Plea In Delhi HC Seeks Exemption Of Centre's Prior Permission To Organizations, Individuals For Receiving Foreign Contributions On Covid Life Saving Equipments

A plea has been moved in the Delhi High Court seeking directions on the Union of India to exempt registered associations, organizations and individuals, prior permission under under sec.11 of the Foreign Contribution (Regulation) Act, 2010 to receive foreign contributions in the form of covid life saving equipments. 

Moved through Senior Advocate Deepak Prakash and drafted by Advocates Divyanga malik, Nachiketa Vajpayee, Prerna robin and Jessica Bharadwaj also prays for relaxing the "stringent and time-consuming pre-conditions" for receiving foreign contributions in the form of donations, in the interests of the general public at large in exercise of powers under sec. 50 of the Foreign Contribution (Regulation) Act, 2010.

Stating that the process of granting prior permission of the Union Government under sec. 11 of the Act is a time consuming process thereby keeping away the registered NGOs to participate in the disaster mitigation efforts, the plea states thus:

"That Section 11 of the Act 2010 as it stands today prohibits the acceptance of foreign contribution unless a certificate of registration is obtained under Sec 11 (1) or a prior permission is obtained under sec 11(2). Section 7 of the Act expressly prohibits transfer of foreign contribution to another person. Thus, majority of NGOs who are out at the grass root level are unable to distribute this lifesaving equipment to the patients."

The plea therefore submits that the Non-profits, philanthropies, CSR arms of Corporates situated outside, who are desirous of supporting the Indian populace, are hindered by such a procedure.

"That it is the respectful submission of the Petitioner that the UOI can exempt the COVID related products like oxygen concentrator and lifesaving equipment from the definition of articles coming under the definition of foreign contribution for a limited period of 3-6 months so as to enable free flow of these equipment to India at this time of pandemic." The plea reads further.

The plea also suggests that the Centre can allow NGOs to seek prior permission under sec 11 of the FCRA Act 2010 and grant the permission immediately within 48 hours "only for the limited purpose of receiving this lifesaving equipment related to COVID-19 thus enabling the NGO sector to tap its resources abroad to get this lifesaving equipment at the earliest."

The plea states the following prayers:

- Issue an appropriate writ in the nature of mandamus or any other Writ, Order or direction, thereby directing the Respondents to exempt the registered association, organization or person(s) defined under S. 2(1)(m) of the Foreign Contribution (Regulation) Act, 2010, prior permission under under S.11 of the said Act, to receive foreign contributions in the form of life saving equipment/articles for COVID-19 insofar as to expedite the relief work in our country, in the interests of the general public at large.

- Issue an appropriate writ in the nature of mandamus or any other Writ, Order or direction, thereby directing the Respondents to pass appropriate orders for relaxing the stringent and time-consuming pre-conditions for receiving foreign contributions in the form of donations, in the interests of the general public at large, by utilising their powers mentioned under Section 50 of the Foreign Contribution (Regulation) Act, 2010.

- Pass such further or other order(s), as this Hon'ble Court may deem fit and proper in the facts and circumstances of the case and in the interests of justice.