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Unaccounted flow of funds to NGOs a major problem: SC

September,14,2016:

NGOs are getting money from all over the World and it is quite mind-boggling feels Chief Justice of India T.S. Thakur

Ghost-funding-of-NGOs
Ghost-funding-of-NGOs

Apex Court has noted that lack of Law to regulate the “mind-boggling amount” of funds NGOs in our Country get annually is a “major problem.”

The Supreme Court today decided to ponder and consider directing the Law Commission of India to see whether it can be recommended to the Centre to frame an effective law to watch and control the flow of money to the total 29.99 lakh NGOs functioning in India.

“This is a major problem now a days. These NGOs are getting money from all over the world. It is quite Mind-boggling…” Chief Justice of India T.S. Thakur observed.

Holding the Bench, with Justice A.M. Khanwilkar, ordered appointment of Senior Advocate Rakesh Dwivedi as amicus curiae to assist find a way to deal with the funding issue and, if found necessary, refer to the Law Commission to help coin Law to regulate them.

Petitioner Advocate M.L. Sharma mage a submission that 80 per cent of the NGOs get foreign funds.

He shared that “Several Retired government employees and many politicians run these NGOs.”

To this, the CJI observed: “What is an NGO? Now anyone can register a society and it becomes an NGO… There is no legal framework or brainwork done at the Central level to control them. Until and unless some mechanism is put in place centrally by the Govt, nothing can be done”

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