Why is it in the news?
The government proposed amendments to improve regulation of foreign funds.
It aims to address legal gaps in NGO asset management.
Category: Polity
Important Points:
● Allows government to appoint authority to manage NGO assets
● Assets can be transferred to Consolidated Fund of India
● Expands definition of key functionary for accountability
● Requires prior approval before investigation of FCRA cases
● Introduces fixed timelines for fund utilisation
● Provides automatic cessation of registration on expiry
● Reduces imprisonment from 5 years to 1 year
● Strengthens regulatory oversight on NGOs
● FCRA regulates foreign funding under Ministry of Home Affairs