Pre-Grant Due Diligence of NGOs in the Indian CSR Context
Pre-Grant Due Diligence (PGD) is conducted to assess the compliance status, capability, governance standards, and delivery strength of an Implementing Partner (IP) or NGO before its appointment. The objective is to identify any operational or reputational risks that may adversely impact the company or disrupt project continuity. PGD is most effective when undertaken prior to the on-boarding the implementation partner. PGD can be of two types: Basic Pre-Grant Diligence A preliminary review focusing on: Validity of statutory compliance's (CSR Form-1, Section 12A/80G eligibility, registration related details) Minimum 3-year track record as mandated under CSR Rules Alignment with the proposed thematic area of intervention Advanced Pre-Grant Diligence A comprehensive assessment covering: Compliance status, financial health & litigation review Public domain background check on the NGO, its board and/or leadership. Review of partner/vendor onboarding & contracting p...