Non Government Organization or NGOs in India are governed by obsolete and opaque Societies Registration Act and therefore abused by all. This includes polititians, on top of all other. Foreign remittance to NGOs is governed by Foreign Contribution Regulation Act. Every NGO has to apply for a licence to get foreign currency for a charitable purpose. NGOs have to file an annual return of expences with the licensing authority. 20000 NGOs failed to comply with this small requirement and therefore their licence was cancelled in last 4 years. In enquiry of several NGOs these were found to be hiring journalists in the name of study and funding protests. Now the Government has decided to tighten noose around these NGOs.

FCRA amendment

The amendment makes Aadhaar (biometric) mandatory for all the office bearers of an NGO seeking foreign donations, prevents transfer of foreign contributions to any other person unless they also possess FCRA certificate, enables the Centre to allow an NGO to surrender its FCRA certificate. It also bars public servants from receiving funds from abroad through the conduit of NGO.