Government puts controversial FCRA amendment bill on hold amid Opposition protests

The Union government has put the proposed Foreign Contribution (Regulation) Amendment Bill, 2026 on hold following strong Opposition protests in Parliament, sources said on April 1. The bill was not introduced in the Lok Sabha as scheduled amid disruptions and mounting criticism.

The proposed legislation seeks to amend the existing Foreign Contribution (Regulation) Act, 2010, which regulates the acceptance and use of foreign funds by individuals, organisations, and NGOs in India.

At the centre of the controversy is a provision that would allow the government to take control of assets created using foreign funds if an organisation’s FCRA registration is cancelled, surrendered, or not renewed.

These assets could be transferred to a designated authority and potentially sold, with proceeds deposited in the Consolidated Fund of India.

The bill also proposes stricter compliance rules, including automatic lapse of registration if renewal is not obtained, and restrictions on the use of foreign contributions thereafter.

It further empowers authorities to set timelines for utilisation of such funds, limiting the ability of organisations to hold them indefinitely.

The government has maintained that the amendments are aimed at improving transparency and accountability in the use of foreign contributions and preventing misuse.

However, Opposition parties have criticised the bill, arguing that it grants excessive powers to the executive and could adversely impact the functioning of civil society organisations and NGOs.

The decision to pause the bill comes amid heightened political tensions in Parliament, with the issue likely to remain a flashpoint between the government and Opposition in the ongoing session.