EXPLORING THE NON PROFIT SECTOR IN

SOME GLIMPSES FROM

Prepared by PRIA & Society for Socio-Economic Studies and Services in Collaboration with the Center for Civil Society Studies. .J ohns Hopkins University. USA

September 2003 Working Paper Number 10

Society for Participatory Research ill Asia (PNIA) 42, Tughlakabad Institutional Area New Delhi - If() 062 Plume : (9/-0/1) 2995 6908,29958508,2606093//32/33 Fax : (91-()II ) 2995 5/83 Email: [email protected] Website: www.pria.org ' 0 TE TS

Preface II - III

All Executive Summary IV

I. The Context I - 2 n. Socio-Economic and Political Scenario 3 - 5 III. Historical Background 6 - 14 IV Th e Legal Framework 15 - 22 V. The Survey Instruments 23 - 33 VI. The Survey Results 34 - 51 VD. Lessons Learnt for Future Surveys 52 - 53

Annex I 5-1-55

Anne: II 5()

References 57

Members olThe . d\ i~I)(") 'onuniucc 5X

PR IA Research ·' cam IIOr K INS Core Teal11 PREF CE

The Society for Participatory Research in Asia (PRIA) had been engaged, since late 1998, in a rather voluminous exercise on mapping the nonprofit sector in India. Th e exercise aimed at generating systematically as much of the information as was feasible about the sector, which included the size, scope, areas o f interest, sources of revenue, expenditure patterns, etc . The study was carried out at the behest of the Center for Ci vil Society Studies (CC SS) at the Johns Hopkins University (JHU ) in the United States, with the fond hope that the information generated would help in developing a better understanding of the role these organisations play in social and economic develop ment processes of the country. The data on the are being analysed in phases and a series of working papers are being prepared, under the overall guidance of an Adv isory Committee, for wider dissemination of the project output. T he pre se nt paper is the tenth in the series.

During the first year of the project, the PR IA research team had undertaken an exhaustive review of the secondary sources of data, which included an examination of the em ployment data generated by the National Sample Survey Organisation (NSSO) , the national accounts statistics , and the Economic Census; the latter two brought out by the Central Statistical Organisation (CSO). It was found that the official stat istics system had, de - facto, not recognized, at least till 1998, the non-profit sector as a separate ly identifiable entity. Sporadic attempts to collect information on the sector were utterly inadequate, since the term 'non ­ profit' had not been even defined in some cases. Indirect estimates of the number of such institutions and employment there - in could perhaps be derived from so me of the official data, hut their authenticity would be any body' s guess, since the estimates will have to be based on several assumptions. More importantly. even such an exercise could not give clue on a large number of parameters of serious interest to the sector's planning need s such as the size of the informal sector and activ ities of groups engaged in sub-sectors e.g. community services and environment. In this background, the question of collecting primary data through sample surveys co uld not be eschewed.

The organisational surveys of non - profit institutions have never been attem pted before in India. Therefore, the work is truly pioneering. As it happens with all p ioneering efforts, there is bound to be scope for improvements in the approach and the methodologies used for implementing the adopted approach. It is commo n knowledge that the NGO leaders as

II well the government plann ers make statements on vanous dimensions of the sector and the sector 's ca pabi lities based on their perceptions. The reason for this is not difficult to comprehend; there is an utter lack of scientifically developed literature on the subject. It is hoped that the present re port is con sidered as pro viding more authentic information than available hitherto, whic h can honestly be treated as benchmark estimates in various debates.

We are grateful to the Institute for Policy Studies. John s Hopkins University in Baltimore, for inv iting PRIA to undertake the Study in India. We gratefully acknowledge continuous guidance of the core project team at the JHU and that of the Indian Ad visory Co mmittee.

The overall leadership to the study has been ably provided by Dr. S. S. Srivastava, Principal Researcher.

The field work, for the main survey (s), was undertaken by Vaikunthbhai Mehta Research Ce ntre, Mumbai and computer processing of the collected pri mary data, their tabulation and analyses were undertaken by the Society for Socio-econom ic Studies and Services (SSESS), a Kol kata based organisation. Th e SSESS also und ertook ably the task of preparing the draft report, unde r the guidance of Shri S. K. Gu pta, its Director.

