An Indian NGO having FCRA registration has entered into a research project contract with a foreign organization.
This NGO now wants to assign a major portion of this contract to another Indian NGO not having FCRA regn by a rupee contract.
The former NGO will pay in rupee to later NGO. Is this possible or the receiving NGO must have FCRA registration?
Section 2(1)(a) of FCRA defines the term association as : “ association” means an association of individuals, whether incorporated or not, having on office in India and includes a society, whether registered under the Societies Registration Act, 1860 (21 of 1860), or not, and any other organisation, by whatever name called ; The Act does not specify registration as a condition precedent to for the purposes of this act. It is not necessary for an association to be a registered one but there must be some documentary evidence to establish the existence and activities of the association. But for all practical purposes registration is a defector necessity.
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