Restriction to utilise foreign contribution for administrative purpose
Section 8 of the Foreign Contribution (Regulation) Act, 2010 deals with restriction to utilise foreign contribution for administrative purpose. Every person, who is registered and granted a certificate or given prior permission under this Act and receives any foreign contribution,-- (a) shall utilise such contribution for the purposes for which the contribution has been received: Provided that any foreign contribution or any income arising The Act came into force on 01 May 2011.
(1) Every person, who is registered and granted a certificate or given prior permission under this Act and receives any foreign contribution,--
(a) shall utilise such contribution for the purposes for which the contribution has been received:
Provided that any foreign contribution or any income arising out of it shall not be used for speculative business:
Provided further that the Central Government shall, by rules, specify the activities or business which shall be construed as speculative business for the purpose of this section;
(b) shall not defray as far as possible such sum, not exceeding 1[twenty per cent.] of such contribution, received in a financial year, to meet administrative expenses:
Provided that administrative expenses exceeding 1[twenty per cent.] of such contribution may be defrayed with prior approval of the Central Government.
(2) The Central Government may prescribe the elements which shall be included in the administrative expenses and the manner in which the administrative expenses referred to in sub-section (1) shall be calculated.
Section 8, The Foreign Contribution (Regulation) Act, 2010 (Act 42 of 2010).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
Referred to by 1
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Commonwealth Human Rights Initiative v. Union of India
Court's Decision & Legal Precedent
DATE VERIFIED Final Order 2022-02-14 (order-1.pdf): Challenge to FCRA suspension/cancellation measures; Court examines alleged refund of unutilised foreign contribution to donor as violation of s.8(1)(a) utilisation restriction, alongside s.12(4)/s.17 banking issues. Interprets s.8(1)(a) purpose-bound utilisation constraint in the suspension/cancellation enquiry framework.
On this section: s.8(1)(a) — contribution must be utilised for the purpose for which received; refund-to-donor allegation assessed as potential s.8 breach.
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Made under this section, and citing it
2 instruments name this provision in its title or its text without being made under it.
Questions about Section 8
What have the courts held on Section 8 of the Foreign Contribution (Regulation) Act?
Commonwealth Human Rights Initiative v. Union of India (14 Feb 2022) is the leading judgment on this section among those set out below: s.8(1)(a) — contribution must be utilised for the purpose for which received; refund-to-donor allegation assessed as potential s.8 breach.
How do I find court cases under Section 8 of the Foreign Contribution (Regulation) Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Foreign Contribution (Regulation) Act 8, section 8 Foreign Contribution (Regulation) Act, section 8 of the Foreign Contribution (Regulation) Act. People searching for it also type section 8 of foreign contribution regulation act 2010. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with Commonwealth Human Rights Initiative v. Union of India (14 Feb 2022).
What should I read with Section 8 of the Foreign Contribution (Regulation) Act, and has it changed?
1 other provision in this corpus refers back to it. 2 instruments name it without being made under it, most recently Comounding of Offence under FCRA, 2010 (2018), then Compounding of Offence under FCRA, 2010 (2018).
When did Section 8 of the Foreign Contribution (Regulation) Act come into force?
Section 8 of the Foreign Contribution (Regulation) Act, cited as Foreign Contribution (Regulation) Act 8, came into force on 01 May 2011, having been enacted on 26 Sep 2010. It is in force as at the date shown on this page.
Other sections of this Act
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 14 Oct 2026. This page is not a substitute for legal advice.