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CS Executive · Economic, Commercial and Intellectual Property Laws · Law relating to Foreign Contribution Regulation

Under section 9 of the FCRA, 2010, the Central Government may prohibit a person not specified in section 3 from accepting foreign contribution. On what condition may it do so?

The Central Government may prohibit such acceptance only when it is satisfied that the acceptance is likely to affect prejudicially the sovereignty and integrity of India, public interest, fairness of elections, friendly relations with a foreign State, or harmony among religious, racial, social, linguistic or regional groups.

  1. AOnly if the person has been convicted of an offence earlier
  2. BOnly if the person's annual receipts exceed a prescribed limit
  3. COnly if it is satisfied that acceptance is likely to affect prejudicially matters such as sovereignty and integrity of India or public interestCorrect
  4. DOnly if the person has failed to renew a registration certificate

Explanation

The proviso to section 9 says no prohibition or requirement can be made unless the Central Government is satisfied that acceptance is likely to prejudicially affect sovereignty and integrity of India, public interest, freedom or fairness of elections, friendly relations with a foreign State, or harmony between groups. Prior conviction, receipt limits and non-renewal are not the stated conditions.

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