FCRA Donor and Project Due Diligence Checklist
Review foreign source, commitment, project budget, governance and utilisation controls.
Review foreign source, commitment, project budget, governance and utilisation controls. Use the sections below to understand the practical decisions, records and compliance points before taking action.
Identify the actual foreign source
Document legal identity, jurisdiction, ownership or control, contact, remitting bank and authorised signatory of the contributor.
Review the commitment document
A grant letter or agreement should specify amount, currency, purpose, duration, deliverables, reporting and restrictions consistently with the application and NGO objects.
Build a defensible project budget
Separate programme and administrative costs, map procurement and staffing and identify assets. Unsupported round-number budgets weaken control.
Check governance and key functionaries
Keep office-bearer, director or trustee information, Darpan ID, identity details, resolutions and conflict disclosures current.
Plan receipt and utilisation evidence
Create donor-wise and project-wise ledgers, bank linkage, invoices, contracts, payroll and utilisation reports before funds arrive.
Monitor changes before acting
Source, amount, purpose, key functionary, bank or address changes can require prior approval or intimation. Do not assume a grant amendment is only private paperwork.
Official References
Rules and portal requirements can change. Review the current official material relevant to the proposed company.
This article provides general information and is not a substitute for legal, tax or investment advice. Applicability should be reviewed for the proposed entity and current law.