Government of India’s New Strict requirements for Foreign Contribution Receipt Act Certificate (FCRA) and Maharashtra Foundation’s Action Plan.

Background :

Under the new anti-terrorist measures, the Government of India has made it mandatory that all charitable Organizations in India, receiving foreign originated funds must have a valid FCRA certificate. Government of India also has enforced that receiving a foreign funding via a pass-through organization having valid FCRA is also prohibited. As many organizations receiving donations from MF do not have the required FCRA certificate MF has needed to take some decisive action. MF has decided as a policy not to send funds in US$ to any organization that does not have an active FCRA certification.

Additionally, the U.S. government has increased the scrutiny of organizations sending dollars to charitable organizations, to prevent the diversion of charitable funds to the wrong organizations.

How does it affect Maharashtra Foundation?

Every year MF sends donations in dollars to over 100 organizations and ensures that the donations are sent only to NGOs with a valid FCRA certificate.

It is the primary responsibility of the recipient organization to obtain the FCRA, it is also a pro-active responsibility of the donor organization like MF to make sure that the recipient NGO has a valid FCRA before sending the donation.

Click here : http://fcraonline.nic.in/fc8_statewise.aspx to check whether the charitable organization you are considering for donation has a valid FCRA certificate.