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CS Professional · CSR and Social Governance · Foreign Funding to Non-Corporate Entities

Rohan Mehta, an Indian citizen working in Dubai, receives a donation from a foreign friend and passes it on to a registered trust in Pune. His friend asks whether the FCRA, 2010 can reach persons located outside India. Under Section 1 of the Act, which statement is correct?

The Act extends to the whole of India and also applies to citizens of India outside India. Rohan, being an Indian citizen in Dubai, is covered. Physical presence in India or holding a certificate is not a condition for the Act to apply to him.

  1. AThe Act extends to the whole of India and also applies to citizens of India outside IndiaCorrect
  2. BThe Act applies only to persons physically present in India
  3. CThe Act applies to Indian citizens abroad only if they hold an FCRA certificate
  4. DThe Act applies only to foreign nationals living outside India

Explanation

Section 1(2) says the Act extends to the whole of India and also applies to citizens of India outside India. It also covers associate branches or subsidiaries outside India of Indian companies or bodies corporate. Territorial presence in India is therefore not a precondition, so the other options misstate the reach.

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