In what can turn out to be a big controversy, the Union Home Ministry has cancelled the Foreign Contribution Regulation Act (FCRA) license of the two charitable organisations in the name of former Prime Minister Rajiv Gandhi for alleged violations of the law. The trusts that were found in violation of the law are Rajiv Gandhi Foundation (RGF) and Rajiv Gandhi Charitable Trust (RGCT) which are associated with the Gandhi family.
The action came after investigations carried out by an inter-ministerial committee found some monetary irregularities in the fund collection. The probe was conducted by a panel formed in 2020 by the MHA.
Earlier, Congress’s political rivals- BJP alleged that RGF received funds from the embassy of the People’s Republic of China and the committee probed the funding of the RGF and the RGCT.
BJP president J P Nadda said that the Gandhi-family-led foundation took $300,000 from the People’s Republic of China and the Chinese embassy in 2005-06 to carry out studies that were not in the national interest.
The committee investigated funds received by these organisations with respect to a suspected violation of the Prevention of Money Laundering Act (PMLA), the Foreign Contribution Regulation Act (FCRA), and the Income Tax Act.
In a statement released in the year 2020, the home ministry said, “MHA sets up inter-ministerial committee to coordinate investigations into violation of various legal provisions of PMLA, Income Tax Act, FCRA etc. by Rajiv Gandhi Foundation, Rajiv Gandhi Charitable Trust & Indira Gandhi Memorial Trust. Special. Dir of ED will head the committee.”
The investigation and the subsequent action are significant as both these charitable funds are headed by Sonia Gandhi and the irregularities put them in a bad spot when the age-old party is already reeling with rough conditions.
