It's raining funds in the government exchequer, after the Union home ministry has collected nearly Rs 5 crore in its kitty from fines imposed on NGOs receiving foreign funds, but failed to file annual returns regularly.
Sources in the ministry said that its a new initiative of imposing fines on recalcitrant NGOs, which are reaping benefits as far as the state exchequer is concerned .
After many NGOs, registered under the Foreign Contribution Regulation Act (FCRA), were found defaulted on filing annual returns, as mandated under the act, the FCRA division of the ministry decided to tighten the leash and impose strict fines on them.
Most of the NGOs skipped the required procedures despite repeated reminders sent by the ministry. Many of them had not filed returns for more than one year. Through the annual returns, the FCRA division gets a fair idea about the foreign aid coming into the country and for what purpose it is being used.
"All such NGOs getting foreign aid need to follow the procedure strictly, failing which their registration gets cancelled. But before doing that we send them reminders and keep extending deadlines for them to send in their replies" said a government official who refused to be named.
Now with the FCRA division going completely online, and even opening up a help desk to answer queries of NGOs and other organisations receiving foreign aid, the ministry feels a long rope has been given and those still defaulting must pay up.
"It's an automated system and the procedure is transparent. Whoever fails to meet the deadline will automatically come under scrutiny," said an official .
Recently, the home ministry updated the list of cancelled registration of several NGOs and organisations among whom institutions like IGNOU and ICMR had been included.
