UPSC Prelims Practice Questions — JPC members question Centre on FCRA Bill’s asset takeover provisions
Q1. The grant of registration and prior permission under the Foreign Contribution (Regulation) Act, 2010 is processed by which one of the following?
- A. The Internal Security Division of the Ministry of Home Affairs, Government of India
- B. The Foreign Exchange Department of the Reserve Bank of India, Central Office
- C. The FCRA Wing of the Foreigners Division, Ministry of Home Affairs
- D. The Financial Intelligence Unit–India of the Department of Revenue
Q2. The Foreign Contribution (Regulation) Act, 2010 replaced which one of the following as the principal central law regulating the acceptance and utilisation of foreign contribution in India?
- A. The Foreign Contribution (Regulation) Act, 1976
- B. The Foreign Exchange Regulation Act, 1973
- C. The Foreign Exchange Management Act, 1999
- D. The Foreign Contribution (Acceptance or Retention of Gifts or Presentations) Rules, 2012
Q3. Since the 2020 amendment to the Foreign Contribution (Regulation) Act, 2010, foreign contribution may be received only in an 'FCRA account' opened in one single specified branch. That branch is the:
- A. New Delhi Main Branch of the State Bank of India, as notified by the Central Government
- B. New Delhi Main Branch of the Punjab National Bank, as notified by the Central Government
- C. Parliament Street branch of the Reserve Bank of India at New Delhi
- D. Sansad Marg branch of the Bank of Baroda at New Delhi
Q4. Taking together the initial period permissible under the parent Act and the maximum extension introduced by the 2020 amendment, an FCRA certificate may be kept under suspension, pending consideration of the question of its cancellation, for a maximum of how many days?
- A. 180 days
- B. 270 days
- C. 360 days
- D. 540 days
Q5. Under the Foreign Contribution (Regulation) Amendment Bill, 2026, the foreign contribution of an association and the assets created out of it are to vest in the Designated Authority in how many distinct situations specified in the Bill?
- A. Two
- B. Three
- C. Four
- D. Five
Q6. With reference to the custody and disposal of assets created out of foreign contribution, consider the following:
1. Prescribed authority for custody of such assets under the existing law — the Additional Chief Secretary or Principal Secretary (Home) of the State or Union Territory concerned
2. Designated Authority proposed by the Foreign Contribution (Regulation) Amendment Bill, 2026 — an authority appointed by the Central Government
3. Destination of the proceeds of disposal of such assets where registration is not restored within the prescribed period — the Consolidated Fund of India
4. Forum for revision against an order of the Designated Authority — the Court of the District Judge, within 90 days of the order
Which of the above is/are correctly identified?
- Prescribed authority for custody of such assets under the existing law — the Additional Chief Secretary or Principal Secretary (Home) of the State or Union Territory concerned
- Designated Authority proposed by the Foreign Contribution (Regulation) Amendment Bill, 2026 — an authority appointed by the Central Government
- Destination of the proceeds of disposal of such assets where registration is not restored within the prescribed period — the Consolidated Fund of India
- Forum for revision against an order of the Designated Authority — the Court of the District Judge, within 90 days of the order
- A. 1 and 4 only
- B. 2, 3 and 4
- C. 1, 2 and 3
- D. 3 and 4 only
Q7. Of the total membership of the Joint Parliamentary Committee to which the Foreign Contribution (Regulation) Amendment Bill, 2026 was referred, how many members are drawn from the Lok Sabha?
Q8. Consider the following statements regarding the Foreign Contribution (Regulation) Amendment Bill, 2026:
1. It was introduced in the Lok Sabha in March 2026 by a Minister of State for Home Affairs.
2. It was referred, in August 2026, to the Department-related Parliamentary Standing Committee on Home Affairs.
3. It amends the Foreign Contribution (Regulation) Act, 2010, which is administered by the Ministry of External Affairs.
4. It reduces the maximum term of imprisonment for offences under the parent Act from five years to one year.
Which of the above is/are NOT correct?
- It was introduced in the Lok Sabha in March 2026 by a Minister of State for Home Affairs.
- It was referred, in August 2026, to the Department-related Parliamentary Standing Committee on Home Affairs.
- It amends the Foreign Contribution (Regulation) Act, 2010, which is administered by the Ministry of External Affairs.
- It reduces the maximum term of imprisonment for offences under the parent Act from five years to one year.
- A. 1 and 4
- B. 2 and 3
- C. 3 only
- D. 2, 3 and 4
Q9. Which one of the following statements about the basis on which a Joint Parliamentary Committee (JPC) functions is correct?
- A. Its terms of reference flow from the motion constituting it, and need not be confined to scrutiny of government finances.
- B. The Rules of Procedure of both Houses prescribe a uniform composition which every JPC must invariably follow.
- C. Every JPC must necessarily be chaired by a member of the Rajya Sabha nominated by the Chairman of that House.
- D. The recommendations of a JPC are binding on the Government in all cases once its report is laid before both Houses.
Q10. Consider the following statements about Joint Parliamentary Committees and the Public Accounts Committee:
1. A Joint Parliamentary Committee is an ad hoc body brought into existence for a specified purpose by a motion of Parliament.
2. The mandate of a Joint Parliamentary Committee is confined to examining whether the money granted by Parliament has been spent by the Government as authorised.
3. A Joint Parliamentary Committee cannot compel the Government to act upon its recommendations.
4. Of the 30 members of the Joint Parliamentary Committee on the stock market scam, 20 were from the Lok Sabha.
Which of the statements given above is/are correct?
- A Joint Parliamentary Committee is an ad hoc body brought into existence for a specified purpose by a motion of Parliament.
- The mandate of a Joint Parliamentary Committee is confined to examining whether the money granted by Parliament has been spent by the Government as authorised.
- A Joint Parliamentary Committee cannot compel the Government to act upon its recommendations.
- Of the 30 members of the Joint Parliamentary Committee on the stock market scam, 20 were from the Lok Sabha.
- A. 1 and 2 only
- B. 2 and 3
- C. 1, 3 and 4
- D. 1 and 4 only
Q11. Under the Foreign Contribution (Regulation) Amendment Bill, 2026, after the revisional stage is exhausted, the first judicial forum before which an order relating to vesting of assets may be carried is:
- A. The High Court having jurisdiction over the registered office of the association
- B. The Court of the District Judge within whose jurisdiction the matter arises
- C. The Appellate Tribunal constituted under the Foreign Exchange Management Act, 1999
- D. The Secretary, Ministry of Home Affairs, exercising powers of revision
Q12. The power of the Central Government to cancel a certificate of registration, if it is satisfied after such inquiry as it may deem fit, is conferred by which one of the following sections of the Foreign Contribution (Regulation) Act, 2010?
- A. Section 12
- B. Section 13
- C. Section 14
- D. Section 15