FIR filed against Oxfam India for FCRA violation

The Union home ministry had, on April 5, ordered a CBI probe into the foreign funding and utilisation of the Indian arm of Oxfam, which works for the rights of tribal people, Dalits, Muslims, women and girls.

The Central Bureau of Investigation (CBI) has registered a case against Oxfam India and its office bearers for alleged violation of the Foreign Contribution Regulation Act (FCRA) and carried out searches at its Delhi office, people familiar with the development said on Wednesday.

In its reference to the CBI, the MHA (ministry of home affairs) stated that even though Oxfam India’s FCRA registration is ceased, the organisation “planned to circumvent FCRA by routing funds through other routes”. (AFP)

The Union home ministry had, on April 5, ordered a CBI probe into the foreign funding and utilisation of the Indian arm of global non-government organisation (NGO) Oxfam, which works for the rights of tribal people, Dalits, Muslims, women and girls across the country. The government had earlier, on December 31, 2021, denied renewal of its FCRA licence.

The federal anti-corruption probe agency registered a first information report (FIR) naming Oxfam India and its office bearers on Monday under multiple sections of the FCRA, but the FIR was made public on Wednesday, when searches were conducted.

HT reached out to Oxfam India but there was no comment from the organisation till the time of going to press.

A criminal probe by the CBI against Oxfam came over seven months after the income tax department conducted a survey against the organisation and found various anomalies in receiving foreign funds and their usage.

In its reference to the CBI, the MHA (ministry of home affairs) stated that even though Oxfam India’s FCRA registration is ceased, the organisation “planned to circumvent FCRA by routing funds through other routes”.

Besides, citing emails found by the I-T department, the MHA stated that “Oxfam India has been planning to pressurise the Indian government for renewal of FCRA through foreign governments and foreign institutions”.

“The Oxfam India has the reach and influence to request multinational foreign organisations to intervene on its behalf with the government of India. This exposed the Oxfam India as a probable instrument of foreign policy of foreign organisations or entities which have funded the Oxfam India deliberately over the years,” the MHA said in its communication, adding that such conduct violates the FCRA.

The MHA letter, reviewed by HT, is part of the CBI FIR.

The ministry has further said that if the CBI finds during its probe any violations of specific statutes like the Income Tax Act, the Prevention of Money Laundering Act (PMLA), etc, then it may refer the matter to the competent authorities dealing with such matters. The I-T department’s investigation wing deals with matters related to tax while the Enforcement Directorate (ED) handles money-laundering cases.

The CBI has further claimed that Oxfam India routed funds of its foreign affiliates such as Oxfam Australia and Oxfam Great Britain to certain NGOs and exercised control over the project.

“From the email found during I-T survey by the CBDT (central board of direct taxes), it appears that Oxfam India is providing funds to the Centre for Policy Research (CPR) through its associates/ employees in the form of commission. The same is also reflected from the TDS data of Oxfam India which shows payment of ₹12.71 lakh to CPR in the FY 2019-20...” it adds.

It said the organisation got FCRA registration to carry out social activities, but payment made to the Delhi-based think tank CPR through its associates or employees in the form of commission -- professional or technical services -- is not in line with its stated objectives.

The agency also said that Oxfam received ₹1.50 crore foreign funds in its foreign contribution utilisation account instead of the designated FCRA account.

The organisation previously said it is fully compliant with the Indian laws and has filed all its statutory compliances, including Foreign Contribution Regulation Act (FCRA) returns, in a timely manner since its inception.

“Oxfam India has been cooperating with all government agencies since its FCRA registration wasn’t renewed in December 2021. We have filed a plea in the Delhi High Court against the decision to not renew our FCRA registration. The High Court has asked the Union government to respond to our plea,” Oxfam India said in a statement earlier this month.