MHA Issues New Directive: NGOs Must Report Leadership Changes Within 45 Days https://indiacsr.in/mha-issues-new-directive-ngos-must-report-leadership-changes-within-45-days/ The new directives issued by the MHA are a step toward ensuring transparency and accountability within India’s NGO sector.
Several prominent NGOs, whose FCRA license renewals or applications are pending, have recently undergone leadership changes. These include think tanks like the Center for Policy Research, which had its FCRA license revoked earlier this year due to alleged regulatory violations. The institute has since challenged the decision in court. Similarly, the Institute of Economic Growth saw its license canceled for non-compliance but was later reinstated after submitting necessary documents.
In addition to reporting changes in leadership, the MHA has directed NGOs to maintain an investment register. This register should contain all details of foreign funding transactions, which may be requested for audit by the MHA at any time. “This requirement ensures a transparent record of funding, facilitating MHA’s monitoring of foreign fund utilization,” the ministry stated. This directive is intended to hold NGOs accountable for their funds and ensure that they are used effectively for legitimate purposes.