On 28 September 2026, two government officials, including a Senior Accountant posted in the Ministry of Home Affairs’ (MHA) Foreigners Division, were apprehended by the Delhi Police Special Cell for allegedly seeking illegal gratification from an association in return for facilitating its pending registration under the Foreign Contribution (Regulation) Act (FCRA). Preliminary questioning reportedly indicated that the officials were in contact with associations seeking FCRA registration and renewal approvals in exchange for illegal payments.
Following the arrests, the MHA issued transfer and repatriation orders affecting three senior officers associated with the Foreigners-II Division and the FCRA wing. According to the order, Joint Director Saurabh Bansal and Deputy Director Aayush Bansal were repatriated to their parent cadres with immediate effect on 1 October 2026, while the services of Deputy Secretary Rajesh Kumar T were surrendered to the Department of Personnel and Training (DoPT) for premature repatriation to the parent cadre through an order issued on 2 October 2026.
The transferred officers were not named as accused in the bribery case. However, the developments occurred within days of the arrests and brought increased attention to oversight, transparency, and administrative integrity within the division responsible for FCRA administration.
FCRA registration is a prerequisite for many civil society organisations to legally receive foreign funding. Allegations of corruption within the registration and renewal process raise concerns regarding fair and predictable access to financial resources. While the arrests, investigation, and subsequent administrative action demonstrate a response by public authorities to allegations of misconduct within a government department, the allegations may undermine trust in regulatory institutions and create concerns regarding the fairness and predictability of decision-making.
If investigations uncover broader procedural weaknesses, the case could prompt reforms in FCRA administration, including stronger internal oversight, digital safeguards, transparency measures, and accountability mechanisms. Such reforms could have wider implications for how civil society organisations interact with regulatory authorities in India.