Payment of compounding and fees from the FCRA bank account
Payment of compounding and fees from the FCRA bank account of the FCRA association whose validity has been expired – regarding.
The Ministry of Home Affairs (MHA) administers the Foreign Contribution (Regulation) Act, 2010 (FCRA, 2010) and rules made thereunder which regulates the receipt of foreign contribution by NGOs/ Voluntary organizations / associations and its utilization for bonafide activities as per law.
- As per Rule 12(5) of the Foreign Contribution (Regulation) Rules, 2011 (FCRR, 2011). no person whose certificate of registration has ceased to exist shall either receive or utilize foreign contribution until the certificate is renewed. Accordingly, such NGOs/associations whose registration has ceased after expiry of validity period, are not able to make payment of compounding and fees from the FCRA bank account.
- In view of above, this Ministry, in exercise of the powers conferred under section 50 of the FCRA, 2010, has now allowed association(s) whose FCRA registration validity has expired, to pay the compounding penalty and fees from the FCRA bank account held with State Bank of India, New Delhi Main Branch, through FCRA online portal by introducing “SBI Branch Payment”. However, any other receipt/utilisation from FCRA bank account, during this period, would amount to the violation of FCRA, 2010 and liable for penal action.
Crux of the Notification:
The Ministry of Home Affairs (MHA) has allowed NGOs/associations whose FCRA registration has expired to pay compounding penalties and fees from their FCRA bank account (SBI, New Delhi Main Branch) via the FCRA online portal using the “SBI Branch Payment” option.
🔒 Key Conditions:
- Only payment of compounding/fees is allowed.
- No other receipts or utilization from the FCRA account is permitted during the period of expired registration.
- Any other transaction will be treated as a violation of FCRA, 2010 and attract penal action.
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