Genuine NGOs have been impacted by the June 2026 rules, which were introduced to curb fake organisations allegedly misusing foreign funds.
Anantapur:Thousands of poor people are facing financial hardship after fresh regulations under the Foreign Contribution (Regulation) Act (FCRA) have made it difficult for charities to extend medical aid at corporate hospitals, restricting assistance largely to maternal and paediatric care. Genuine NGOs have been impacted by the June 2026 rules, which were introduced to curb fake organisations allegedly misusing foreign funds.
Under the new regulations, NGOs must register their activities under five separate categories — religious, medical, educational and others — to receive foreign aid through FCRA grants. Unlike earlier, they can no longer access funds across multiple wings without specific registration. Medical aid has become harder to provide, particularly for poor patients who relied on NGOs for treatment at corporate hospitals, especially for ailments not covered under the Aarogyasri scheme.
Tens of thousands of patients in Rayalaseema had benefited from Rural Development Trust (RDT), which runs three major hospitals in Anantapur and Satya Sai districts and also supported treatment in Bengaluru. However, RDT has reportedly stopped financial assistance for Bengaluru hospitals due to the new restrictions. People in the region are demanding exemptions for RDT, which they say is a purely medical organisation and not registered under religious activities.
Sources said the FCRA regulations were split into five components, requiring NGOs to register based on their specific activities. Reports suggest that several NGOs were misusing funds in the name of religious work, prompting stricter rules. A few weeks ago, a Ballari‑based NGO in Karnataka allegedly attempted to promote conversions in Rayadurg, Anantapur district, leading locals to alert authorities.
