India used G7 watchdog's pointers to make trouble in civil society's 'legitimate' work: Amnesty

The Indian government has used the recommendations of Financial Action Task Force (FATF) to "paint" the entire civil society with the "same brush"  to put "indiscriminate sanctions" against them and create trouble in their "legitimate" work, the Amnesty International claimed on Wednesday.

In its report Weaponizing Counter-Terrorism: India’s Exploitation of Terrorism Financing Assessments to Target Civil Society, it said one of the unintended consequences of the implementation of 40 recommendations of the FATF was "undoubtedly" been the tightening of Foreign Contribution Regulation Act, Prevention of Money Laundering Act and Unlawful Activities (Prevention) Act.

The report comes ahead of India's fourth round of the mutual evaluation process of the FATF in November this year.

It said the provisions within the amended FCRA are being used by central enforcement agencies in a coordinated campaign to stifle the non-profit sector itself.

"The weaponisation of the central investigating agencies under these laws against civil society is akin to a death blow to the legitimate human rights work of independent human rights defenders and NGOs in India. The misuse of these laws to harass and intimidate Indian civil society has instilled a grave fear of reprisals and has debilitated the entire sector’s efficiency in holding the Indian government accountable," it said.

The report said FATF recommendation specifies that the non-profit organisations could face curbs if they are susceptible to terrorism financing abuse but they should be identified through a “risk-based” analysis. Corrective measures must be focused and proportionate to avoid disrupting the legitimate activities of NPOs.

Citing an example, the report referred to the amendment to the FCRA where all NPOs were made to open accounts in Delhi. It said the government data itself showed that 92.3 per cent of the NGOs in India were registered in states other than Delhi and this requirement has proved to be "burdensome and resource intensive for many".

"India has introduced laws on regulating foreign contribution, preventing money laundering and amendments to the counter-terrorism law in response to the FATF assessments...These laws have also been amended multiple times without adequate public and legislative consultation. They subject NPOs to burdensome administrative requirements and leave their office-bearers and other independent human rights defenders vulnerable to the risk of arbitrary arrest and prolonged detention," it said.