Lok Sabha passes FCRA Bill 2020 after heated debate on 'mandating' Aadhaar registration

After a heated debate, the Lok Sabha on Monday passed the Foreign Contribution (Regulation) Amendment Bill, 2020 (FCRA).  The Bill which was introduced by Finance Minister (MoS) Nityanand Rai on Sunday, amends the Act regulating the acceptance and utilisation of foreign contribution by individuals, associations, and companies. The Act was previously amended by the UPA government in 2010 - tightening regulations regarding donations or transfer of any currency, security or article.

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Key features of the Bill (according to PRS)

• Prohibition to accept foreign contribution: The Bill prohibits public servants apart from election candidates, editor or publisher of a newspaper, judges, government servants, members of any legislature, and political parties from accepting foreign contributions.
• Transfer of foreign contribution: The Bill prohibits transfer of foreign contribution to any other person by any individual, an association, or a registered company.
• Aadhaar for registration: The Bill states that any person seeking prior permission, registration or renewal of registration must provide the Aadhaar number of all its office bearers, directors or key functionaries, as an identification document.  In case of a foreigner, they must provide a copy of the passport or the Overseas Citizen of India card for identification.
• Reduction in usage of funds: The Bill restricts use of foreign contribution for administrative purposes to 20%
• Other features include - restricting contributions only to one FCRA account, government restriction on usage of unutilised funds, renewal of licence after government inquiry,  surrender of certificate after govt approval and suspension of registration upto 360 days.

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Arguments in the Lok Sabha

Defending the restrictions proposed in the Bill, Rai said that while the Supreme Court has not made Aadhaar Card mandatory for identifying oneself, a law can make it mandatory. Questioning the need of officials to hide their identity, he said, "It casts suspicion on their intention. Why is Aadhaar Card being opposed?". Questioning the integrity of a company which wishes to 'hide' its identity, Rai added, "If you can't disclose your address, what work will you do?".

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Meanwhile, BJP MP SP Singh pointed out that government and intelligence reports showed how insurgency increased in the North-East with money under FCRA. Singh also stirred a controversy alleging that the burning of activist Graham Staines and his two children was due to people's suspicion that he was converting tribals - which was confirmed by a CBI probe. He also alleged that insurgency in North-East had led to the rise of a 'particular religion'.

Slamming Singh's comments, NCP MP Supriya Sule asked, "As a retired Police from Maharashtra, what example did he give?". She added that due to one bad NGO, it was not justified to burn people under any law. At the end of the debate, Sule also lauded the Finance Ministry for working on Bills which bettered the current situation, inspite of a pandemic.

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