If NGOs resort to legitimate means of dissent, then you can't deprive it right to receive foreign funds: SC to Centre

If NGOs resort to legitimate means of dissent, then you can't deprive it right to receive foreign funds: SC to Centre

Big boost to NGOs in India

Sumit Saxena Updated: Saturday, March 07, 2020, 07:39 AM IST
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Supreme Court | Photo: ANI

New Delhi: In a significant development, the Supreme Court on Friday held that if an organisation is not involved in active or party politics, but supports public causes by resorting to legitimate means of dissent like 'bandh', 'hartals' etc., then it cannot be deprived of its legitimate right to receive foreign contributions. The court said the words "political interest" are vague and susceptible to misuse.

The ruling by a bench of Justices L. Nageswara Rao and Deepak Gupta came on a plea by NGO India Social Action Forum (INSAF), challenging the constitutional validity of Section 5 of the Foreign Contribution Act, which gave the Centre unchecked and unbridled powers to categorise virtually any outfit as "organisation of political nature, not being a political party", and thereby denying it the right to receive foreign contributions.

The top court observed that organisations which are not involved in active politics or party politics do not fall under the rules of FCRA. Establishing clarity on words "political interest", the top court said: "We are of the opinion that the expression 'political interests' in Rule 3 (v) (rules of FCRA) has to be construed to be in connection with active politics or party politics."

"It is clear from the provision itself that bandh, hartal, rasta roko etc., are treated as common methods of political action.

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