FCRA Amendment Bill put on hold in Lok Sabha amid opposition protests

India’s Union government on Wednesday deferred consideration of the Foreign Contribution Regulation Amendment Bill, 2026, in the Lok Sabha amid protests by Opposition members, even as Union Minister Kiren Rijiju reportedly accused Congress and Left parties of spreading ‘misinformation’ over the proposed legislation.

The bill was not taken up for discussion as the House witnessed repeated disruptions and was adjourned till noon. Reports citing sources said the government decided to put the legislation on hold in view of the ongoing political controversy.

In response to the opposition’s objections, Rijiju reportedly said the proposed amendments were being misrepresented, particularly in Kerala. He claimed that ‘misinformation’ is being spread about the bill. 

“The amendment is aimed at regulating foreign contributions, ensuring proper utilisation in the national interest and national security, and preventing misuse of funds,” he said.

He added that the bill was not targeted at any religion or organisation and alleged that Congress and Left parties were attempting to mislead people ahead of elections.

Rijiju also said he had informed senior Congress leaders that the bill would not be taken up for consideration on Wednesday.

The bill, introduced in the Lok Sabha on March 25, proposes significant changes to the Foreign Contribution Regulation Act, 2010, aimed at enhancing transparency and accountability in foreign funding received by organisations.

One of the key provisions seeks to empower a designated authority to take control of foreign funds and assets of organisations whose registration is cancelled, surrendered, expires or is not renewed. These assets may subsequently be transferred to government departments or sold, with proceeds credited to the Consolidated Fund of India.

The proposed law also provides for automatic cancellation of registration if renewal is not sought or is rejected, effectively barring such entities from receiving or utilising foreign contributions.

Further, the amendments aim to fix timelines for utilisation of funds and restrict organisations from transferring or disposing of assets during suspension without prior approval. They also mandate government clearance before initiating any investigation into alleged FCRA violations.

At the same time, the bill proposes to reduce the maximum punishment for violations to one year’s imprisonment or a fine, or both, while expanding accountability to include directors, trustees and office bearers.

The proposed changes have drawn sharp criticism from Opposition parties, which have questioned the intent and implications of the legislation.

However, BJP leaders defended the amendments, saying they were intended to bring greater transparency and accountability in the use of foreign funds.