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Al-Ahram Weekly 20 - 26 May 1999 Issue No. 430 
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Published in Cairo by AL-AHRAM established in 1875 |
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Al-Ahram Weekly 20 - 26 May 1999 Issue No. 430
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| Published in Cairo by AL-AHRAM established in 1875 |
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Egypt Region International Economy Opinion Culture Profile Supplement Travel Sports People Time Out Chronicles Cartoons Letters The balance sheet
Shaden ShehabThe government proposed the bill in late 1997. It was drafted by a committee of public figures, including Alieddin Hilal, dean of Cairo University's faculty of economics and political science, Fathi Naguib, first undersecretary at the Ministry of Justice, and representatives of civil rights groups such as Mona Zulfaqar, vice-chairperson of the Egyptian NGO steering committee.
The bill was approved by the cabinet on 12 May. Following the cabinet meeting, Information Minister Safwat El-Sherif said the draft law aims to "strengthen the role of NGOs, especially in family planning, child care and illiteracy."
El-Sherif quoted Prime Minister Kamal El-Ganzouri as saying the bill is meant to "liberate NGOs from government custodianship and support them by providing facilities and tax exemptions."
Nevertheless, the draft law is not without controversy.
-- Article 11 allows organisations to perform in all fields but sets a number of notable exceptions. Examples are forming military or para-military organisations; exercising political party activity; exercising an activity that is discriminatory against citizens for reasons related to race, sex, ethnicity, etc; exercising an activity that threatens society's safety or unity or disrupts the public order; and pursuing a profit-seeking activity.
-- Article 17 stipulates that NGOs must gain the approval of the Ministry of Social Affairs before accepting any foreign donations. If approval is granted, the money must be deposited in a bank account (to ensure transparency). The ministry then ascertains that the grant has been disbursed in the fields of activity for which the grant was obtained. Moreover, the legislation says the acquisition of foreign funds, in violation of article 17, is grounds for dissolving an association.
-- The draft law stipulates that the ministry has the right to appoint "one or more" delegates to monitor the activities of NGOs and ensure that they are pursuing their declared goals.
-- The draft specifies that the penalty for violating the law's provisions can be up to two years imprisonment and a LE10,000 fine.
-- Article 7 mandates the establishment of a committee through which all disputes must pass before being referred to court. The committee, while headed by a judge, is made up mainly of government representatives.
-- Article 43 empowers a Court of First Instance to order the dissolution of an organisation.
-- Article 34 requires an organisation to notify the Ministry of Social Affairs of the names of candidates for its administrative board. The ministry has the authority to approve or disapprove.
-- Article 5 stipulates that an association can be dissolved "if its failure to realise its objectives is confirmed." However, the authority to dissolve associations is retained by the judiciary instead of the Ministry of Social Affairs, which was the case with Law 32 of 1964.
Fathi Naguib of the Justice Ministry said that the "anger of NGOs is unjustified and they only wish to go on record as objecting. This is demagoguery."
"The two-year imprisonment and LE10,000 fine are the maximum punishments," Naguib pointed out. "This does not mean that anyone who makes a small mistake will have to spend two years in jail. [But] it is not rational to leave things loose; people who violate the law, like in any profession, must be penalised."
Concerning the donations, Naguib said, "If the organisations are receiving proper donations that aim to help specific sectors, then why would anyone object? But, for example, how can we monitor associations that take donations to engage in activities against national security interests? This is why donations must be closely monitored."
On political activities, Naguib said the draft law only prohibits political activities "whose objective is to gain power."
Naguib's support for the draft law highlights its positive aspects:
-- The draft law states that a response should be made to any request to establish an association within 60 days; otherwise the request should be considered as having been approved.
-- Article 13 exempts organisations from all taxes and fees, including the sales tax on an organisation's products and custom tariffs on its imports and grants.
-- Article 27 requires the general assembly to convene within three months of the end of the fiscal year to discuss the budget, the year's final account and the administrative board's report.
-- Article 28 requires a simple majority quorum for the general assembly meeting. If this cannot be achieved, a 10 per cent quorum is required for a second meeting This provision is viewed as an attempt to guarantee that the general assembly's meetings are held regularly and to ensure that the assembly monitors the administrative board and the organisation's finances.
-- Article 32 of the draft law specifies a six-year term for an administrative board, requiring the renewal of one-third of its members every two years, and prohibits any member from serving for more than six consecutive years. According to experts, this is to guarantee the rotation of the board's seats, ensure democracy and generate young cadres.
