FCRA Amendment Bill, 2026 Introduced in Lok Sabha

The Centre introduced the Foreign Contribution (Regulation) Amendment Bill, 2026 in the Lok Sabha amid Opposition protests. The Bill seeks to strengthen control over foreign-funded non-profits by creating a designated authority to seize, manage and dispose of assets in cases where an organisation loses its FCRA licence. It also proposes vesting foreign contribution and assets created from such funds in specified circumstances, including cancellation, surrender or cessation of registration.

Key Provisions of the Bill

• The Bill provides for a designated authority to take control of assets linked to foreign contribution.
• It covers cases of cancellation, surrender or cessation of FCRA registration.
• It aims to regulate the vesting, management and disposal of such assets.
• It also seeks to tighten oversight of foreign funds received by registered entities.

Concerns Raised by the Opposition

• Opposition members argued that the Bill gives excessive powers to the executive.
• They said essential matters are left to rules framed by the Central Government.
• Concerns were raised over possible violation of Article 300A on property rights.
• Questions were also raised on Article 14 due to the scope for selective enforcement.

FCRA Framework and Amendments

The Foreign Contribution (Regulation) Act, 2010 governs the acceptance and use of foreign contribution and foreign hospitality. It came into force on 1 May 2011 and has been amended in 2016, 2018 and 2020. The law is intended to ensure that foreign inflows do not harm national interest, public order or national security. Around 16,000 associations are currently registered under the Act and receive about Rs 22,000 crore annually.

Government’s Position

The government said the Bill is meant to improve transparency and ensure proper use of foreign funds. It argued that action is necessary against entities misusing foreign contribution for unlawful activities, including forced religious conversion or personal gain. The government maintained that bona fide educational institutions and NGOs serving national interests will not be affected if they comply with the Constitution and Indian law.