http://scroll.in/article/811436/indian-government-is-targetting-ngos-yet-again-claim-non-profit-workers

NGO REGULATIONS

Indian government is targetting NGOs yet again, claim non-profit workers

Office bearers of non-profit organisations will now be considered
'public servants' under Lokpal, and have to declare all their assets
publicly.

2 hours ago
Updated 2 hours ago

Aarefa Johari

Should board members and trustees of non-profit organisations be
treated as “public servants” if they are partially funded by the
government? If NGOs receive foreign funding, should their office
bearers be made to declare their assets to the public?

India’s non-profit sector has been grappling with these questions for
more than two weeks, ever since the Union government issued a
notification to bring large numbers of NGOs under the Lokpal and
Lokayuktas Act of 2013. The notification, issued on June 20, specifies
that the Lokpal law will now apply to any registered society, trust or
non-profit organisation receiving annual government grants of Rs 1
crore or more, or receiving foreign funds worth Rs 10 lakh or more.
This would cover a large number of charitable organisations in India.

As “public servants” under this law, the office bearers of these NGOs
can be charged by the Lokpal in case of any corruption. But even when
there are no irregularities, the law requires them to declare their
assets in public, a clause that has irked several charitable
enterprises across the country.

Board members resigning

According to the government notification, all board members, trustees,
chairpersons and other office bearers of organisations governed by the
Lokpal have to declare their individual assets – as well as the
moveable and immoveable assets of their dependents – to the Union
Ministry of Home Affairs. Their deadline to comply with this rule is
July 31.

While some NGOs are still not aware of the new notification and its
implications, many charitable organisations are afraid of losing board
members and trustees working in an honorary position.

“I am upset about this rule because many of my board members are
industrialists, doctors or advocates who earn nothing from the NGO and
may not want to make their assets public,” said Meena Seshu, general
secretary of Sangram, a non-profit working for the rights of sex
workers in Maharashtra. Any registered trust or society needs at least
seven board members, and if some resign, Seshu is worried she would
find it difficult to get new members on board. “Why would people be
willing to come under scrutiny for doing nothing and just being
supportive? This is just an added complication for them.”

Pooja Taparia, founder of child rights NGO Arpan, believes people with
honest incomes have nothing to really worry about. “But some people
may not want to disclose their assets, and it would be unfortunate if
they stepped down from boards,” said Taparia. “That would be
unfortunate for the non-profit sector, which has benefited from the
involvement of people from the corporate sector.”

Board members of some non-profits – like Nawshir Mirza of the Centre
for Advancement of Philanthropy – have already announced their plans
to resign from their positions.

“Nobody is against transparency, but board members of NGOs are afraid
they would be vulnerable to extortionists if they disclose their
personal assets online,” said Noshir Dadrawala, the chief executive
officer of the Centre for Advancement of Philanthropy India. Dadrawala
has been conducting workshops with representatives of various
non-profits and has found many board members keen to now resign from
their roles because of the new rules.

“The government is attempting to specifically target NGOs,” he said.
“Why not enforce the same rules on private corporations, who receive
much larger amounts in foreign funding?”

Targeting non-profits?

Dadrawala is not the only one indignant about the manner in which
profit-making corporations have been kept out of the purview of the
Lokpal, particularly in the context of the crackdown on NGOs receiving
funds under the Foreign Contribution (Regulation) Act.

Just last month, the Union home ministry suspended the FCRA license of
non-profit Lawyer’s Collective for alleged discrepancies in its
foreign fund accounts, and cancelled the FCRA license of Teesta
Setalvad’s Sabrang Trust. Both organisations have been involved in
fighting cases on behalf of the victims of communal violence during
the 2002 Gujarat riots.

Last year, the government also cancelled the FCRA license of
Greenpeace India, an organisation agitating against environmental
violations in the country, while suspending licenses of hundreds of
other NGOs.

“Asking NGOs to follow the principle of transparency cannot be faulted
if it is done in a bona fide way,” said Harsh Mander, a social worker
and former bureaucrat. “But this measure comes behind a whole series
of very partisan attacks on the NGO sector, targeting those dissenting
against the economic model or the majoritarian politics of the
government.”

Excluding private companies from the same rules only compounds the
belief that the state is attempting to clamp down on dissenting civil
society organisations. “The state is encouraging the high
participation by foreign entities in for-profit enterprises, but we
see no attempt to institute similar measures with regard to non-profit
organisations,” said Mander.


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