The JBU, the Ford Foundation (New Delhi), the Aga Khan Foundation, the Action Aid and Sir Ratan Tata Tru st have supported the Study.

Dr. Rajesh Tand on President, PRIA Se ptember 2003

111 A EXECUTI E ~ 'UI\'I RY

The overall picture of non pro fit sector that emerges from the survey is as follows :­

• It is estimated that there were about R8 thousand act ive NPOs in the year [999-2000;

About 60% of the NPOs were in rural areas and the remaining 40% in urban areas;

• About 77 % of the total NPOs were registered formal units and the rem aining 23% were unregistered informal units;

• The total manpower engaged in the sector worked out at approximately I0.8 lakhs ( l . m~ million) persons, comprising overwhelmingly part -time unp aid vol unteers (8.2Ia khs) . Full-time volunteers were few (about 43 thousand) and Paid em ployees were of the order of 2.2 Iakhs, mostly full-time;

• Religious org anizations (35%), followed by Co mmu nity and Soc ial Wel fare Services(30%) and Educational Insti tutions ( 14%). do minate the Maharastra NPO scene;

• Community as a whole (34.71'0),children ( 18.5%), youth ( 16.2%), in that order, were found 10 be the main target groups on which the NPOs of Mah arastra focussed their attention and energies;

• Total funds received by the sec tor in the yea r 1999-2000 wa s estima ted at Rs.10.55billions (Rs. 1,055 crores);

• The total foreign contri butions received during J 99\)-2000 amounted to about Rs.305.2 millions (2.89% of the total fund s received);

• Estimated lotal expenditures by NPOs in 1999-2000 was of the order ofRs. 10.13 billions;

• Estimate d total value of assets in 1999-2000 was about Rs.50. 64 billio ns.

Th e sector's heterogeneity is vis ible both in terms of paid employ ment and vol ume of expenditure. There is pre-dominance ofsmaller units, about 74 % of total NPOs with none or one paid employee. Almost 80% of NPOs do not have an annual budget of even Rs.50,OOO.

I V EXPLORING THE NON PRom SECTOR IN INDIA Some Glimpses from Maharashtra

I. THE CONTE 'T

No n-G o vern me nt and non -profit d istributing organisations ha ve be en making significa nt contribution towards social and economic development in Indi a. These Institutions are known by d ifferent na mes in the co untry namel y: Voluntary an d Com munity based Organi sations, Self-help g roups, Soc iet ies , Association s. C lubs etc. depen di ng on the areas of ac tiv ities they are involve d in . Despite a rapid g ro w th in their numbe rs and area of operations , particularly d uri ng the pos t- ind -pendence period, very little informati o n seems to be av ailab le re lating to the s tructure of this se ct or, its c urre nt contributio n to the national ec o no my and capabilities to play an important ro le in soc ia l and econ omic de velopment of the co untry. A similar phen ome non is be ing w itnessed almost across the globe.

As far back as In 1990, the Johns Hopkins University (JHU) la unc hed a Co mparative No n-Prof it Secto r Proj ect (C N PS) with the objectiv es o f delineating the definitio nal boundaries of the sector and to develop s ystematica lly as mu ch of the informatio n base abo ut the sec tor as wa s feasible. Initi ally the projec t was undertake n in eight developed co untries vi z. France, Germany, Hungary. Italy. Japan, the U.K. and the U.S. A . Gradu a lly, less de ve lo ped count ries we re al so roped in and by the ye ar 1995, so me 22 countries had been bro ugh t w ith in the ambit of the projec t. India jo ine d the project in 1998.

The Society fo r Participatory Research in Asia (PRIA) at the behest of the Center for Civil Society Studies (CCSS) at the JHU in the United S tates. ha s launched the project in Ind ia in tw o parts, an e mpirical part e nv isaging building up statistica l base to measure the ke y d imensio ns o f the secto r and a no n-e m pi rica l part envi sagmg an understanding of the interplay between stake holders, discussio ns on how to ev olve polic ies for the se ctor and related q uestio ns. For the empirica l pa rt o f the study, in the firs t instance a detailed ex am ination of the related secondary dat a available from various sources , particularly was done of the ma cro-econo mic data series generated by the National Sample Survey O rganisa tio n (NSSO ) an d the Ce ntral Statisti cal O rganisatio n (C50). The res ult s of this e xam inatio n has been summari zed in the pape r ' De fining the Sec tor in Ind ia ]" (PRJA. 2000). The exa mination clea rly indicated that the secondary sources did not provide informatio n of re lev ance to a study of non -profit sector ill India. In-fact. the offic ia l statistical syste m had never attempted to col lect information on the sector. Ho we ver. the Government machinery has of late. started address ing th is Issue. In this background , it was considered necessary to collect primary data through statistically designed sample surveys.

