‘US has similar laws’: Indian envoy Vinay Kwatra clarifies FCRA Bill, shares ‘myth vs reality’ check

Kwat a
issued
a
“Myth
vs.
Reality
check”
o
the
p oposed
FCRA
Ame dme t
Bill.

NEW
DELHI:
I dia’s
Ambassado
to
the
US
Vi ay
Moha
Kwat a
o
Mo day
defe ded
the
p oposed
ame dme ts
to
the
Fo eig
Co t ibutio
(Regulatio )
Act
(FCRA),
sayi g
the
cha ges
a e
aimed
at
imp ovi g
t a spa e cy,
gove a ce
a d
ove sight
of
fo eig
fu ds.I
a
se ies
of
posts
o
X
o
Mo day,
Kwat a
issued
a
“Myth
vs.
Reality
check”
o
the
p oposed
FCRA
Ame dme t
Bill,
2026,
amid
co ce s
aised
by
sectio s
of
civil
society
a d
a
US
lawmake
ove
the
legislatio .

Kwat a
said
egulati g
fo eig
fi a cial
flows
i
public
a d
political
spaces
was
a
sove eig
measu e
d ive
by
atio al
secu ity
co ce s
a d
was
commo
i
seve al
democ acies.“T uth:
Regulatio
of
fo eig
fi a cial
flows
i
public
a d
political
spaces
is
a
sove eig
step
d ive
by
atio al
secu ity
co ce s.
It
is
a
accepted
featu e
of
mode
gove a ce
i
ma y
democ acies
a ou d
the
wo ld,”
he
said.Respo di g
to
the
claim
that
I dia
was
f ami g
a
ew
law
to
cut
off
fo eig
aid
to
civil
society,
Kwat a
said
the
p oposed
legislatio
did
ot
p ohibit
I dia s
f om
eceivi g
fo eig
do atio s
o
seek
to
shut
dow
law-abidi g
o ga isatio s.“The
fact
is
that
the
law
does
ot
fo bid
I dia s
f om
eceivi g
fo eig
do atio s
o
shut
dow
law
abidi g
civil
society.

