The new Foreign Contribution (Regulation) Act, 2010 (FCRA) and Foreign Contribution (Regulation) Rules, 2011 (FCRR) together form one document dealing with the provisions of the foreign contributions. It has the twin objectives of regulating the foreign contributions to enforce compliance of the provisions of the Act, as well as its proper utilization for the purpose for which it was received. It is an internal security law under the Ministry of Home Affairs and hence it is concerned about the national security and law and order in the country.
What is a foreign contribution?
Any donation in cash or kind from a foreign source comes under foreign contribution. A donation or contribution has to be made freely without any consideration or expecting anything in return. Thus, any donation, in cash or kind, irrespective of the currency in consideration, received from a foreign source is a foreign contribution. Thus, any donation received from a foreign individual or foundation, in Indian or foreign currency, will be treated as foreign contribution.
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Fr Alex Gnanapragasam SJ