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FCRA AMENDMENT WILL ENABLE GOVT TO TAKE OVER PROPERTIES!By Olav Albuquerque
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FCRA AMENDMENT WILL ENABLE GOVT TO TAKE OVER PROPERTIES!By Olav Albuquerque

April 11- April 17, 2026, LAW April 10, 2026 , by

THE proposed amendments to India’s Foreign Contribution (Regulation) Act, 2010 have evoked vehement opposition against this government move. The fear is that this legislation will facilitate state control over the assets of Non-Government Organizations (NGOs) and religious institutions, such as the Christian churches which run schools, colleges, orphanages and whose magnificent cathedrals are spread over hundreds of acres of land.
What is intriguing is that this will not affect the temples which are run by mahants or where the temple stands in the name of a deity in whose name, offerings are made. The critics of this move to amend the FCRA include Opposition parties, church bodies and civil liberties advocates. They all argue that the amendments go far beyond regulatory oversight and instead risk undermining the autonomy, property rights, and constitutional protections of civil society organizations.
AT the heart of this controversy is a provision in the proposed FCRA Amendment Bill, 2026 that allows the central government to take control of assets created through foreign contributions, if an NGO’s registration is cancelled or lapses because it has not been renewed.
According to informed sources, the Bill which has yet to pass the scrutiny of both Houses of Parliament, proposes the creation of a government-appointed authority that would manage or potentially acquire such assets for ostensibly “public purposes.” Now, what is a “public purpose” has not been clearly defined in the proposed Bill because as in the case of the mass agitations against the farmers’ bills which were withdrawn, public purpose can mean these institutions which have been taken over by the government will be run by private entities under the label of the government.
This is akin to the Official Liquidator taking over the sick properties of a company under the Sick Industrial Companies Act although there is no guarantee that after being declared a “sick” company, the Official Liquidator will turn it around. Be that as it may, the latest amendment allegedly may be a ploy for the government to take over NGOs and church properties which they view inimically through the prism of forced conversions. NGOs have always been viewed critically by the government as being critical of government policies and therefore enemies of the state.

RIGHT TO USURP
THIS sinister clause enabling the government to usurp properties and use it for “public purposes” has been interpreted by critics as effectively enabling the state to “usurp” properties –including school, hospitals, and charitable institutions – built over decades by NGOs and religious organizations. Opposition leaders have been among the most vocal critics of the amendment because they have argued that he Bill grants sweeping and discretionary powers to the executive, with insufficient safeguards against its misuse.
 Political figures have described the legislation as “draconian” warning that it could be weaponized to target dissenting organizations or those perceived as being politically inconvenient.
Concerns have also been raised about the lack of due process in the cancellation of FCRA licenses, which could trigger asset takeover without adequate judicial oversight. A major strand of opposition comes from Christian institutions, particularly in Christian-dominated states like Kerala and Tamil Nadu. It is in these states that churches operate extensive networks of educational, healthcare and social service institutions.
Church leaders have warned that the amendment could allow the government to seize control of these institutions if the parent NGO loses its FCRA registration. There can be no doubt that many of these institutions are funded partially through foreign donations which brings them directly under the ambit of this amended provision of the Foreign Contributions Regulation Act.
Among the Christian denominations which have all been affected, the Catholic Church has expressed strong reservations. The Church bodies have pointed out that properties built through foreign contributions are not merely financial assets but also serve as critical social functions, specially for marginalized communities.
Schools, hospitals, orphanages and rural development programs run by church-affiliated NGOs often operate in areas when the state capacity is limited. There are many scholars who have argued that transferring control of such institutions to the government would culminate in disruption of essential services and harm vulnerable populations.
This is the reason why Opposition parties and civil society members have framed the issue not just as a regulatory concern, but as a Constitution alone. They argue that the amendment may violate fundamental rights, including the freedom to form associations and the right of religious denominations to administer their own institutions and run their own affairs.

IMPACTS MINORITY ORGANISATIONS
THERE has also been apprehension that the law disproportionately impacts minority-run organizations, which raises questions about the equality and non-discrimination so that the guarantee of Article 14 is upheld. Despite the Constitution guaranteeing secularism which implies non-discrimination, this is not always the case in this country where freedom of speech and expression and freedom of religion has consistently been downgraded by global watchdogs.
 There are over 50,000 NGOs operating in India while those like Greenpeace India were forced to shut down. Millions of organizations engaged in diverse activities ranging from poverty alleviation to environmental advocacy, rely upon foreign funding. This is why they are viewed with suspicion and branded as anti-national by so-called nationalist NGOs which are unregistered and raised millions of dollars in foreign funds through registered trusts functioning from abroad. Thousands of NGOs have lost their licenses due to non-renewal or alleged violations so that the new amendments will intensify the trend of the government cracking down upon them.

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