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Source– The post is based on the article “Donors R Us: It’s absurd that police confuses online crowdfunding with begging. Stop fraud not charity” published in The Times of India on 13th October 2022.
Syllabus: GS2- Development process and development industry
News- The article explains the issue related to the new phenomena of crowdfunding for charitable purposes.
Recently a show-cause notice was served on a crowdfunding platform. The Bombay high court has asked the state to answer whether private organizations are permitted to do online crowdfunding for medical treatments.
Why should government agencies not discourage crowdfunding?
Crowdfunding has very diversified interests in the world today. It’s a very competitive sector. So, using images of children for children causes to appeal to potential donors is understandable. It is not begging.
Their business helped many families pay medical bills during the pandemic.
India has gross inequalities and poor health services. Crowdfunding can help deprived families in many ways.
What measures should be taken by different stakeholders to stop the fraudulent practices?
Complaints of fraud should be seriously investigated. It should be punished through IPC provisions against criminal breach of trust and cheating.
Donors should do due diligence while making contributions.
