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Court ruling maintains access to funding for cultural and education organisations

Event Summary

The Madras High Court, through Justice G.R. Swaminathan, quashed the Ministry of Home Affairs’ (MHA) September 2025 rejection of Foreign Contribution Regulation Act (FCRA) registration for the Coimbatore-based organisation Arsha Vidya Parampara Trust. The MHA had alleged unauthorized receipt of foreign funds and classified the Trust’s activities—teaching the Bhagavad Gita, Vedanta, and Yoga—as “religious,” rendering it ineligible under FCRA norms.

In its 19 December 2025 judgment, the Court held that the Bhagavad Gita represents moral science and an integral part of Bharatiya civilization, not a religious text. It emphasized that Yoga and Vedanta are universal, secular knowledge systems aligned with citizens’ constitutional duties under Articles 51A(b) and 51A(f) to promote harmony and preserve cultural heritage. The Court relied on prior Allahabad High Court precedent and noted that the Trust already held Income Tax 12A approval affirming its non-religious charitable status.

The Court criticized the MHA’s order as vague, lacking specific details on alleged foreign fund violations, and violative of natural justice due to the absence of prior notice or hearing. It directed the government to conduct a fresh hearing, provide proper notice and relevant materials if it intended to rely on allegations of foreign contribution transfer, and pass a reasoned order in accordance with law within three months.

The ruling safeguards access to foreign funding for cultural and educational trusts engaged in heritage promotion without being arbitrarily labeled as religious. It also fits within a broader judicial pushback against restrictive FCRA enforcement, especially after the 2020 amendments that led to the cancellation of over 20,000 NGO registrations. Overall, the decision strengthens transparency, funding access, and autonomy for civil society organizations while reinforcing judicial oversight over administrative discretion.

 

 

 

 

 

 

 

 

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