Churchill defeated Mohun Bagan 2-1 in the first semifinal while Sporting Clube de Goa emerged 3-2 victorious in extra time in an absorbing match against Dempo later in the day at the Jawaharlal Nehru Stadium.
Churchill, who has been impressive in the tournament by winning all their three group matches, scored through Balwant Singh (4th minute) and Anthony Wolfe (14th) while Odafa Okolie (33rd) reduced the margin for Mohun Bagan in the first semifinal.
Garcia scored in the 82nd minute and second half of extra time while Sporting Clube de Goa's first goal was scored by Boima Karpeh in the 30th minute.
For Dempo, Tolgay Ozbey and Amiri scored in the 72nd and 88th minutes respectively.
The winner of the Federation Cup will qualify for the AFC Cup, the second-tier club competition of the continent.
Churchill were the dominant side against Bagan and an unmarked Balwant headed in Thangjam Singh's corner to take the lead in the fourth minute.
Anthony Wolfe made no mistake to convert from the spot. It was barely 15 minutes into the game and Churchill, with all in control, were already 2-0 up.
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