Originally. JHU CNPS project envisaged building up all- India estimates considering the cou ntry as a single entity from wh ich a random sample of primary unit s could be draw n and surv eyed. But later based on twin considerations of States being im portant administrati ve units for governance in the country and presence of wide inter State disparities in socio-economic and cultural backgrounds, conducti ng state wise surveys were performed. Sin ce it was simply imp ossible for an organisation like PRI A to co nduct sam ple surveys in all the States of India , on balan ce of considerations, it was decided to select one State each fro m all the four comers of the country plus one State with special features and population characteristics. Accordingly, the surveys were orga nised in five states of India viz. West Bengal , Maharashtra. Delhi, Ta mil Nadu and Meghalaya. Th e first four states are represe ntatives of four regions of the country and Meghalaya is a relatively small state with mountainous terrain wi th significantly differe nt reli gious and ethnic co mposition of its population .

No government or non-government agency has ever conducted a statistically designed sample survey co vering solely the non-profit sector and in that sense, the current exercise und ertaken by PRIA is trul y pion eering in nature, content and context. All sur vey instruments were de veloped based on the guidelines issued by JH U and keeping in view the methodologies adopted by NSS O for their socio-economic surveys. Based all the pilot surveys conducted in Uttar Pradesh and Tamil Nadu in 2000, the approach and the instru ments of the ma in survey were finalised. The Main surv ey in Maharashtra was conducted during the second half of 200 I.

This Working Paper summarises the findings of the survey of non-profit organisations in the State of Ma harashtra. Althou gh the actual da ta collect ion wor k was done from June to December, 200 I, the results relate to the referen ce year 2000 (1999- 2000 for some variables). EXPLORING THE NON PROFIT SECTOR IN INDIA Some Glimpses from Maharashtra

II. SOCI O-ECONO 'Il l' '0 POLITICAL SeE RI )

Located in the western part of the cou ntry. the present State of M aharashtra was created in May. 1960 , out of the t -rritories of former Bo mbay sta te. Madhya Prad esh and Andhra P radesh. Cultural ly and socially as we ll as econo m ical ly. Maha ras htra is known as one of the mos t advanced States of the country. The basic soc io-economic and demographic fea tures o f the St ate arc de scribed bri efly in the fol lowi ng paragraphs .

Mahurushtra has a total land area of 307.7 13 sq uare ki lometers wh ic h IS about one-tenth of the country 's total land area. Ac cording tu 200 I Populati on Census, Mahur ashtra's po pulation is 96.8 mi llio n whi ch wo rks ou t to ab out 9 .4 per-ce nt 0 1' the country' s populatio n. In terms of popu lation size. it is the second largest state in India, nex t to Uttar Pradesh. Although the population density of Maharus htra has increased from 257 persons per sq uare kilometer in 191) 1 to 314 persons per sq . km . in 200 I. it is sti ll slightly lower than the average density for the country as a whole. As per 199 1 Censu s, Maharash tra was the most urbanized state in Ind ia. hu t accordi ng to 200 I Census wi th 42 pe rcent of ur ban populati o n. it lost its position to Tamil Nadu with 44 perce nt or urban popu lat ion.

