11 OCTOBER 2013: The HOME MINISTRY withdrew the fcra suspension in the light of the Delhi High Court judgment and de-froze the bank account.
INSAF PRESS RELEASE:
INSAF
gifted delayed justice in FCRA struggle with Home Ministry
Indian
Social Action Forum (INSAF),
a network of over 700 peoples movements and NGOs has emerged
victorious in it's struggle with
the Home Ministry which had
suspended their Foreign Contributions Regulation Act (FCRA)
registration and frozen the bank account on 30th
April 2013. The Delhi High Court had quashed this suspension in a
judgment on 19th
September 2013. Not getting any reply from the Home Ministry, INSAF
filed
a Contempt of Court petition in the Delhi High Court this
week.
The
Home Ministry advocate refused to accept the petition copy served to
him after he read the title.
The
contempt petition
was
listed in the court of Hon'ble
Justice
Sudershan
Kumar
Misra,
but
since he was on leave today it is now listed on November 15th.
Finally, today the bank also received the MHA order and the account
has been defrozen.
The
Home Ministry legal counsel informed the court that they had
withdrawn the suspension of the FCRA of INSAF and directed the bank
to de-freeze the foreign fund account. In a letter to INSAF, Mr. V.
Vumlunmang, Joint Secretary in the Foreigners Division of the
Ministry of Home Affairs noted that their order of suspension of FCRA
was challenged by INSAF in the Hon'ble Delhi High Court, which had
set aside the order.
Under
Section 13 of FCRA 2010 it is provided that the FCRA department may
suspend the registration of any organisation for a period of 180 days
pending cancellation proceedings. It was noticed that the FCRA
department was issuing suspension order without providing an
opportunity of being heard. Such orders were unfair and causing undue
hardship to the NGOs.
Hon'ble
Justice V.K.Jain in his judgment in the case Indian Social Action
Forum (INSAF) vs. Union of India W.P.(C) 4982/2013 & CM
11248/2013 has held that no order of suspension can be made unless a
show cause is issued and the reasons for such suspension are provided
in writing. He further explained that the suspension powers provided
in the Act are intended to be used primarily when any cancellation
proceeding is initiated.
Therefore,
any unilateral suspension of FCRA registration will not be legally
sustainable. This landmark case should provide great relief to the
NGO sector which has been facing arbitrary cancellations and
suspensions of registration during the past year.
INSAF
and a network of activist groups “JANADHIKAR SANGHARSH SAMITI”
will continue it's campaign to strike down Rule
3 of FCRA rules 2011 which prohibits participation of NGOs in
democratic and constitutional protests like rasta roko, dharnas, etc.
The campaign also focuses on the need for the government to respect
the 'rule of law' and treat both the profit and non-profit sectors
equally in matters of foreign funds. While the profit sector has been
left scot free in this era of globalisation, FERA (foreign exchange
regulation act) has been converted into FEMA (management). But, the
FCRA for the non-profits has been made more stringent and is policed
through the Home Ministry. There is a dire need to ultimately move
FCRA away from the Home Ministry and transform it into Foreign
Contributions Management Act.
INSAF
FCRA ISSUE – All documents, correspondence, media reports at:
http://insafvsfcra.blogspot.in/
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