US concerned at India's crackdown on NGOs: Richard Verma

US Ambassador says it's important for a democratic country like India to understand NGOs' importance

The Narendra Modi-led government’s recent actions on curbing activism might have “chilling effects” on charity organisations run on foreign funds, according to US ambassador Richard Verma.

Expressing US’ concern on the action against some well-known non-governmental organisations (NGOs) such as Greenpeace and Ford Foundation in India, Verma said it’s important for a democratic country like India to understand NGOs’ importance.

“I read with some concern the recent press reports on the challenges faced by NGOs operating in India… a vibrant civil society is so important to both of our democratic traditions, I do worry about the potentially chilling effects of these regulatory steps focused on NGO,” Verma said here on Wednesday while talking on the India-US strategic relationship.

The Modi government has frozen the accounts of Greenpeace, which now faces the imminent danger of closing down owing to paucity of funds. The government has also come down heavily on Ford Foundation, a US-based NGO, by putting it on a security watch list.

On Tuesday, Greenpeace said it had funds left only for a month to run operations in India. It said it was “strangulation by stealth” by Home Minister Rajnath Singh, who was using “arbitrary penalties” and should “admit that he is trying to shut Greenpeace India down because of its successful campaigns”.

On April 9, the home ministry had passed orders freezing seven accounts of the environmental NGOs and suspended their licence to get funds from foreign sources. The ministry had cited several infringements of the law that regulates foreign funding of NGOs — the Foreign Contribution (Regulation) Act, 2010, or FCRA.

The home ministry has already blocked foreign and domestic funding of Greenpeace and suspended its registration for six months. According to the government, the organisation was misusing the funds to block all developmental projects.

Similarly, in the case of Ford Foundation, the home ministry has asked all banks not to allow the charity organisation to finance any person or institution without prior approval from the government.

The ministry has already cancelled the registration of around 9,000 NGOs under FCRA.

Meanwhile Minister of State for Home Affairs, Kiren Rijiju commented on the reaction and said, NDA government was more concerned about “national interest” and not by 'what USA said'.