Economically. Maharashtra is one o f the mos t developed states in India. The per capita net state domestic product at current prices was Rs. 2J .398 during 1999-20 00 as compared to Rs.10,067 for the country as a wh ole . At co nstant prices (199 3-94), the pe r­ capita state income increased from Rs. 12,602 in 1994-95 to Rs.1 6.2l 7 in 1998-99. Durin g the ye ar 1998-99. the share of pr imary. sec ondary and tertiary se cto rs in the tota l state income was about 1.831 and 5 I per-cent. respectively ind icating larger dependency of the state ec onomy o n secondary and tertiary sectors as compared to primary i.e. agricu ltural sector. As per latest av ailable data (Sou rce : Handbook o] Bas ic Statistics), Maharasht ru is the lead ing most State in the country with regard to indus tr ial ac tivity having 28941) registered factories w ith employment of 1.302 thousan d and industrial output o r 151.53 7 crores. Average pe r-capita monthly consumption expenditure in 11)91)-2000 (Source NS SO. 55T H Roun d (.I uly ' 99 to June 20(0) was estimated as Rs.496.8 in rura l areas and Rs.97J.3 in ur ban area s as compared to all-India averages of Rs .486. 1 an d Rs.855.0. respe ct ively.

M aha rasht ru occup ies the second posiuon among the 13 major States , next to Kerala in terms o f two key social ind icators viz . lite rac y and in fant mortality. The literacy rate for males has increased from 49 percent in 196 1 to 86 pe rcent 200 I. the female literacy rate during thi s period has gone up from 20 percent La 68 percent. The ove rall literacy rate in 200 I in Maharashtra worked out to 77 percent as compar ed to 9 1 perce nt in Kerala (O ffice of the Registrar General and Census Com mission er,200 I). In 1999, the infant mortality ra te for M aharashtru was 48 deat hs pe r tho usand an d liv e births as against 14 deaths in Kcrala (O ffice o f the Registrar General, 20 0 I). M aharashtra is also one of the leading States in succ essfully implementing famil y planning programmes br inging down the to tal fertility rat e fro m 4.6 children pe r woman in 197 1 to 2.7 in 1997 (Source : Sa mple Registration Scheme of the Office of the Re gistrar General, India). Since Independen ce and particul arly after the creation of the Maharashtra St ate, there has been significa nt progress in the State in almost all sectors o f soc ial and economic activity. Table 2.1 presents currently av ail able da ta on some key socio-economic c haracteristics, incl uding on variables commented up on in the prec ed ing paragraphs.

Table 2. I : Demographic and socio-economic profile ofMahurashtra

Characteristics ., , , A ll India (I) (2) (3) (4)

I. Population 2001 96.752,247 (2) 1.027 ,015,247 2. Density of Population (per Sq . Km . ) 200 1 3 14 (9) 324 3. Per Capita net State domestic 1999-2000 23.398 ( I) 10,067 product at current prices 4. Literacy Rate (0/0) 200 1 77 .27 (2) 65 .20 5. Literacy Rate - Female ( ~) 200 1 67.51 (2) 54.20 6. MPCE (Rs.)** Rural 1999-2000 496.8 (8) 4R6 .1 Urban 973.3 (I ) 855 .0 7. Birth Rate ( per 000' pop) 1999-2000 21.1 ( 1999) II 25.8 8. Death Rate (per 000' pop) 1999-2000 7.5 ( 1999) # 8.5 9. Infant Mortality Rate 1999-2000 48 # 68 (2000) ( per 000' life Birth) 10. Human Development Index 200 1 0.523 0.472 II. Expectation of Life at Birth 1996-0 I Male - 65.3 # Female - 68.1 # 60.7 (1995-96 ) 12. Cereal Production (000' to tons) 1999-2000 10,418.8 (8) 195,525 13. Gross Output 1998 151,537# 78 2,421 EX-factory value (Rs. Crores) 14. Working Population (% ) 2001 43.46 (2) 39. 19 [main + marginal] 15. Working factories 1998 28 .949# 255.837 16. ~ of villages electrified 1999-2000 100 (I) 86.3 17. School attendance 1993-94 781 (4 ) 633 (5-14 yrs.) per 000' (rural) Note : Figures in brackets in column(3 ) an: ran kings with respect to maj or states of India. ** MPCE stands for Monthly Per Capita Consumption Expen diture 1/ C urrent ranking not avai lable

