Teesta's foreign funding under CBI lens

In fresh trouble for social activist Teesta Setalvad, the Centre on Friday asked the CBI to probe the receipt of over Rs3 crore by private firm Sabrang Communication and Publishing Pvt limited (SCPPl) linked to her from foreign donors, including US-based Ford Foundation, in alleged violation of FCRA rules.

To complicate matters further for Setalvad, a prime witness in the Best Bakery case has moved a complaint before the Gujarat Police to probe the role of Setalvad in influencing a former Additional DGP to falsely implicate the Gujarat Government in the riots.In a parallel move, the Government froze the bank account of the firm located in Juhu, Mumbai, as the Home Ministry claimed that the firm was not authorised to receive funds from abroad as it was not registered under the Foreign Contributions Regulation Act (FCRA).

SCPPl had received foreign donation of $2,90,000 and Rs1.30 crore in “contravention” of the FCRA and without getting clearance of the Home Ministry, said the Ministry’s letter to CBI while ordering a probe. According to rules, a private firm can accept donations from overseas only if it is registered under the FCRA. The Ministry also asked IDBI to freeze an account of the firm and not to allow further credit and withdrawal of foreign contribution without its permission, it said.

A number of violations of rules and discrepancies were noticed by Home Ministry officials who had conducted an inspection between June 8-10 of the accounts and records of the firm for the period 2006-07 to 2014-15 at its Mumbai office.

“It is stated that lobbying with political parties is not allowed as per provision of FCRA 2010,” the Ministry said quoting the findings of the inspection. The inspection findings cited an agreement between Sabrang and Ford Foundation which restricted the use of funds for “charitable, scientific literacy or educational purpose” but the firm was not rendering any service. 

Moreover, SCPPl is prohibited to receive foreign fund as it is publishing monthly periodicals and two of its Directors even write columns and articles in newspapers, Ministry said.In a related development that has added to Setalvad’s woes, a victim in the Best Bakery - Yasmeen Banu Sheikh has complained that social activist Teesta Setalvad the then Gujarat’s former Additional DGP RB Sreekumar had influenced key witnesses with Yasmeen being one of the star eye witnesses of the Best Bakery case.

In her complaint to the Gujarat Police she has said that Sreekumar filed three affidavits before the Justice Nanavati Shah Commission appointed by the Gujarat Government to enquire into the communal riots of 2002, with the last being totally in variance with the first. While the first two affidavits praised the Gujarat Government and its machinery in containing riots, the last affidavit made a volte face accusing the state for abetting the riots. 

According to Yasmeen, Sreekumar changed statement either under the influence of Setalvad who was closely working with him or it was part of some quid pro quo, which needs to be investigated. The matter has been referred to the Ahmedabad Crime Branch for further probe.It is significant to note that in the recent past, the Gujarat Government had sought action against Ford Foundation for “abetting” anti-India activities and demanded an independent probe into the role played by the US-based organisation in helping Setalvad’s NGO to promote “communal disharmony”.

In April, the Government had blocked banks to release funds from Ford Foundation to any Indian NGO without mandatory permission from a nodal officer in the Home Ministry. While Setalvad has maintained that the NGO Sabrang Trust is cooperating with Home Ministry, the Gujarat police is still enquiring into allegations of embezzlement of funds by two trusts managed by Setalvad in connection with donations received for a museum to honour victims of Gubarga Society riots as part of the 2002 post-Godhra riots witnessed in Gujarat. 

Setalvad, on the other hand has complained of witch-hunting by the State Government and Centre for taking up the victims’ cause against the State and State agencies.