Govt puts major NGO funder Ford Foundation under watch
Bharti Jain
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New Delhi:
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The Centre on Thursday placed US-based Ford Foundation on its watch list for allegedly funding organizations not registered under the Foreign Contributions Registration Act 2010 and for other activities flagged by central intelligence agencies.This means that Ford Foundation, an old and generous contributor, cannot extend financial assistance to any organization or individual without clearance from the Union home ministry .
The action comes weeks af ter the Gujarat government sought action against the agency for “direct interference...in internal affairs of the country and of abetting communal disharmony“. The state government alleged two of the beneficiaries, Sabrang Trust and Citizens for Justice & Peace associated with activist Teesta Setalvad, were “proxy offices of Ford Foundation for a long-term plan“.
Official sources referred to alleged FCRA violations and denied that the action was part of efforts to squeeze the space for NGOs, many of them critical of the Centre on issues like environment, human rights and use of nuclear energy. The action against Ford Foundation follows tough approach towards other foreign-funded NGOs like Greenpeace.
“In exercise of powers conferred under Section 46 of FCRA, 2010, Reserve Bank of India is requested to instruct all banks...to ensure that any fund flow from the above mentioned agency to any person, NGO, organization in India may be brought to the notice of this ministry ,“ the home ministry directed in a letter to the RBI.
Responding to an email from TOI, Ford Foundation said it was unaware of the government's action but would “respond fully to offi cial queries directed to us“.Maintaining that the founda tion's activities were transparent and in the public domain, it said, “We have been and continue to be deeply respectful of the laws of the and and, therefore, of the process now underway . We are confident in our work and compliance with the law and ook forward to the outcome of this inquiry.“
Top home ministry officials, however, justified the action against Ford Founda tion, which through its Delhi office has so far made grants worth over $508 million to nearly 1,250 institutions in India-Nepal-Sri Lanka region. “Intelligence reports said the donor was funding non-FCRA registered organi zations. There were other allegations too. “Given that Ford Foundation was not doing due diligence while making donations...we invoked our powers under FCRA and followed due legal procedure to put it on the watchlist,“ the official told TOI.
“Government organizations can avail of foreign funding only with clearance of the department of economic affairs...Any instance of government organization receiving funds directly from this agency may be withheld and brought to the notice of this ministry ,“ said the letter.
Earlier this month, the government suspended the FCRA registration of Greenpeace India citing several irregularities. The move was slammed by Greenpeace and NGO activists alike.
“In any case, we are not blocking its funds but only subjecting them to scrutiny ...this will not affect bona fide activities of Ford Foundation in India as MHA processes for prior clearance do not take much time,“ said the official.
Ford Foundation is the 16th international donor to be put under watch by the government. Others include Greenpeace International, Climate Work Foundation and CORDAID.
Ford Foundation was on the radar of intelligence agencies for long, with alleged grants to India Against Corruption associated with the Anna Hazare movement being subjected to scrutiny .
The action comes weeks af ter the Gujarat government sought action against the agency for “direct interference...in internal affairs of the country and of abetting communal disharmony“. The state government alleged two of the beneficiaries, Sabrang Trust and Citizens for Justice & Peace associated with activist Teesta Setalvad, were “proxy offices of Ford Foundation for a long-term plan“.
Official sources referred to alleged FCRA violations and denied that the action was part of efforts to squeeze the space for NGOs, many of them critical of the Centre on issues like environment, human rights and use of nuclear energy. The action against Ford Foundation follows tough approach towards other foreign-funded NGOs like Greenpeace.
“In exercise of powers conferred under Section 46 of FCRA, 2010, Reserve Bank of India is requested to instruct all banks...to ensure that any fund flow from the above mentioned agency to any person, NGO, organization in India may be brought to the notice of this ministry ,“ the home ministry directed in a letter to the RBI.
Responding to an email from TOI, Ford Foundation said it was unaware of the government's action but would “respond fully to offi cial queries directed to us“.Maintaining that the founda tion's activities were transparent and in the public domain, it said, “We have been and continue to be deeply respectful of the laws of the and and, therefore, of the process now underway . We are confident in our work and compliance with the law and ook forward to the outcome of this inquiry.“
Top home ministry officials, however, justified the action against Ford Founda tion, which through its Delhi office has so far made grants worth over $508 million to nearly 1,250 institutions in India-Nepal-Sri Lanka region. “Intelligence reports said the donor was funding non-FCRA registered organi zations. There were other allegations too. “Given that Ford Foundation was not doing due diligence while making donations...we invoked our powers under FCRA and followed due legal procedure to put it on the watchlist,“ the official told TOI.
“Government organizations can avail of foreign funding only with clearance of the department of economic affairs...Any instance of government organization receiving funds directly from this agency may be withheld and brought to the notice of this ministry ,“ said the letter.
Earlier this month, the government suspended the FCRA registration of Greenpeace India citing several irregularities. The move was slammed by Greenpeace and NGO activists alike.
“In any case, we are not blocking its funds but only subjecting them to scrutiny ...this will not affect bona fide activities of Ford Foundation in India as MHA processes for prior clearance do not take much time,“ said the official.
Ford Foundation is the 16th international donor to be put under watch by the government. Others include Greenpeace International, Climate Work Foundation and CORDAID.
Ford Foundation was on the radar of intelligence agencies for long, with alleged grants to India Against Corruption associated with the Anna Hazare movement being subjected to scrutiny .