Sources: (i) Item s ( I), (2), (4), (5) & ( 14) fro m Directo r o f Ce nsus Oper ations, Maharas htra (2002) : Census o f India, 200 I (ii) Item (6) from Nation al Sa mple Surve y Organi sat ion (2002) : Rep ort on 551h Round ( 1999-2000) (iii) Item (12) from Ce ntra l Statistica l Organi sation (2000) :Statistica l Abstract Indi a 2000 (iv) Item ( J6) from Central Electrici ty A uthority (v) Item (l7) from Re port No. 41 2 : Economic Activit y and School Attendance by child ren o f India - NSSO 50 lh Round. 1993 -94 (vi) Item s (7), (8), (9) & ( I I) from Nat ion al Family He alth Survey Report. Mahara shtra-1998-99. (vii) Item (3) from Ministry of Finance, Govt. of India (20 01 -2002) : Econo mic Su rvey (viii) Item s (7) to (9) of col umn(4) from SRS Bulletin. Volume 36. No. 1; Office of the Registrar Ge nera l Indi a. (ix) Items ( (3 ) & ( 15) from handbook of basic statistics o f Mah ara sht ra state 1999. (x.) Item (10) fro m National Hu man De velopment Re port , 200 I. Planning Co mmission, Go vernment o f India.

Politically, SInce independence, the er stwhile Bombay Slate, reorganized as Maharashtra from 1960, had been mostly under the Congress rule excep t for a br ief period between 141h March' 65 to I?" October,' 99 when BJP (Bharatya Janata Party) in co alition with 'S hivsena' came to power, Th e po sition got reversed again in Oc tober: 99 when congress came back to power but this time in coalition wi th NCP (National Congress Pa rty a splinter group of the mai n Congress party). For adminis trati ve purposes, the State IS divided into 35 districts, Murnbai. the ca pital city is mainly an urban district. Rural areas account for 57 .6 percent of the total population of Maharashtra State.

CD EXPLORING THE NON PROFIT SECTOR IN INDIA Some Glimpses from Maharashtra

III. HISTORIC L 8 CKGROU D

Non-Profit Sector ami Non-Profit Organisat ions are relative ly new terms in the Indian co ntext. T he sec tor may be considered as inter-linked with voluntary ac tion. roots of which can be traced to philan thropy and rel igions ob ligations enjoined on individuals to help the needy. Religious inj unctions and codes of social conduct enjoining the citizens to care for the weak and the needy had been since distant past graduall y transforming from indi vidual efforts to group or community ac tions and later also getting organized into formal institutional structures. T his phenomenon has been witnessed in the cou ntry as a whole and more so in the state of Maharashtra.

The histor y, growth and changing nature of the Non-Profit ' Sector in Maharasht ra has been examined in this chapter by dividing the total time-span into three phases, the pre-colonial phase (from Be to late eighteenth ce ntury), the colonial phase (from late eighteenth ce ntury to 1947 ) and the post independence phase (1947 till to date).

PRE -'O L O I L PI-IA ~ E

Volunteerism is an integral part of the Indian Society as a whol e and dates back to 1500 Be. In this co ntext, Ma harashtrian society was no exception. From that ti me onwards till the adven t of British in India, respo nsibil ity for welfare activities and social service was broadly the responsibility of the State. The kings and rulers used to take care of indigenous cu lture and arts, rec reation, ed uc ation, health etc. To a lesser extent but significa ntly, some religious ins titutio ns along with thei r ma in objective of prop agating their reli gious thoughts and buildi ng places of worship, also side by side constructed 'Dharmashalas' as shelters for pi lgrims and 'Gurukuls' for imparting education. Other social and charitable activ ities generally remained individualistic and unorganized, at best carried by small groups or within a limi ted tribe, sect or community.

Patronisa tio n of State for so cial and cultural development during ancient times, IS amply evidenced in Maharashtra. ' Aj anta Caves' and 'Ellora (Kailash Cave Temple)' built under the patronage of the then Rul ers VIZ . Vaka ta kas (A D 250-525) and Rastrakutas (AD 75 3-973) not only rev eal Fresco Painting at its high est level but also provide ample evidence o f social and cultural dev elopment of Maharashtra during thei r rule . In this context, 'Huen Tsang's (Chineese Traveller) words abou t the then Mah arashtra du ring his vi sit to Ind ia in AD 640-641 arc perti ne nt , "The soil is rich and fert iIe an d it is regularly cu ltivated and producti ve. Men are fond of learning and studying heretical

and orthodox books. The dispos itio n of th e peopl e IS honest and simple. If they are asked to he lp on e in distress, they w ill forget the mselves in their haste to render assistance." The antiquity of thi s reg ion can be traced to appro xi matel y the 3,d century Be. w hich is when the Maharashtri langu age , a Prakrit co rru pt io n or Sanskrit from wh ich the term Maharashtra is derived was then in usc. Marathi wh ich evo lved from Maharas htri-Prakrit, has been the lin g ua franca o r the people or thi s area fro m the lO" Century onw ards and in the course of time. the te rm ' M aharas htra ' was de scribed to des cribe a region which consisted of A paranta, , Mulak, As hmak and Kuntal .

