NGOs are legally constituted organizations, operate independently from the government and are generally considered to be “non-state, non-profit oriented groups who pursue purposes of public interest”.
Why banned:
Many of them were found to be violating some provision of the act in some manner, for example Greenpeace India was banned for exceeding the cap on administrative expenditure.
Many NGOs were put on MHA’s watch list on request of the state government, e.g. Ford foundation was put on watch list on request of Gujarat government.
Advantage for India due to:
- It will help in countering activities which are detrimental to the economy. For ex. It is expected that UK based group are funding agitation against power plants.
- It will help in bringing transparency in the funding of NGO’s.