In a sensational development, the Income Tax Department has filed a case against five non-governmental organizations (NGOs) for allegedly attempting to obstruct key development projects in India. The NGOs named include the prominent think tank Center for Policy Research (CPR), Oxfam, Legal Initiative for Forest and Environment (LIFE), and Care India Solution for Sustainable Development (CISSD).
Authorities claim that two of these NGOs filed cases aimed at halting significant economic projects, including initiatives by the Adani Group and JSW Group. Over the past five years, more than 75% of the funding for four of these NGOs reportedly came from foreign sources, which has influenced their operations in India. Additionally, the president of one NGO is said to be a shareholder in another.
The investigation began after the Income Tax Department conducted searches at the offices of these NGOs on September 7, 2022. Following these searches, the department concluded that the NGOs had violated provisions of the Foreign Contribution Regulation Act (FCRA) of 2010. It was found that there were discrepancies in their annual returns and foreign currency bank accounts, leading to suspicions of fund misuse. As a result, the FCRA licenses of these organizations were revoked.
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The NGOs have challenged the Income Tax Department’s actions in the Delhi High Court, where their case is currently under consideration. The Indian Express has reported that the Income Tax Department’s “Intimation Letters” to these NGOs highlight serious allegations, including that foreign funding has compromised the integrity of their missions.
According to the letters, Care India allegedly received 92% of its funding from abroad between 2015 and 2021, while Environics Trust received 95%, LIFE 86%, and Oxfam 78%. Notably, Environics Trust reportedly received 100% of its funding from foreign sources for three of the past six years.
The Income Tax Department’s letters also indicate interconnectedness among the NGOs, with four of them cited for “concerted efforts” to support protest movements against various development initiatives. Specific allegations include Oxfam India’s involvement in efforts to stop mining projects by the Adani Group, as well as CPR’s alleged participation in the Hasdeo movement against coal mining in Chhattisgarh.
In response to these allegations, LIFE founder Ritwick Dutta denied any connections between the NGOs, stating, “The allegation that all the NGOs were interconnected is baseless.” He further asserted that LIFE operates independently and does not collaborate with Oxfam, CPR, or Care India.
Officials from Environics Trust declined to comment, while Oxfam, CPR, and CISSD did not respond to requests for clarification on the Income Tax Department’s allegations. The situation remains under scrutiny as the legal proceedings unfold.
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