NGOs substantially funded by govt fall within RTI ambit: SC

NGOs will now be liable to reveal information under the transparency law

Press Trust of India New Delhi
Last Updated : Oct 08 2013 | 9:31 AM IST
NGOs and private organisations, substantially financed by government or its authorities, come under the ambit of Right to Information Act making them liable to reveal information under the transparency law, the Supreme Court today said.

A bench of justices K S Radhakrishnan and A K Sikri said that even though government may not have any statutory control over such organisations but they fall within the definition of public authority if they are substantially financed by it.

"Government may not have any statutory control over the NGOs, as such, still it can be established that a particular NGO has been substantially financed directly or indirectly by the funds provided by the appropriate government, in such an event, that organisation will fall within the scope of Section 2(h)(d)(ii) of the RTI Act (definition of public authority).

"Consequently, even private organisations which are, though not owned or controlled but substantially financed by the appropriate government will also fall within the definition of public authority," the bench said.

Although the term NGO has not been defined in the RTI Act but these organisations carry on various social and welfare activities which are otherwise governmental in nature, it said.

"The term Non-Government Organisations (NGO), as such, is not defined under the Act. But, over a period of time, the expression has got its own meaning and, it has to be seen in that context, when used in the Act.

"Government used to finance substantially, several non-government organisations, which carry on various social and welfare activities, since those organisations sometimes carry on functions which are otherwise governmental," it said.

The bench, however, said that whether an NGO has been substantially financed or not by the appropriate government, is a question of fact, to be examined by the authorities concerned under the RTI Act.
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Oct 08 2013 | 12:30 AM IST

Next Story