The state government may monitor the income of charitable trusts irrespective of the sector they are working in. The BJP-led government plans to make it mandatory for charitable trusts to inform the charity commissioner’s office before accepting any money.
The state wants to amend the Maharashtra Public Trust Act and the proposal for this is awaiting the state cabinet’s approval.
According to the proposal, all types of charitable trusts will have to inform the deputy or assistant charity commissioner before taking any monetary contribution, a source said.
The amendment will allow the state to monitor the income of all charitable trusts and ensure the donated amount is spent for the specified cause only. This will also stop misuse of the money and curb corruption in this sector, said a senior state official.
It also proposes punishment for offenders.
The guilty will have to face imprisonment of up to three years and fines of up to one-and-a-half times the contribution taken from a donor or donors, said a source.
The state’s move comes after the Centre decided to change Rule of Foreign Contribution (FCRA) allowing the Union home ministry to monitor usage of funds the NGOs receive. The central government has made it mandatory for NGOs to maintain their contributory accounts in banks that offer core banking.