India

Income Tax Department Files Case Against NGOs For Hindering Development Projects

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).

Foreign Funding Concerns

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.

Investigation and License Revocation

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.

Also Read: SEBI Introduces Stricter Rules Likely To Cut F&O Trading Volumes

Legal Challenge in Delhi High Court

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.

Specific Funding Figures

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.

Interconnectedness Among NGOs

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.

Denial of Allegations

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.

Response from NGOs

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.

Richa Kaushik

Recent Posts

PM Modi Meets Bhutan PM Tobgay At BIMSTEC Summit; Highlights Strong Bilateral Ties & Regional Cooperation

PM Narendra Modi met Bhutanese PM Tshering Tobgay on the sidelines of the 6th BIMSTEC…

7 hours ago

Jamia Students Back Waqf Amendment Bill; Call It A Step Toward Empowerment

The student group 'Shaher-E-Arzoo' expressed firm support for the Waqf Amendment Bill, calling it a…

9 hours ago

India’s Exports To The US Face Limited Impact From Tariff Hike: SBI Report

The 27% tariff hike by US President Donald Trump on Indian goods will have only…

9 hours ago

Waqf Freed From Mafia Control, New Era Of Development Begins For Muslims: MRM

Following the passage of the Waqf Amendment Bill 2024 in both Houses of Parliament, celebrations…

10 hours ago

India’s Forex Reserves Surge To $665.4 Billion; Rupee Strengthens As Trade Deficit Narrows

India’s forex reserves jumped $6.6 billion to a five-month high of $665.4 billion for the…

11 hours ago

Laxmi Singh Leads Gautam Buddha Nagar Police To Historic No 1 Rank In IGRS Across All Stations

Gautam Buddha Nagar Police, led by CP Laxmi Singh, achieved a historic feat with all…

12 hours ago