PM Cares Fund receives over Rs 535 crore in foreign donations over three years

The PM Cares Fund has received foreign funding in the amount of Rs 535.44 crore over the last three years, based on data from government sources. The fund was founded in March 2020 to deal with any type of emergency or distress situation caused by the coronavirus pandemic. It is regarded as a designated national […]

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The PM Cares Fund has received foreign funding in the amount of Rs 535.44 crore over the last three years, based on data from government sources. The fund was founded in March 2020 to deal with any type of emergency or distress situation caused by the coronavirus pandemic. It is regarded as a designated national fund.

According to the PM Cares Fund’s audited Receipt and Payment Accounts, the fund collected foreign contributions of Rs 40 lakh in the 2019-20 fiscal year. Foreign donations increased to Rs 494.92 crore in the next fiscal year before falling to Rs 40.12 crore in the 2021-22 fiscal year. Over the three fiscal years, the fund earned Rs 24.85 crore in interest.

In terms of foreign donations, the PM Cares Fund is of particular significance because it is excluded from the Foreign Contribution (Regulation) Act, 2010, which governs contributions to organisations outside India. This exemption is confirmed on the Frequently Asked Questions section of the fund’s official website.

The ambiguity in the definition of PM Cares Fund

Based on Right to Information Act data, in September 2020, the Union Home Ministry refused to disclose specifics about the exemption granted to PM Cares Fund from the Foreign Contribution (Regulation) Act, citing its importance to getting consent from the fund before providing any information. The fund was categorised as a “third party” under the RTI Act.

In addition, the government has declined to define the PM Cares Fund as “the State” or a “public authority” in response to judicial requests seeking transparency of the fund under the RTI Act. According to the government, PM Cares Fund is a charitable trust that is not under the jurisdiction of the government because it was not founded under the requirements of the Constitution or any parliamentary legislation.

The exemption granted to PM Cares Fund from foreign donation laws was granted at a time when the government had taken strict action against various NGOs under the Foreign Contribution (Regulation) Act.

The targeted NGOs

The registrations for foreign financial support of 5,932 non-governmental organisations were cancelled all at once on January 1, 2022. This was due to the NGOs’ failure to renew their registrations or the refusal of the Ministry of Home Affairs to approve their applications. Oxfam India Trust, Indian Youth Centres Trust, Jamia Millia Islamia, and Tuberculosis Association of India were among the renowned NGOs that lost their registrations.

There are fears that the government is targeting critical voices by exploiting foreign funds and foreign exchange laws. This is owing to activities taken against non-governmental organisations (NGOs) such as Aman Biradari, led by activist Harsh Mander, journalist Rana Ayyub, environmental lawyer Ritwick Dutta, Delhi-based think tank Centre for Policy Research, NGOs led by Congress leader Sonia Gandhi, and the BBC.