The home ministry has cancelled the registration of Bengaluru-based NGO Infosys Foundation for alleged violation of norms in receiving foreign grants, officials said on Monday. Infosys Foundation is the philanthropic arm of IT giant Infosys.
All non-government organisations (NGOs) are mandatorily required to be registered under the Foreign Contribution (Regulation) Act or FCRA to receive foreign funding.
The home ministry had last year served a show-cause notice to Infosys Foundation for failing to submit an annual income and expenditure statement on foreign funding for up to six years despite repeated reminders, officials said.
The registration was cancelled as Infosys Foundation allegedly did not file an income and expenditure statement on foreign funding for the past few years, they said.
As per FCRA guidelines, registered associations are required to submit electronically an online annual report with scanned copies of income and expenditure statement, receipts and payment account, balance sheet and other details for every financial year within nine months of the closure of the financial year.
Associations that do not receive foreign contribution during a particular year are also required to furnish a 'NIL' return for that financial year within the aforesaid period, read the guidelines.
When contacted, Infosys Foundation said its de-registration from the FCRA followed a request it proactively made to the ministry of home affairs.
"This (request) was done as the Infosys Foundation does not come under the purview of the FCRA following the amendment made to the act in 2016. We had approached the ministry to consider this, and thank them for granting our request," said Rishi Basu from the foundation's corporate marketing and communications division.
Established in 1996, Infosys Foundation supports projects in education, rural development, healthcare, arts and culture and destitute care.
also read
- Market cap tracker: Dalal Street crash bleeds Reliance Industries, HDFC Bank most among Top 10 firms
- Market cap tracker: Bharti Airtel, Infosys, TCS gain most among Top 10 firms; FMCG stocks lose sheen
- Did Infosys steal Cognizant trade secrets? Bengaluru IT major denies allegations after shocking US lawsuit
- Market cap tracker: How IT heavyweights TCS, Infosys emerged biggest gainers among Top 10 companies
According to the foundation's website, its mission is to work in remote regions of India. Sudha Murthy is the chairperson of Infosys Foundation.
The Union home ministry had last year served show-cause notices to at least 1,755 NGOs, including a few companies, for failing to submit annual income and expenditure statement on foreign funding for up to six years despite reminders.
