal of the FCRA bill during the recent Budget session of Parliament. He expressed that if these rules are accepted, they would transform independent civil society into a “terrified government-controlled echo chamber.”

Concerns Over Government Restrictions

The Congress MP criticized specific provisions in the rules, which require NGOs to select their activities from a rigid, government-mandated list and impose restrictions on their operational regions. He labeled the imposition of a separate fee for each additional state or category as “nothing short of an administrative toll tax designed to discourage pan-India social work.”

Brittas also raised objections regarding the inclusion of the term “proselytisation” in connection with religious activities, noting that it lacks a clear definition in the FCRA or in the recent amendments. He criticized the expanded disclosure requirements imposed on FCRA-registered organizations, warning that it would extend beyond mere financial accountability and lead to an “extensive compliance and surveillance architecture.”