The Ministry of Home Affairs (MHA) has vide a Press Release dated 27.12.2021 has clarified that it did not freeze bank accounts of Missionaries of Charity (MoC). Rather it stated that the renewal application of MoC under FCRA for renewal of FCRA registration was refused due to ‘adverse inputs’. MHA did not elicit further details on ‘adverse inputs’ on which the renewal of the FCRA registration was denied to the MoC.
The MHA has stated that the renewal application under the Foreign Contribution Regulation Act, 2010 (FCRA) for the renewal of FCRA registration of Missionaries of Charity (MoC) was refused on 25th December 2021 for not meeting the eligibility conditions under FCRA 2010 and Foreign Contribution Regulation Rules (FCRR) 2011.
It further states that MHA has not received any request/revision application from the Missionaries of Charity (MoC) for review of this refusal of renewal.
The Missionaries of Charity Sisters (Mother Teresa’s Sisters or the Sisters of Mother Teresa, as many call us) is a religious community in the Catholic Church, founded by Mother Teresa of Calcutta (now St. Teresa of Calcutta) in 1950 in Calcutta, India. Our community is totally dedicated to the service of the poorest of the poor, irrespective of social class, creed or colour. We deliberately choose to show God’s concern for the poorest and the lowliest, remaining right on the ground, while offering immediate and effective service to those in need, until they can find someone who can help them in a better and more lasting way. (Source: Missionaries of Charity)
Missionaries of Charity (MoC) was registered under FCRA vide Registration No 147120001 and its registration was valid up to 31st October, 2021. The validity was subsequently extended up to 31st December 2021 along with other FCRA Associations whose renewal applications were pending renewal.
In the press release, MHA further states that while considering the MoC's renewal application, some adverse inputs were noticed. In consideration of these inputs on record, the renewal application of MoC was not approved. The FCRA registration of MoC was valid up to 31st December 2021.
There was news that the MHA has frozen the bank accounts of the Missionary. It was clarified that the MHA did not freeze any accounts of MoC. State Bank of India has informed that MoC itself sent a request to SBI to freeze its accounts.
As per the FCRA laws, the FCRA registration of an Organization is required to be renewed after every five years. As per section 16 of FCRA, 2010, every person who has been granted a certificate of registration under section 12 of the FCRA 2010 shall be required to renew such certificate within six months before the expiry of the period of the certificate.
The application for renewal of FCRA registration shall be required to be made in Form FC3C.
As per section 16(3) of the Act, the Central Government shall renew the certificate within 90 days from the date of receipt of an application for renewal of certificate subject to such terms and conditions as it may deem fit and grant a certificate of renewal for a period of five years.
It further provides that if the Central Government does not renew the FCRA registration certificate of the organisation within 90 days, it shall communicate the reasons to the applicant.
It also empowers the Central Government to refuse to renew the FCRA registration certificate in case where a person has violated any of the provisions of this Act or rules made thereunder.
In this case, the MHA has clarified that the renewal of FCRA registration of Missionaries of Charity was refused for not meeting the eligibility conditions under FCRA 2010 and FCRR 2011. In other words, the government has declined to renew the FCRA registration of the MoC.
In such a case, the aggrieved organisation shall have the remedy of making an application for revision under section 32 of the Act.
Consequences of refusal to renew the FCRA Registration
In this case, an organisation can accept the foreign contributions (FC) in the designated bank account till the date of expiry of the registration. In case registration is expired, the organization cannot accept foreign contributions.
There is no express provision in the law that prohibits the usage of existing foreign contributions after the expiry of the FCRA registration. Hence, it may be interpreted that such an organization can continue to use the existing FC fund.
This is a case where the renewal of FCRA registration of an organisation is declined by the Central Government. This is not a case where the FCRA registration is cancelled or suspended. Under FCRA law, there is a difference in cancellation, suspension of registration and decline of renewal of registration.
In case of cancellation of FCRA registration, an organisation can accept FC till the date of cancellation. Further, ownership of any assets created out of FC fund vests with the Central Government. Whereas in case of denial of renewal, the ownership of assets remains with the organisation. The provisions of cancellation of FCRA registration are governed by section 14 of the Act.
Further, suspension of FCRA registration is governed by the provisions of section 13. As per section 13 of the Act, the Central Government may suspend the registration of an organisation for a maximum period of 180 days. During the period of suspension, the organisation can not receive FC funds without prior approval of the government. Further, it cannot utilize the FC fund without the prior approval of the Central Government.
Update:
MHA restores FCRA registration of Missionaries of Charity
Read the full text of the Press Release dated 27.12.2021 on renewal of FCRA Registration of Missionaries of Charity
Ministry of Home Affairs
MHA did not freeze bank accounts of Missionaries of Charity (MoC)
State Bank of India informed that Missionaries of Charity itself sent a request to SBI to freeze its accounts
Renewal application under FCRA for renewal of FCRA registration refused due to adverse inputs
No request/revision application has been received from Missionaries of Charity for review of refusal of renewal
Posted On: 27 DEC 2021 6:07PM by PIB Delhi
The renewal application under Foreign Contribution Regulation Act (FCRA) for the renewal of FCRA registration of Missionaries of Charity (MoC) was refused on 25 Dec 2021 for not meeting the eligibility conditions under FCRA 2010 and Foreign Contribution Regulation Rules (FCRR) 2011. No request/revision application has been received from Missionaries of Charity (MoC) for review of this refusal of renewal.
Missionaries of Charity (MoC) was registered under FCRA vide Registration No 147120001 and its registration was valid up-to 31 Oct 2021. The validity was subsequently extended up-to 31 Dec 2021 along with other FCRA Associations whose renewal application were pending renewal.
However, while considering the MoC's renewal application, some adverse inputs were noticed. In consideration of these inputs on record, the renewal application of MoC was not approved. The FCRA registration of MoC was valid up-to 31st December 2021. MHA did not freeze any accounts of MoC. State Bank of India has informed that MoC itself sent a request to SBI to freeze its accounts.
Download Copy of Press Release dated 27.12.2021 on renewal of FCRA Registration of Missionaries of Charity in pdf format
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