Chennai: Hinduism is inclusive while the Abrahamic religions are inherently exclusive, the Madras High Court has observed while upholding the Centre’s refusal to grant registration under the Foreign Contribution (Regulation) Act (FCRA) to a Kodaikanal-based trust.
“Unlike Hinduism which is inclusive, the Abrahamic religions are inherently exclusive. The devout Jews, Christians and Muslims believe that theirs is the one true and complete revelation because that is what their Holy books say of themselves,” a division bench of Justices GR Swaminathan and MD Sumathi said.
The bench made the remark while examining the claim of the Kanzeon Public Charitable Trust that its activities were not religious. It noted that the person behind the trust was an ordained Christian priest and that the trust’s meditation centre prominently displayed a Christian cross alongside a statue of the Buddha.
The trust, which runs a Montessori school and a Zen meditation centre in the hill town, had appealed against an order of the Deputy Director (FCRA) in the Union Home Ministry rejecting its application for registration. The court dismissed the appeal, holding that the trust had failed to disclose its religious character.
Under the FCRA, organisations must register with the Home Ministry to receive donations from abroad. The application form, FC-3A, requires them to state whether they are religious, cultural, economic, educational or social bodies and, if religious, whether they are Hindu, Sikh, Muslim, Christian, Buddhist or belong to any other faith.
Conversion concerns
Describing India as a pluralist nation, the bench said that unlike the US, India is “not a melting pot but a salad bowl,” a metaphor it credited to former Supreme Court judge Ruma Pal. This balance would be upset if any one religious group gained ascendancy, it said.
The court said that if foreign funds were freely allowed in to facilitate conversion, the nation’s sovereignty would be imperilled. It remarked that radical Christian institutions were notorious for such activities and referred to recent friction between Christians and Muslims in Kerala.
It added that the FCRA provision barring registration of organisations prosecuted or convicted for conversion through inducement or force applies to all religions alike. “A fundamentalist Hindu organisation engaged in Ghar Wapsi cannot be registered under FCRA,” the bench said.
Zen is Buddhism: Madras High Court
The trust had argued that Zen practices belonged to India’s Dhyana (meditation) tradition and should not be treated as religious activity. The Centre submitted that the trust ran a religious programme and that government policy was to check foreign funds that could be used for conversion and other activities harmful to the country’s secular fabric.
The bench agreed with the authority. It noted that the trust itself claimed to follow Zen Buddhist philosophy and Zen is a branch of the Mahayana school of Buddhism. “Every Buddhist school will come under the broad umbrella of Buddhism. Zen can be no exception,” it said.
The High Court clarified that religious bodies are not barred from seeking FCRA registration. The law only stops an unregistered religious organisation from accepting foreign money, and one with a definite religious programme can apply, provided it is upfront about its nature.
“The appellant need not have been so coy… This is no game of hide and seek,” the bench said.
At the same time, it held that not everybody dealing with Indian philosophy is religious. Organisations engaged in structured teaching of Vedanta, the Bhagavad Gita, the Upanishads, Yoga and allied Indian knowledge systems fall under education or culture, it said, noting that the National Education Policy, 2020, recognises these as legitimate fields of study.
Since nobody has a right to receive foreign aid, the court said the FCRA authority must be given considerable leeway in granting or refusing registration. Courts could still intervene if the discretion was exercised perversely, relevant material was ignored or there was non-application of mind.
In this, the bench approved the reasoning in the Arsha Vidya Parampara Trust case, in which Justice Swaminathan had in December 2025 set aside the rejection of FCRA registration to a trust that teaches Vedanta, Sanskrit and Yoga and sent the matter back for fresh consideration.
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