The Union Home Ministry has granted the Foreign Contribution (Regulation) Act (FCRA), 2010 registration to the Chief Minister’s Relief Fund of Maharashtra.
This enables it to receive foreign donations for “social” programmes.
This is the first time that the Union Home Ministry has granted FCRA nod to a state government relief body.
It aims to supplement financial assistance to those affected by natural calamities, major accidents, communal riots, terrorist attacks or those in need of medical and educational help.
The relief funds of State governments usually run on domestic donations and contributions.
In 2018, Government of India declined foreign aid for Kerala flood relief.
The Chief Minister’s Relief Fund (CMRF) of Maharashtra is registered as a Trust under the Bombay Public Trusts Act, 1950.
It is managed by the State of Maharashtra under the chairmanship of CM who exercises overall supervision and control over the funds.
The Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund or the PM CARES Fund – was set up in March 2020.
It aims to tackle the distress situations such as those posed by the COVID-19 pandemic.
It was also exempted from the FCRA provisions.
It is compulsory to register under the Act, first enacted in 1976, if an association, group or NGO intends to receive foreign donations.
The 1976 Act was repealed and replaced with new legislation in 2010 and was further amended in 2020.
Registered associations can receive foreign contributions for social, educational, religious, economic and cultural programmes.