Polity · 10 Aug 2026

FCRA Amendment Bill 2026 designated authority

With reference to the Foreign Contribution (Regulation) Amendment Bill, 2026, consider the following statements:

  1. The Bill vests an institution's foreign-funded assets in a government-appointed "designated authority" automatically upon cancellation, surrender or lapse of FCRA registration.
  2. Under the existing (pre-amendment) framework, an institution whose certificate lapsed could reclaim its assets upon re-registration.
  3. Proceeds from the sale of vested assets, if a fresh certificate is not obtained within the prescribed period, are credited to the Consolidated Fund of India.
  4. The Bill, as passed, applies retrospectively to FCRA registrations that lapsed before its enactment.

How many of the above statements are correct?

AOnly one
BOnly two
COnly three
DAll four

Tests the ability to isolate a bill's precise legal mechanics from surrounding political controversy, including correctly identifying what the bill does NOT do (retrospective application).

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This question is based on: The Hearing That Isn't Required
About this question

Why in news

The Opposition has demanded withdrawal or JPC referral of the FCRA Amendment Bill, 2026, ahead of its expected debate in Parliament around August 10-12, with Christian organisations specifically flagging the asset-vesting provision's lack of a prior hearing.

Why for UPSC

UPSC's "how many statements" format is well suited to testing precise legislative mechanics against commonly assumed features (like retrospective application) that a careless reader might wrongly infer from political controversy alone.

Prelims summary

The FCRA Amendment Bill, 2026 removes the reclaim right on lapsed FCRA registrations, vesting assets in a designated authority with proceeds going to the Consolidated Fund of India - but explicitly without retrospective effect.

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