NECARF urges JPC to withdraw FCRA amendment Bill over proposed asset-vesting powers

New Delhi, October 3, 2026: The North East Catholic Research Forum (NECARF) has urged the Joint Parliamentary Committee (JPC) examining the Foreign Contribution (Regulation) Amendment Bill, 2026, to recommend its withdrawal unless provisions concerning the vesting of foreign-funded assets and other powers are removed.

In a representation dated October 2 to JPC chairman Dr Sanjay Jaiswal, NECARF said it supported greater accountability, transparency and financial discipline in the use of foreign contributions but raised concerns over provisions that could give a designated authority extensive powers over an organisation’s foreign contributions and assets following cancellation, surrender or cessation of its FCRA registration.

The Forum said the proposed provisions could have implications for charitable and social organisations across communities, with minority-run institutions potentially facing significant consequences.

Highlighting the contribution of Christian missionary institutions to education in Northeast India, NECARF cited institutions such as St Anthony’s College and St Edmund’s College in Shillong as examples of organisations that have played a longstanding role in the region’s educational development.

A major concern raised by the Forum is the proposed insertion of Chapter IIIA, including Section 16A, which provides for the provisional vesting of foreign contributions and assets in specified circumstances.

NECARF argued that the provision could result in assets created partly from foreign contributions and partly from other sources being vested wholly in the designated authority. It called for independent judicial scrutiny before such vesting takes effect, rather than leaving the initial decision to the designated authority.

The Forum also questioned provisions that would allow the authority to manage an organisation’s activities in the “public interest”, saying the language could confer broad administrative discretion. It further opposed provisions relating to the permanent vesting of assets following the surrender or non-renewal of an FCRA certificate.

On investigations, NECARF objected to a proposed requirement for prior Central Government approval before proceedings could begin for offences under the Act. It argued that the provision could restrict investigations, particularly where officials exercising powers under the proposed law are themselves involved.

The Forum noted that FCRA amendments in 2016, 2018 and 2020 had already introduced several measures concerning financial monitoring, restrictions on fund transfers, scrutiny of office-bearers and limits on administrative expenditure.

NECARF has asked the JPC to recommend withdrawal of the Bill unless the provisions it has challenged are removed. Its annexure specifically calls for retaining Section 15, dropping the proposed asset-vesting provisions, providing for independent judicial scrutiny and reconsidering restrictions on investigations.

By Catholic Connect Reporter