Bill removes Section 15, adds Chapter IIIA on foreign asset vesting

This Bill amends the Foreign Contribution (Regulation) Act, 2010 to update references to newer laws (such as the Companies Act, 2013 and Bharatiya Nagarik Suraksha Sanhita, 2023) and to establish a new mechanism for vesting foreign contributions and assets in a 'Designated authority' when a recipient's certificate is cancelled, surrendered, or ceases to exist.

The law affects persons (including companies, firms, trusts, societies, and political parties) who are permitted to accept foreign contributions, as well as the Central Government and the newly defined 'Designated authority' and 'Administrator'.

• Substitutes references to the Code of Criminal Procedure, 1973 with the Bharatiya Nagarik Suraksha Sanhita, 2023.
• Updates references to the Companies Act, 1956 with the Companies Act, 2013.
• Defines 'Administrator' and 'Designated authority' as officers or authorities notified by the Central Government.
• Defines 'key functionary' to include directors, partners, trustees, Karta of HUF, and office bearers of societies or associations.
• Extends the validity of a foreign contribution certificate to five years.
• Prohibits the alienation or encumbrance of assets created from foreign contribution without prior Central Government approval.
• Introduces new Chapter IIIA (Sections 16A-16E) for the vesting of foreign contributions and assets in the Designated authority upon cancellation, surrender, or cessation of the certificate.
• Mandates that if a certificate is not renewed or restored within a prescribed period, the assets permanently vest in the Designated authority.
• Allows the Designated authority to sell vested assets, with the certificate of sale serving as conclusive proof of ownership for the transferee.
• Requires the Designated authority to maintain records and report violations to the Central Government.

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