The Ministry of Home Affairs (MHA) placed the Hewlett Foundation in the United States on its watchlist following an investigation into allegations that it used foreign contributions for climate awareness campaigns, which is prohibited under the FCRA (Foreign Contribution (Regulation) Act), a senior government official said.
Since November 2021, foreign donors have been unable to make donations to any non-governmental organization or association in India.
According to the official, the donor based in the United States was placed in the “Prior Reference Category (PRC)” under the FCRA’s provisions after it was discovered that it also sent funds via the European Climate Foundation (ECF). In July, the ECF, another foreign donor, was placed on the PRC’s watchlist.
Why did MHA do so?
When a foreign donor is included in the PRC, banks are required to obtain approval from the MHA prior to transferring any grant or donation to the intended NGO. The Economic Times first reported on Wednesday that the Foundation, one of the largest philanthropic organizations in the United States, was placed on the MHA’s ‘watchlist.’ It was founded by William R. Hewlett, one of the co-founders of Hewlett-Packard.
According to the official, the ECF directed the funds to NGOs working on climate change in India “with the sole purpose of creating a domestic narrative opposing the use of coal under the slogan ‘No New Coal’.”
TERI a recipient
The prestigious Energy and Resources Institute (TERI), the Shakti Sustainable Energy Foundation, the Centre for Policy Research, and the Centre for Internet and Society are all direct recipients of William and Flora Hewlett Foundation grants in India.
On September 13, 2021, The Hindu reported that the government had restricted funding to a group of ten American, Australian, and European non-governmental organizations (NGOs) concerned with environmental, climate change, and child labor issues.
The ECF, the Omidyar Network International, Humanity United and Stardust Foundation, Walk Free Foundation and Minderoo Foundation, Children’s Investment Fund Foundation, Freedom Fund, Laudes Foundation, and Legatum Fund have all been placed on the watchlist.
Other foreign donors, including the United States-based Compassion International, the Ford Foundation, the World Movement for Democracy, the Open Society Foundation, and the National Endowment for Democracy, had been targeted by the government.
The FCRA, 2010, regulates foreign donations and ensures that they do not jeopardize domestic security. It is applicable to all associations, groups, and non-governmental organizations (NGOs) that wish to accept foreign donations.