Soft target

The year 2001 may have been declared as the year of volunteers, but the Orissa government has other ideas. Recently, the state finance minister Ram Krushna Patnaik introduced a resolution in the state assembly to curb the powers of some 2,000-odd non-governmental organisations (ngos) operating in the state. "We want the functioning of the ngos to become more transparent by subjecting them to an audit of the Comptroller & Auditor General," he claimed ( see interview). This has enraged the ngo community, which feels that the state government wants to kill the independent character and effectiveness of the ngos. Representatives of several ngos contacted the state's chief minister Naveen Patnaik but to their utter dismay he was unaware of the move."It is unconstitutional, illegal and unethical," alleges Banka Behary Dash, an environmentalist.

The resolution, which could become a law during the next state assembly session, says that ngos should be accountable to the state government for the funds received by them as well as for their performance. Another provision of the bill is to strengthen legal and administrative action that can be taken if the ngos are found guilty of misappropriating funds. A policy framework would be evolved to ensure proper accounting of funds. The ngos would be under an obligation to get their auditing done by authorities recommended by the government. Norms will be introduced for development and welfare activities of the ngos and it would be mandatory for them to reveal information pertaining to these activities.
Outrage Officials say that the resolution will help in protecting public interest through proper accounting and auditing of funds given to ngos. "But ngos are already accountable for their conduct under various laws and regulations approved by the Constitution," says one ngo activist. Any act to control the functioning of the ngos would mean violation of the right to freedom of speech guaranteed under article 19 of the Constitution.

"The resolution violates our basic rights to form associations and work as we like. The state should enter into a dialogue with the ngos before taking any further decision," says Aditya Patnaik of Antodaya Chetana Mandal, a Mayurbhanj-based ngo. Jagadananda, member-secretary of the Centre for Youth & Social Development, an ngo , questioned the ability of the state government to audit the ngos when it has failed to review the accounts of the state departments in a transparent manner. Sunil Patel of Parivartan, a Kalahandi-based ngo , says that such a resolution violates the laws.

The Foreign Contribution Regulation Act (fcra) makes the ngos receiving funds from international donors accountable to the Union government for their financial conduct. "All ngos registered under fcra submit their audited statement of expenditures to the Union ministry of home affairs. If the state government is having any problem they can ask the details from the ministry. The resolution is nothing but a way to kill our independent nature that makes us more efficient," concedes Patel.
Role reversal
The ngos allege that the resolution has been introduced to protect the interests of a few greedy politicians in the state. For the last two decades, the role of ngos in the civil society has been changing -- from spreading awareness to advocating policies. Experts believe that corrupt practices of politicians in nexus with industrial houses, mining lobbies and contractors are feeling threatened by the presence of such organisations. Moreover, the ngos are now being given importance by many international bodies and national organisations like the Planning Commission.

For example, the commission recently asked Agragamee, an ngo , to evaluate government development projects going on in Kalahandi, Bolangir and Koraput districts. This evoked resentment among the political circles. Biswajit Mishra of Bhubaneshwar-based ngo Vikashdhara says that the commendable work being done by the ngos is discrediting the politicians' stronghold even in their own constituencies. "Politicians cheat people by saying that development assistance is not available. But the ngos are able to mobilise the assistance and this puts them in a tight spot," says Mishra. Another reason behind the political resentment is the rescue, relief and rehabilitation work done by the ngos during natural calamities especially after the super cyclone destroyed large parts of the state. Such activities increased the popularity of the ngos but exposed the corruption and inaction on part of the government officials. Ashok Nanda of Vikash, a Bhubaneshwar-based ngo, says that the objective of the introducing the resolution is to make the ngos dance to their tunes.

But the bone of contention, many believe, is what happened in Kashipur region of Rayagada district, which is home to many indigenous people. The Utkal Alumina International Limited had proposed to mine bauxite and set up an alumina plant. While the company and government claimed that only three villages would be affected by this project, ngos estimate that the livelihood of people living in 100 villages would be jeopardised. The local people and the ngos had been protesting against this project.

In one of the protests, three people were killed in Maikanch village on December 16, 2000, when they clashed with the police. A sustained campaign by ngos led to the project being put off for at least another year. The role played by ngos has the government gunning for some select ngos.

Many feel that the resolution is against the democratic spirit of the government and will affect the effective functioning of ngos. Aditya Patnaik opines that once the resolution is passed, ngos involved in welfare activities will suffer a setback. "In the name of controlling corruption, the officials will discourage the ngos from doing good work. This would demoralise the honest ngos," says Rajendra Behera of Pragati, a Sundargarh-based ngo. "Once the resolution is passed corrupt ngos will be able pass the audit test, but honest ones will fail as they will not be able to meet the demands of the officials," alleges Behera. Jagadananda says that the system of dual control of the state government and donor agencies will create further confusion and the ngo movement is bound to suffer.

Past attacks
This is not for the first time that the ngos of the state are being targeted with respect to the management of funds. In 1995-96, the Council for Advancement of Peoples Action and Rural Technology (capart), an agency of the Union government that funds ngos, had blacklisted 20 Orissa ngos for misappropriation of funds. But many experts allege that most of the ngos blacklisted had received money in connivance with corrupt officials of capart, but later failed to give the officials their 'share.' That is why they were blacklisted, they allege.

For now, the ngos are trying to get the government to withdraw the order. They say that making ngos accountable to the government would mean curbing the freedom of the civil society. Instead of solving problems, the resolution will prove to be detrimental for the state that is already facing many problems. Experts believe that the resolution will not only result in the collapse of the ngo network of the state, but also affect the flow of national and international aid for relief works.