The application has to be made into the Ministry of Home Affairs.
A commitment letter from the donor agency has to be enclosed.
A copy of the project report showing the gestation period to be enclosed. In actual practice, the Central Government does not give prior permission to an association with a standing of fewer than three years.
In order to obtain prior permission, an association will have to submit form duly filled up in triplicate and will have to enclose the following documents. Certificate of NGO Registration issued by the Registrar of the Societies. Memorandum of Association & Rules and Regulation of Society, Registered trust deed charter. Letter of commitment as to grant from foreign donor agreeing in principle to provide funds to the Society as per project report.
Project profile for which foreign contribution is desired specifying the purpose geographical area details of beneficiaries and amount required both for capital and recurring expenditure for implementation of the project. Audit Report & Balance Sheet of Accounts of association for the previous three years orfor the year ended. Report on the activities of the association from the date of registration.
Copy of exemption certificate issued to the association.
an exemption certificate issued to the association
The Foreign Contribution (Regulation) Act, 1976 (FCRA) was enacted in the year 1976. The act is now replaced by the Foreign Contribution (Regulation) Act, 2010 applicable from 1st May 2011. The prime objective of the Act is to regulate the acceptance and utilization of foreign contributions. The focus of this Act is to ensure that the foreign contribution is not utilized to affect or influence electoral politics, public servants, judges and other people working the important areas of national life like journalists, printers and publishers of newspapers, etc. The Act also seeks to regulate a flow of foreign funds to voluntary organizations with the objective of preventing any possible diversion of such funds towards activities detrimental to the national interest and to ensure that such individuals and organizations may function in a manner consistent with the values of the sovereign democratic republic.
No FCRA should be transferred to an association which has not obtained either prior permission or registration under FCRA or to any person or association, prohibited under the act from receiving any FCRA. However, if the foreign contribution is proposed to be transferred to a person who has not been granted a certificate of registration or prior permission by the Central Government, the person concerned may apply for permission to the Central Government to transfer a part of the foreign contribution, not exceeding ten per cent, of the total value of the foreign contribution received.
The application shall be countersigned by the District Magistrate having jurisdiction in the place where the transferred funds are sought to be utilized. The District Magistrate concerned shall take an appropriate decision in the matter within sixty days of the receipt of such request from the person. The donor shall not transfer any foreign contribution until the Central Government has approved the transfer. Any transfer of foreign contribution shall be reflected in the returns in Form FC-6 as well as in Form FC-10 by the transferor and the recipient.
