Riley Moore

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Proposed amendments to India’s foreign funding law have been criticised by the United States after Republican Congressman Riley Moore claimed they could lead the government to take over churches and religious charities. The comments have reignited the debate over the proposed Foreign Contribution (Regulation) Amendment Bill, 2026, even as the centre says the changes are intended to enhance transparency and prevent the misuse of foreign funds.

West Virginia’s representative in the US House of Representatives, Moore, posted concerns on X, warning that the proposed legislation, if passed as is, could become a problem in India-US relations. He called it “a clear attack against Christians,” warning that the legislation, if it gets passed, could become a concern in India-US bilateral relations.

His remarks come amid a debate in Parliament on amendments to the Foreign Contribution (Regulation) Act (FCRA), the law which regulates how NGOs, charitable trusts, educational institutions, religious groups and other associations receive and utilise foreign funding.

What Is The FCRA Amendment Bill Suggesting?

The Foreign Contribution (Regulation) Amendment Bill, 2026, seeks to amend the existing regime of foreign-funded organisations in the country.

One of the most controversial suggestions is the establishment of a designated authority appointed by the government. In the event of cancellation, surrender or expiry of registration of an organisation under the FCRA without renewal, this authority shall temporarily take over the management of foreign contributions and of assets created from such contributions.

The Bill also requires that where such assets include a place of worship, it must be maintained by the designated authority in a way that preserves its religious character.

Beyond these provisions, the proposed legislation includes several other changes:

The organisation must have used a minimum of Rs 10 lakh in foreign contributions over the last two financial years to renew its FCRA licence.

NGOs and other incorporated bodies must declare many details about their operations to the public. Details include their physical addresses and the internet addresses of websites and social networks, which are already published as required by law.

Further, it is recommended that the maximum sentence for an offence under the Act be limited to one year, down from five years.

Why Has The Bill Caused A Debate?

The proposal has raised concerns among several church organisations, civil society groups and opposition leaders.

Critics say institutions created with foreign donations received through legal means could come under government control if an organisation fails to renew its registration under the Foreign Contribution (Regulation) Act or if its licence is cancelled.

They’re worried that the amendments could have repercussions for religious organisations and charity groups that currently receive funds from foreign donors. But the government said, in defending the amended law, that it is meant to enable tighter monitoring and transparency of where and how foreign funds are being used and to stop any abuse, not to target religious outfits.

Why is FCRA Important In India?

The FCRA is a principal piece of legislation used to control the reception of donations of foreign origin by associations and bodies incorporated.

The Ministry of Home Affairs data showed that 13,520 organisations were credited with receiving foreign funding of ₹55,741 crore from 2019 to 2022. As per the data with the government, FCRA registrations were 14,449, while cancelled registrations were 22,498 as of July 15, 2026. There were 15,212 FCRA registrations which had expired.

Not The First Time That US Lawmakers Have Raised Concerns

Riley Moore is not the first American legislator to have spoken out on India’s FCRA framework. US Representative Chris Smith and members of the US Senate Foreign Relations Committee have recently raised concerns about religious freedom and regulations that apply to civil society organisations working in India.

While Moore has called the proposed changes “a clear attack against Christians,” the Indian government has insisted repeatedly that the legislation is aimed at increasing accountability and ensuring foreign funds are used legally. The Bill is currently under consideration, and the final provisions will depend on the parliamentary process.

Priyanka Roshan is a business writer and assistant editor at the NewsX website who tracks everything from stock market swings and corporate earnings to personal finance trends and policy shifts. Known for turning fast-moving business developments into sharp, reader-friendly stories, she combines speed, accuracy, and a data-driven approach to break down complex financial news for everyday audiences.

With over 9.5 years of newsroom experience, Priyanka has worked with leading media organisations, including Moneycontrol, Times Now, and Ping Digital, covering diverse beats such as business, politics, technology, auto, travel, sports, and the world. From live breaking news desks to SEO-led digital storytelling, she specialises in creating engaging content that keeps readers informed without overwhelming them.