07-21-2006, 10:37 PM
Why is a Delhi-based South Asia Human Rights Documentation Centre under review? Why are Europeans involved? Anyone know details about this organization?
<!--QuoteBegin-->QUOTE<!--QuoteEBegin-->NGOs on EU fraud buster list
CHARU SUDAN KASTURI
New Delhi, June 26: The European Unionâs anti-fraud unit, OLAF, has welcomed proposals made by the Planning Commission seeking to regulate the functioning and funding of non-government organisations.
The Planning Commission recently submitted these suggestions to the government in the form of a draft national paper, which is being considered by the Centre.
In the past couple of years, OLAF has been monitoring several Indian NGOs, which it believes could be involved in financial fraud worth millions of euros in connection with grants made by the European Union. It has been carrying out its investigations in India in tandem with the Union home ministry.
Calling the proposals a positive move, OLAF said their implementation would help eliminate illegal international transfer of donations by NGOs. âWhile we cannot comment on any political implication of the proposals, it is a very good move,â Joerge Wojahn of OLAF said over phone from the organisationâs headquarters in Brussels.
The Planning Commissionâs recommendations suggest that all voluntary organisations should compulsorily file with the government documents relating to their constitution, composition, membership and financial accounts.
Tighter administrative and penal procedures, which would help sieve out illegal transfers from legal ones, have also been suggested.
A distinction between public utility organisations dependent on fees â such as private schools and hospitals â and public benefit organisations dependent on grants under the Income Tax Act has also been drawn out in the paper to prevent tax evasion.
Recently, NGOs based in India have come under the EUâs scanner for seeking to bypass the strict regulations of the Foreign Contribution (Regulation) Act, 1976, which monitors the receipt of foreign contribution in the country.
For instance, OLAF is examining allegations against the <b>Delhi-based South Asia Human Rights Documentation Centre</b>, run by activist Ravi Nair, for fraud of over half a million euros.
The centre had won a contract worth 428,760 euros in 2001 and, subsequently, another worth 91, 200 euros from the EU for strengthening human rights organisations in 13 Asian countries. It also bagged contracts of £384,000 from the UK-based Department for International Development in February 2003 and worth $150,000 from the Ford Foundation in 2004.
However, the centre, registered as a public charitable trust, does not have clearance under the Foreign Contribution (Regulation) Act, required to transfer the grants to India.
<!--QuoteEnd--><!--QuoteEEnd-->
<!--QuoteBegin-->QUOTE<!--QuoteEBegin-->NGOs on EU fraud buster list
CHARU SUDAN KASTURI
New Delhi, June 26: The European Unionâs anti-fraud unit, OLAF, has welcomed proposals made by the Planning Commission seeking to regulate the functioning and funding of non-government organisations.
The Planning Commission recently submitted these suggestions to the government in the form of a draft national paper, which is being considered by the Centre.
In the past couple of years, OLAF has been monitoring several Indian NGOs, which it believes could be involved in financial fraud worth millions of euros in connection with grants made by the European Union. It has been carrying out its investigations in India in tandem with the Union home ministry.
Calling the proposals a positive move, OLAF said their implementation would help eliminate illegal international transfer of donations by NGOs. âWhile we cannot comment on any political implication of the proposals, it is a very good move,â Joerge Wojahn of OLAF said over phone from the organisationâs headquarters in Brussels.
The Planning Commissionâs recommendations suggest that all voluntary organisations should compulsorily file with the government documents relating to their constitution, composition, membership and financial accounts.
Tighter administrative and penal procedures, which would help sieve out illegal transfers from legal ones, have also been suggested.
A distinction between public utility organisations dependent on fees â such as private schools and hospitals â and public benefit organisations dependent on grants under the Income Tax Act has also been drawn out in the paper to prevent tax evasion.
Recently, NGOs based in India have come under the EUâs scanner for seeking to bypass the strict regulations of the Foreign Contribution (Regulation) Act, 1976, which monitors the receipt of foreign contribution in the country.
For instance, OLAF is examining allegations against the <b>Delhi-based South Asia Human Rights Documentation Centre</b>, run by activist Ravi Nair, for fraud of over half a million euros.
The centre had won a contract worth 428,760 euros in 2001 and, subsequently, another worth 91, 200 euros from the EU for strengthening human rights organisations in 13 Asian countries. It also bagged contracts of £384,000 from the UK-based Department for International Development in February 2003 and worth $150,000 from the Ford Foundation in 2004.
However, the centre, registered as a public charitable trust, does not have clearance under the Foreign Contribution (Regulation) Act, required to transfer the grants to India.
<!--QuoteEnd--><!--QuoteEEnd-->