Bhagavad Gita, Vedanta and Yoga Not Religious activities Per Se: Madras HC sets aside FCRA rejection of Trust Teaching Gita, Yoga [Read Order]

The Madurai Bench of the Madras High Court has held that activities relating to the study of the Bhagavad Gita, Vedanta philosophy, and Yoga cannot automatically be classified as “religious activities” under the Foreign Contribution (Regulation) Act, 2010 (FCRA).

While setting aside the rejection of FCRA registration granted to Arsha Vidya Parampara Trust, Justice GR Swaminathan ‘Bhagavad Gita is not a religious book. It is rather a moral science’ said the court. It further added that “What applies to Bhagavad Gita would apply to Vedanta also.”

The petitioner trust, established in 2017, is engaged in teaching Vedanta and Sanskrit, promoting yoga philosophy, and preserving ancient manuscripts. The trust applied for registration under the FCRA to receive foreign contributions for its charitable activities. Although the application remained pending for several years, the Ministry of Home Affairs eventually rejected it in September 2025.

The rejection was based on two grounds: first, that the trust had received foreign contributions without prior permission; and second, that the trust appeared to be a “religious organisation” because it imparted teachings related to the Bhagavad Gita, Vedanta, and Yoga.

On the issue of unauthorised receipt of foreign funds, the Court noted that the trust had already admitted the lapse and compounded the offence by paying the prescribed compounding fee. The Ministry of Home Affairs had formally accepted the compounding.

The Court said that once an offence is compounded under Section 41 of the FCRA, the slate is effectively wiped clean, and such a technical violation cannot be used later as an adverse ground to reject registration.

The Court further observed that the rejection order introduced a new allegation of transfer of foreign contribution to another organisation, without ever putting the trust on notice. This, the Court held, was a clear violation of the principles of natural justice, rendering the order legally unsustainable.

A key issue examined by the Court was whether teaching the Bhagavad Gita, Vedanta, and Yoga makes an organisation “religious” in nature.

However, the bench rejected this view and observed that the Bhagavad Gita is not merely a religious text but a work of moral and philosophical significance forming part of India’s civilisational heritage.

The court noted the observation of the Allahabad High Court in the matter of Shyamal Renjan Mukherjee v. Nirmal Ranjan Mukherjee where it was quoted that “many a leader of our freedom struggle such as Mahatma Gandhi, Maharishi Aurobindo, Lokamanya Tilak etc., invoked Bhagavad Gita to inspire the nation to fight against the colonial rule. Article 51-A(b) of the Constitution of India states that it shall be the duty of every citizen of India to cherish and follow the noble ideals which inspired our national struggle for freedom. Article 51-A(f) talks about valuing and preserving the rich heritage of our composite culture. Bhagavad Gita cannot therefore be confined within a given religion. It is a part of Bharatiya civilisation.”

The Madras High Court further noted that authorities must determine the nature of an organization's operations in accordance with Section 11 of the FCRA. The legislative requirement is not met by just saying that an organization "appears to be religious."

The single bench noted that clear conclusions backed by substantial evidence must serve as the foundation for administrative decisions.

Accordingly, it set aside the rejection order and remitted the matter back to the authorities for fresh consideration.