Govt takes action against NGOs misusing funds

New Delhi: The Centre has frozen accounts of 30 NGOs following allegations of misuse of foreign funds and banned 70 other voluntary organisations from receiving donations from abroad.

Minister of State for Home Mullappally Ramachandran told Lok Sabha today that 24 cases of alleged misuse of foreign contribution have been referred to the CBI for investigation and seven cases have been handed over to state police.

"35 NGOs have been placed in prior-permission category, accounts of 30 NGOs have been frozen and 70 NGOs have been prohibited from receiving foreign contribution," he said.

Last week, Ramachandran had said that preliminary reports suggested alleged misuse of foreign funds for opposing the setting up of the Kudankulam nuclear plant in Tamil Nadu and a probe has been ordered into it.

Rs 9914.19 crore foreign contribution was received by 21,365 NGOs in 2007-08, Rs 10987.05 crore by 22,544 NGOs in 2008-09 and Rs 10340.25 crore by 21,674 NGOs in 2009-10.