New Delhi: The Ministry of Home Affairs (MHA) on Thursday cancelled the Foreign Contribution (Regulation) Act (FCRA) licence of innovator and education reformist Sonam Wangchuk’s Students Educational and Cultural Movement of Ladakh (SECMOL) over alleged violations of the act.
The cancellation means the Leh-based institute will no longer be able to receive or utilise foreign funding.
Officials said the decision followed a review of compliance records as Wangchuk, during Financial Year 2021-22, deposited Rs 3.5 lakh into the FCRA account of the association in violation of section 17 of the Act.
However, it is stated by the association in its clarification that this amount is sale proceeds of old bus procured from FCRA fund.
Although credit entry of this much amount is not found in FCRA account of the association, said the MHA, adding it seems that the amount has been received in cash in violation of section 17 of the Act which is not properly disclosed by the association in its reply.
“Further, an amount of Rs 3,35,000 has been intimated by the association in FC-4 as Foreign Contribution (FC) donation from Wangchuk. However, this transaction is not reflected in FCRA Account in violation of section 18 of the Act,” an order pointed.
SECMOL was granted registration under the Foreign Contribution (Regulation) Act, 2010 to accept foreign contribution for undertaking Cultural and Educational programme.
The MHA had served a show cause notice against the organisation on August 20 this year through speed post followed by mail on September 10 as to why its FCRA registration certificate should not be cancelled in exercise of section 14 of the Act.
The association made their submission through mail on September 19.
The Ministry further pointed that during financial year 2020-21, local funds amounting Rs 54,600 were deposited in the FCRA account of the association by three individual (Rs 18,200 each) in violations of section 17 of the Act.