The Union home ministry has cancelled the registration of Bangalore-based NGO Infosys Foundation for alleged violation of norms in receiving foreign grants, officials have said.
All non-government organisations (NGOs) are required to be registered under the Foreign Contribution (Regulation) Act (FCRA) to receive foreign funding.
The home ministry had last year served a show-cause notice to Infosys Foundation for failing to submit annual income and expenditure statement on foreign funding for up to six years despite repeated reminders, officials said.
The registration was cancelled as Infosys Foundation allegedly did not file income and expenditure statement on foreign funding for the past few years, they said.
According to FCRA guidelines, registered associations are required to submit electronically an online annual report with scanned copies of income and expenditure statement, receipts and payment account, balance sheet, etc., for every financial year within nine months of the closure of the financial year.
Associations which do not receive foreign contribution during a particular year are also required to furnish a “NIL” return for that financial year within the aforesaid period, the guidelines say.
When contacted, Infosys Foundation said its de-registration from the FCRA followed a request it proactively made to the ministry of home affairs.
“This (request) was done as the Infosys Foundation does not come under the purview of the FCRA following the amendment made to the act in 2016. We had approached the ministry to consider this, and thank them for granting our request,” said Rishi Basu from the foundation's corporate marketing and communications division.
Established in 1996, Infosys Foundation supports projects in education, rural development, health care, arts and culture and destitute care. According to the foundation's website, its mission is to work in remote regions of India. Sudha Murthy is the chairperson of Infosys Foundation.
The Union home ministry had last year served show-cause notices to at least 1,755 NGOs, including a few companies, for failing to submit annual income and expenditure statement on foreign funding for up to six years despite reminders.