NEW DELHI, Apr 6: The Union Ministry of Home Affairs (MHA) on Thursday recommended an investigation by the Central Bureau of Investigation (CBI) into the alleged violation of Foreign Contribution (Regulation) Act (FCRA) provisions by Oxfam India, one of the largest NGOs working on food, shelter and education of vulnerable groups.
The Oxfam India’s registration under the FCRA which enables an organisation to receive foreign funds was not renewed by the government in 2021 for alleged violation of its provisions.
Sources in the MHA said Oxfam India transferred foreign money to various entities even after the FCRA came into force which prohibits such transfers. The CBI investigation comes after Income Tax authorities on September 7, 2022 searched the offices of Oxfam India and Centre for Policy Research (CPR), one of the leading public policy think tanks.
Sources said emails found during the Income Tax department survey indicate that Oxfam India was planning to circumvent FCRA by routing funds to other associations or for-profit consultancy route.
One of these is the think tank Centre for Policy Research, whose FCRA licence was suspended by the Union Home Ministry in March last year. A suspension of the FCRA licence means an organisation cannot receive foreign funding. The government’s move was slammed by the opposition Congress and was raised by the UK at a bilateral meeting.
The sources said though Oxfam is registered to carry out social activities, it transferred funds to CPR through its associates and employees in the form of commission. “The same is also reflected from the TDS [tax deducted at source] data of the Oxfam India which shows payment of ₹12,71,188 to the CPR in the 2019-20 under section 194J.”
Sources said the IT survey also “exposed” Oxfam India as a probable instrument of foreign policy of foreign organisations or entities, which have funded the organisation liberally over the years. Oxfam India received foreign funds to the tune of ₹ 1.50 crore directly into its FC utilisation account, instead of receiving foreign contribution in designated FCRA account.
Oxfam’s FCRA licence was suspended in January last year, after which the organisation had filed a revision petition with the home ministry. Oxfam has also moved a petition in the Delhi High Court against the Ministry’s decision to not renew its FCRA registration.
In early 2022, the United Kingdom officials discussed foreign funding restrictions placed on Oxfam and other British NGOs, requesting the Ministry to reconsider its decision to deny Oxfam India’s registration renewal application.
(Manas Dasgupta)
