The proposed Foreign Contribution (Regulation) Amendment Bill, 2026 has drawn particular attention in Meghalaya, where churches, charitable organisations and community institutions play a major role in education, healthcare and social welfare. The proposed changes have raised concerns over compliance, foreign-funded assets and the consequences for organisations whose FCRA registration ceases to exist.
The Foreign Contribution (Regulation) Act, 2010 regulates the acceptance and use of foreign contributions by eligible individuals and organisations. The proposed Bill does not replace the existing framework but seeks to introduce a detailed mechanism for managing foreign contributions and assets when an organisation’s FCRA certificate is cancelled, surrendered, not renewed or denied renewal.
Under the proposed framework, a Designated Authority would supervise and manage foreign contributions and specified assets in such circumstances. Assets created wholly or partly from foreign contributions could initially vest provisionally with the authority, with permanent vesting possible if an organisation fails to obtain, renew or restore its certificate within the prescribed framework. The Bill also provides for an appeal against orders of the Designated Authority.
The proposed legislation also seeks to reduce the maximum imprisonment for violations from five years to one year. Amendments to the FCRA Rules notified in 2026 have introduced additional compliance requirements, including a definition of “reasonable activity” linked to the utilisation of at least Rs 10 lakh in foreign contributions over the preceding two financial years.
The issue carries particular significance in Meghalaya, where religious and charitable institutions operate schools, colleges, hospitals and welfare programmes, including in rural and remote areas. Chief Minister Conrad K Sangma has raised their concerns with the Centre and led a delegation of church and community representatives to meet Union Home Minister Amit Shah.
The Meghalaya government has also announced a dedicated FCRA Cell under the Home Department to assist organisations with applications, renewals, compliance procedures and coordination with Central authorities. The Cell will not have the power to grant or renew FCRA registrations, as regulation under the FCRA remains with the Centre.
The proposed mechanism is also expected to assist organisations outside Shillong, including those in Tura and Jowai, in navigating Central compliance requirements.
Meghalaya’s approach therefore combines engagement with the Union government on the proposed amendments with administrative support for organisations dealing with the existing framework. Sangma has welcomed the Bill’s referral to a Joint Parliamentary Committee and called for stronger oversight without creating unnecessary hurdles for legitimate organisations.
The Bill remains under parliamentary consideration, with its final provisions to be determined through the legislative process. For Meghalaya, the debate centres on maintaining accountability in the use of foreign contributions while ensuring that legitimate institutions providing education, healthcare and social services can continue their work without avoidable administrative disruption.
