New Delhi: The Centre has cancelled Commonwealth Human Rights Initiative (CHRI)’s Foreign Contribution Regulation Act (FCRA) licence citing alleged violations over 10 months after suspending it. The development means CHRI, which works on prison reforms, access to information, freedom of speech and civil and political rights in Commonwealth countries, will be unable to receive foreign funding.

People familiar with the matter said violations cited for the cancellation are similar to those cited for the suspension last year and include failure in submitting an annual return for 2018-2019 and details of the project for which the NGO received foreign contributions.
The violations also include instances where foreign contribution received in India was spent outside the country as well as providing consultation to an entity abroad and showing the fees charged for it as foreign contribution in its annual return, said an official, requesting anonymity.
The Centre suspended the licence for 180 days on June 7 last year. The suspension was later extended on December 1 last year for another 180 days. CHRI unsuccessfully moved the Delhi high court against the suspension.
CHRI director in charge Venkatesh Nayak said they will challenge the cancellation and are expected to issue a statement in a day or two over the Centre’s action.
{{/usCountry}}CHRI director in charge Venkatesh Nayak said they will challenge the cancellation and are expected to issue a statement in a day or two over the Centre’s action.
{{/usCountry}}FCRA was amended in September 2020 and barred public servants from receiving foreign funding. Aadhar was also made mandatory for every office-bearer of NGOs. The amended law also says organisations receiving foreign funds would not be able to use more than 20% of them for administrative purposes. This limit was 50% earlier.
The Union home ministry informed Parliament last month it has refused to renew FCRA licences of 466 NGOs since 2020 for not fulfilling the eligibility criteria. There were 100 refusals in 2020, 341 in 2021 and 25 till March this year, the ministry told parliament. Oxfam India’s application for renewal of its foreign-funding licence was rejected in December 2021. As of Tuesday, there were 16,895 FCRA registered organisations.