T he first significant form of so mewhat organized coope ra tive acnvity 111 the fields of

educa tion, religious adm inistratio n, charity, co ns tructio n work 1'0 1' public util ity was carried out by a sect within Hi ndus cal led "Gosains'. This sec t was found to be ac tive all over India bui lding thousands o f te mp les and mo na steries. Maharashtra, Be rar and Hyderab ad are the provinces most ric h in Gosain monasteries, temples and ghats (river beds con structed for public use). In the ci ty of Poona, more th an 40 Hindu Monas teries were co unted around in 18 18. T he Mahant (custod ian) o r Kalyan Giri monastery was famous for his charity from Ban aras to Ramcshwar. He also bu ilt many 'Dharm asa las' (free rest-h o uses) for pilgrims and made large donat ions repairing old temples. T he free distributi on of food to the poor by Poe na Gosains was co nsi dered on e o f the wo nders in the past [Jad unath Sarkar, 1959].

The emergence of Buddhism (arou nd 600 BC) also to some ext nt provid ed a new approach of orga nized volunteerism and soc ial service. Although Buddhism ori ginated from the no rthern part of Ind ia, in du e course or time it spread e ffective ly in the central and we stern India. Volunteers prepared to re nounce the world and stay in Sanghas/ Mathas were recruited and trained as Monks/Vikshus. These vo lun teers, besides ministering to the sp iritual needs of the peo ple were also asked to be engage d in rend ering service to the poor and needy. [Warder, 19701 . Side by side Jainism, which altho ugh ori ginated in pre­ historic days ev en before the advent of Aryan s, nut got pro m inence around 600 BC also came to Weste rn and Sou thern Ind ia from its birth place in Bihar. T he ir last "T irtha nkar' (S piritu al leader) M ahavir a la id greater stress on soc ia l reforms. education an d welfare activities than mere relig ious di scou rses and preaching . There are acco unt or rel igious organisations or 'Sra mana s ' engaged 111 charitable and welfare activities an d of bui lding hospitals in Jain Literature. [Jagadi sh Jain, 1947]. In Guj arat and Maharashtra, Jai nis m was patronized by the mercantile community. Alon g with their co mmercial activity, Jain community In these areas established a number of charitable organisations for the benefit of general masses specially poor.

Towards the end of pre-colonial phase around the beginning of the thirteent h cen tury with the reg ion of M uslim kin gs wh ich spread all over the country, a not able change occurred in the style and functioning of the state administration. Wh ereas at the national and provincial levels, Kings, Na wabs and Subedars took the direct responsibility of social and economic development through buiIding mosques, madrasas, highways, bridges, 'Sarais' (Motels) and so on, they also patroni zed and encouraged formation of local groups for the prom otion of art, culture. architecture and artisanship. During this period, on one hand trad itional cultural and folk-dance teams nam ely : ' Lavani' or ' gro ups in Maharashtra and 'Garba-groups' in Guj arat started getting reorganized and re-activated, while on the other new guilds of archite cts and art isans were formed and started playing a pro minent part in the life of the community. [Walk er, 1983J .