Te s
of
thousa ds
of
associatio s
a e
egiste ed
u de
FCRA
a d
outi ely
eceive
fo eig
fu ds
fo
health,
educatio ,
disaste
elief,
esea ch
a d
huma ita ia
wo k,”
he
said.Kwat a
said
the
FCRA
was
fi st
e acted
i
I dia
i
1976
a d
eplaced
by
a
ew
f amewo k
i
2010.
It
was
subseque tly
st e gthe ed
th ough
ame dme ts
i
2016,
2018
a d
2020.“The
2026
Bill
a d
Rules
a e
the
ext
step
i
the
same
di ectio :
mo e
t a spa e cy,
bette
gove a ce,
clea e
ules,”
he
said.‘FCRA
does
ot
ta get
a y
eligio ’Kwat a
also
ejected
allegatio s
that
the
FCRA
ame dme ts
“specifically
ta get
a
pa ticula
eligio
o
commu ity.”“T uth:
Nothi g
could
be
fa the
f om
it.
The
Act
applies
u ifo mly
to
all
o ga isatio s
ega dless
of
eligio ,
commu ity
o
ideology,”
he
said.He
added
that
faith-based
welfa e
activities,
i cludi g
eligious
educatio ,
mai te a ce
of
places
of
wo ship
a d
cha itable
wo k
by
o ga isatio s
of
all
faiths,
would
co ti ue
to
be
eligible
fo
fo eig
fu di g.‘Fo eig
mo ey
i flows
have
bee
isi g’Kwat a
also
ejected
claims
that
the
FCRA
had
adve sely
affected
NGOs
a d
cha itable
o ga isatio s
o
that
the
p oposed
ame dme ts
would
fu the
est ict
thei
ope atio s.“T uth:
I
eality,
fo eig
mo ey
i flows
i to
I dia
have
bee
isi g,
ot
falli g.
Fo eig
co t ibutio s
to
egiste ed
o ga isatio s
g ew
f om
oughly
$1.2
billio
i
2010–11
to
$2.67
billio
i
2024–25,”
he
said.He
said
I dia
has
mo e
tha
3
millio
NGOs,
while
o ly
14,450
have
FCRA
egist atio ,
a gui g
that
the
ove whelmi g
majo ity
of
civil
society
o ga isatio s
fall
outside
the
ambit
of
the
Act.“FCRA
does
ot
stop
a yo e
f om
accepti g
fo eig
cha ity,
esea ch
g a ts
o
huma ita ia
aid.
It
asks
th ee
thi gs
—
egiste ,
eceive
the
mo ey
th ough
laid
dow
p ocess,
epo t
what
you
did
with
it,”
Kwat a
said.Add essi g
co ce s
that
the
p oposed
law
would
allow
the
gove me t
to
seize
assets
of
NGOs,
eligious
cha ities,
places
of
wo ship,
hospitals
a d
schools
depe de t
o
fo eig
do atio s,
Kwat a
said
the
p ovisio
ega di g
assets
was
ot
ew.“Whe
a
egist atio
is
ca celled
o
su e de ed,
fo eig
co t ibutio s
a d
the
assets
c eated
f om
them
al eady
vest
i
a
State
Gove me t
autho ity.
This
has
bee
i
fo ce
si ce
2010.
It
is
ot
ew,”
he
said.Acco di g
to
Kwat a,
the
2026
Bill
p oposes
to
c eate
a
desig ated
autho ity
to
safegua d
such
assets
a d
also
p ovides
a
mecha ism
fo
thei
etu
if
a
o ga isatio
esto es
its
FCRA
egist atio .“What
the
2026
Bill
adds
is
a
desig ated
autho ity
to
safegua d
those
assets
—
a d
a
way
back.
If
the
o ga isatio
esto es
its
egist atio ,
all
assets
a d
u used
fu ds
a e
etu ed
i
full,”
he
said.He
also
said
the
p oposed
legislatio
co tai s
specific
p ovisio s
fo
places
of
wo ship.“Places
of
wo ship
ca y
thei
ow
p otectio .
Whe e
a
ca celled
associatio
has
c eated
p ope ty
co ected
to
a
place
of
wo ship,
that
p ope ty
goes
to
a othe
FCRA- egiste ed
associatio
of
the
same
faith
to
e su e
co ti uity
of
wo ship,”
Kwat a
said.‘US
has
FARA,
FATCA’Kwat a
also
dismissed
the
a gume t
that
I dia
was
a
outlie
i
egulati g
fo eig
fu di g,
poi ti g
to
simila
laws
i
othe
cou t ies.“T uth:
The
US
has
had
FARA
si ce
1938
a d
FATCA
si ce
2010.
Aust alia
legislated
i
2018,
Ca ada
i
2024.
The
UK’s
scheme
came
i to
fo ce
i
July
2025.
The
EU
is
legislati g
ow,”
he
posted
o
X.

His
comme ts
came
days
afte
a
US
lawmake
aised
co ce s
ove
the
p oposed
FCRA
ame dme ts,
claimi g
that
the
legislatio
could
allow
the
I dia
gove me t
to
take
co t ol
of
chu ches
a d
cha ities.The
FCRA
Bill,
2026
p oposes
to
empowe
the
gove me t
to
c eate
a
“Desig ated
Autho ity”
to
take
ove
the
ma ageme t
of
fo eig
co t ibutio s
a d
assets
c eated
usi g
such
co t ibutio s
whe
a
o ga isatio ‘s
FCRA
egist atio
is
ca celled,
su e de ed
o
ceases
because
it
is
ot
e ewed.The
Bill
also
states
that
whe e
such
assets
co stitute
a
place
of
wo ship,
the
Desig ated
Autho ity
must
e su e
that
its
eligious
cha acte
is
mai tai ed.

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