The Administrative Reforms Committee (ARC) has suggested monitoring all foreign donations that are over Rs10 lakh.
The aim is to curb funding of terrorist organisations
NEW DELHI: The Administrative Reforms Committee (ARC) has suggested monitoring all foreign donations that are over Rs10 lakh. The ARC, headed by veteran Congress leader Veerappa Moily, favoured the proposed amendments in the Foreign Contribution (Regulation) Act, 1976, which aims to make the law on donations more stringent after getting evidence of terror groups in India receiving foreign funding.
In 2005-06, 99 organisations had received contributions above Rs10 crore as compared to 70 organisations in 2004-05 and 57 in 2003-04.
The commission, in its 9th report called Social Capital — A Shared Destiny, acknowledged that several voluntary organisations were receiving donations from foreign sources, which were probably used for purposes that can adversely affect national interest. The committee also exempted those who receive an annual foreign contribution of less than Rs10 lakh from registration and other formalities so that smaller organisations are not hassled.
The ARC has also recommended lighter compliance requirements for organisations that receive meagre funds. However, these organisations will have to file annual income-tax return indicating the foreign contribution received and its utilisation.
And in case of suppression or misrepresentation of facts, these organisations will be investigated and penal provisions will be used against them in case of violations.
The committee also favoured decentralisation of FCRA functions and delegating it to the state governments for speedy disposal of registration petitions, close monitoring of their activities and scrutiny of returns.
The ARC mooted a system of accreditation and certification of voluntary organisations, which would seek funds from government agencies. It also suggested the setting up of a National Accreditation Council and a new legal framework for societies, trusts, charitable institutions, wakfs and endowments for this purpose. It said suggested a new governance structure in the form of a three-member Charities Commission in each state and a Charities Tribunal at the state-level.
On the issue of corporate social responsibility, the committee observed that there need for mutual consultation between corporate houses and local governments so that there was no overlapping with other similar development programmes in the area.
Endorsing the recommendations of the National Knowledge Commission on taking away the professional education from the domain of existing regulatory bodies like Medical Council of India, Bar Council of India and Council of Architecture, ARC also wants bodies like All India Council for Technical Education to be abolished and the professional education to be handed over to specially created agencies - one for each stream.
These bodies can be called National Standards and Quality Council for Medicine, National Standards and Quality Council for Management. These new regulatory bodies would set up new institutions, curriculum, research and faculty management.
The committee also favoured periodic re-evaluation and professional updating of professionals like doctors, engineers, architects and chartered accountants.
“When technology, standards of skills and the functional environment are changing rapidly, obtaining just a degree is not enough to sustain professional competence for a lifetime. There needs to be statutory provision that a registration/license will require revalidation/ recertification at specified intervals,” the report said.
p_vineeta@dnaindia.net
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