The Union home ministry has extended the deadline for opening designated bank accounts for foreign donations meant for non-governmental organisations (NGOs) at the State Bank of India (SBI)’s 11 Sansad Marg branch in New Delhi to June 30.
The previous deadline expired on March 31 and many NGOs argued this was hampering their work related to Covid-19 relief.
Several NGOs approached Delhi and Gauhati high courts seeking exemption from opening bank accounts in New Delhi.
The amended Foreign Contribution Registration Act (FCRA), enacted in September 2020, made it mandatory for all office bearers of NGOs to register their Aadhar details and open designated accounts in Delhi if they wished to receive foreign funds.
In the meantime, the MHA has also given relief to NGOs having certificates under the FCRA by extending their expiry date till September 30, 2021. This extension relief has been given to those NGOs, whose certificates were to expire between September 29, 2020 and September 30, 2021.
Last week, the Delhi High Court asked the MHA to consider if the deadline can be extended in view of the pandemic.
The MHA issued an order dated May 18, 2021, where it said: “Keeping in view the exigencies arising out of the COVID-19 situation and to ensure smooth transition to the amended FCRA regime the Central government, under section 50 of the FCRA, 2010 was making an amendment to allow NGOs to open an account with the SBI up to June 30 or earlier.”
It further said, “After that date, they shall not be eligible to receive foreign contribution in any other account other than the FCRA account opened in the NDMB of the SBI.”
The MHA has also given a relief up to September 30 to the NGOs whose registration was expiring between September 29, 2020-September 30, 2021.
