Shillong, Sept 17: The General Secretary of the United Democratic Party (UDP) Mr. T W Chyne has written to Mr. James K Sangma MP Rajya Sabha who was appointed member of the Joint Parliamentary Committee on the FCRA Bill 2026.
In the letter stated that the United Democratic Party, Meghalaya has carefully studied the proposed Foreign Contribution Regulation Amendment Act, 2026 and the FCRA Amendment Rules, 2026.
The UDP endorses the concerns raised by Church leaders of the State and the Chief Minister of Meghalaya regarding the potential impact of these amendments on the humanitarian, educational, health, and social service work carried out by our institutions.
While they support the need for transparency and accountability, regulation must not become strangulation. After consultations, the UDP submits the following key suggestions for consideration of the Joint Committee on the Foreign Contribution (Regulation) Amendment Bill 2026.
The suggestion put forwards from the UDP on the FCRA Amendment Bill, 2026, due Process in vesting of Assets-Sections 16A to 16H, automatic provisional vesting must be replaced with a court-supervised and reasoned process. No permanent vesting should take effect until all judicial appeals are exhausted. Charitable assets built over decades by minority institutions, Church properties and other ministries are dedicated to community purposes and must be protected.
Non-Retrospective Application-Section 16B, the vesting provisions should apply only to foreign contributions received on or after the commencement of the 2026 Act. Assets created prior to this date must be exempt. Retroactive application is unjust and disrupts long-standing community services.
Protection of Minority & Religious Institutions-Section 16A(7), Assets administered by minority educational and religious institutions, Church properties and ministries under their auspices should be exempt from vesting. Management must remain undisturbed to protect constitutional guarantees under Articles 25-30.
The party stated Safeguards for Sixth Schedule and Article 371 Areas-Section 16D, Provisions allowing sale/transfer of vested immovable property must not apply to Sixth Schedule Areas and States covered under Article371A to 371H. Any transfer must be in accordance with State land laws and with prior consent of the Autonomous District Council/State Government.
Rational Criteria for Registration-Section 12(4), Disqualification should be based on conviction by final judgment for serious offences directly related to foreign contribution, not on mere FIRs or pending prosecution.
Continuity During Suspension-Section 13(2)(c), During suspension, organizations must be permitted to use existing funds for salaries, rent, utilities, statutory dues and committed obligations to prevent closure of schools and hospitals.
Liability of Functionaries-Section 39,Criminal liability must be limited to functionaries who knowingly authorized or were negligent. Broad vicarious liability will deter qualified persons from serving on NGO boards.
The UDP has put up suggestion on the FCRA Amendment Rules, 2026, Exemption for Honorary Foreign Advisors-Rule 9(5), An exemption should be issued for non-executive, honorary foreign trustees and advisors of minority and educational institutions and Church ministries who have served for decades.
Flexible Purpose Categories-Rule9(1B) & FC-6F, Allow institutions to select “Umbrella” operational categories instead of 105 rigid micro-categories. This will prevent harassment and protect faith-based community outreach under Article 25.
Timely Clearance for Funds-Rule 9A, Field inquiry for 75% utilization must be completed within 30 days. If not, the next instalment should be deemed approved to avoid disruption of humanitarian projects.
Reasonable Activity Benchmark – Rule 14A For grassroots and minority institutions, domestic expenditure for the same charitable objectives should also be considered when determining “reasonable activity”, instead of the rigid ₹10 Lakh foreign fund benchmark.
The UDP believes that India’s strength lies in its diversity and in the service rendered by faith-based and voluntary institutions. We urge the Government of India to under take wider consultations with State Governments, Church bodies, ADCs and civil society before finalizing the amendments.
The Party strongly recommends that this amendment be referred to a Joint Parliamentary Committee of Parliament.
The UDP strongly endorses the demand of the Hon’ble Chief Minister, NGOs, all State Holders and Religious Institutions for a balanced, people-centric FCRA framework that safeguard both national integrity and the institutions that serve the poorest of the poor in Meghalaya and the North East, said Mr. T.W Chyne General Secretary UDP.
