General Body Approval needed?

Posted on December 24, 2014 by SRRF

Dear Sir,

I would like to seek clarification whether FCRA requires prior project approval from the general body of the organisation before sending it to the prospective donors.

Thanks & Regards,
Preeti

—
Coordinator – Admin & Accounts
HAQ: Centre for Child Rights
B 1/2, Ground Floor
Malviya Nagar
New Delhi 110017

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4 Responses to General Body Approval needed?

  1. Prabhjot Sodhi says:
    December 29, 2014 at 7:25 am

    Dear Colleagues

    Hello any project prepared to be submitted to donors requires no prior approval from Board of the institution. We have done many such FCRA BASED PROJECTS. Accounts for all such projects to be done through the FCRA account. Separate clean n clear ledgers need to maintained. Happy New Year 2015. All the best
    Rgds
    Sodhi

    Sent from my iPhone

  2. B V Soma Sastry says:
    December 26, 2014 at 7:40 am

    Dear Preeti,

    It is a good governance practice to bring such things to the notice of the General Body before sending the same to the donors. There is no requirement for FCRA in this regard. FCRA is restricted to only control the inflow and outflow of FC funds.

    Thanks and regards,

    B V Soma Sastry

  3. Dr. O. P. Kulhari says:
    December 25, 2014 at 4:50 am

    I fully agree with the response of Mr. P. K Sriraman that there is no need for getting approval / endorsement from the General Body before submission of proposal and agreeing with the donor if the General Body of the organization has authorized or included in the roles and responsibilities of the chief functionary (secretary / director) of the organization to do so.
    Dr. O. P. Kulhari
    Secretary
    CULP, Jaipur

  4. PK Sriraman says:
    December 24, 2014 at 8:23 am

    Hi Preeti

    I don’t think it is practically possible to get all the project proposals vetted by the General Body, before submission to a prospective donor. What is crucial is, as a matter of good governance, the Governing Board of the Organisation should be in the know of the project activities. This could be done, either through a regular communication to the Board Members, as a monthly, bi-monthly or a quarterly project update. However, I am aware some institutional donors insist that the proposal be approved by the Board. This is more to ensure that the Board has committed to providing oversight to the proposed project. If there is any such requirement from the donor’s end, then the Board needs to pass a simple resolution (either through circulation or through tele-conference, in cases where a regular Board meeting cannot be convened) authorising someone to submit the proposal for funding and to sign up the necessary agreements to receive the funds and to initiate the project activity.

    Sriraman

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