As the Musl im emp ire and Islam started spreading all over the co untry and Hindus began to feel insecure and pushed to the wall . in western Ind ia, M arathwada - a Marathi nation with a strong Maratha power came into existence. Maratha saints nam ely G uru Ramdas, Tuka Ram. E kna th and Na mdeva exhorted the Ma rath as to fig ht in the defence of their territory and religion. These saints preached brotherhood of mankind , den ounced the caste-system whi ch had divided the Hindu society and brought unity amongst Marathas . They went on to write and sing in the language of masses and thereby fostered the gro wth of a forceful '' and literature which became the common so urce of inspiration to all Marathi speaking peopl e. Thus through social reforms and community of language and creed the Marathas came to have a nat ional feeling. The Maratha Chiefs wh ile working under the Muslim Sultans of the Deccan had acquired ample training in the art of war and administration. This stood them in good stead in the art of war and administration. This stood them in good stead when they had to fig ht with the Sultans of Bijapur and Golcounda and later on with the Mughal Emperors. The charismatic personality of Shivaji wielded tog ethe r the scattered elements of the Marath a nat ion and instilled in them a spirit of patriotism and a burning desire for sav ing Hi nduism from the onslaughts of Islam. Shivaj] (1627-1680) became the de­ facto rule r of a large kingdom in Maharashtra and wa s coronated in 1674 and assumed the title of Chhatrapati. Shivaj i was a born leader of mankind and proved himself a great general as well as an able administrator. His administrati on was efficient and enl ightened. There is no doubt that Shi vaj is re -cnu c administrati on displayed an honest desire to pro mote the welfare of the cu ltivators . He was noted for his scrupulous care for wo men and chi ldren irrespecti ve of caste, creed or reli gion. Although Shivaji 's life was mostly spe nt in figh ting wa rs and bu ildin g and ma intaini ng forts to co nsolidate Ma ratha pow er, he encouraged saints, re ligious leaders and enlightened personaliti es to promote works of art, culture and literature. This led to formation of a num ber of grou ps performing folk­ dances, dramas and music and development of literary societies for which Maharashtra is still well known. [Jad unath Sarkar. 197.3 1.

COLO I L PHASE

Christian ity and the col on ial rules brought in the modern notions of volunteerism and philanthrophy. The formal-organisa tio nal form of vo lu ntccrisrn had its origin in the phase of Portuguese and British rule. Like Buddhism. Christian ity too created an order of monks vowed to the service of God thro ugh the service of hum an beings. During the co lonial phase, development o f the non-profit sector throughout Ind ia incl ud ing Maharashtra is closely linked with the soc ial reform and freedom movement. [PR lA,200 I]. T he social reform movem ent of 19th century Muharushtra was the result of the impact of Western education on the el ite of Mu mba i and . Re formists tried to examine critica lly their soc ial system and religious beliefs and ga ve priority to soc ial reform as against po litical freedo m. Foremost among them were Balshastri .lambhekar (1812- 184h). who condemned the evi l customs of sati and female infant icide. Gop al Hari Deshrnukh ( 1823-18 92) who through his 'Shata patrc' (a bu nch of 100 letters) attacked orthodox Brah mans oppos ing social and reli gious reforms and Jyotirao G nvindrao Phule ( 1827-1890) who revolted against the unj ust caste system and upheld the cause of un touchab les and education of wo men of lower castes in part icular. Jyotirao Phu lc established 'Satya Shodh ak Samaj ' , with a group of enthusiastic dedi cated volunteers. Som e of the pioneering activities of this Sa rn a] under his leadership co ns isted of : Establ ishm ent of sch ool s for girls and untoucha bles, active par ticipat ion in celebrating remarriages of wid ows, establishmen t of orphanages, promoting adult educa tion through awareness programmes and crea ting night schools for the purpose, collecting donations fro m members and non -members for givmg studentships and sc hoolships to poor non-Brahman stude nts and finally to publish useful information in period icals and newspapers for the up lift rucnt of the no n-Brahman whi ch cre ated greater aw are ness for the renaissance. [ Gall Omved i,19741

Another orga nisation nam ely 'Prarthana Samaj' was set lip during the same period by Ramkrishna Gopal Bhandarkar and Justice Mahadeo Govind Ranade. for gen eral, social and rel igiou s reform. Behramji Malbari (1853-1912). a Parsi of M um bai started 'Seva Sadan' for the care o f wo men of all cas tes. Pandita Ramabai ( 1858-1922) founded the Sharada Sadan to help widows. Vithal Ramaji Shinde (1873-1944) fought for the eradication of untouchabi lity through his Depressed Classes Mission. Chhatrapati Shahu Maharaj of Kolhapur (J 874- 1922) also plunged into this movement and championed the cause of the un tou chab les and pro moted educa tion in his state. Karmaveer Bhaurao Paigonda Patil (1887- 1959). architect of the ' Rayat Shikshan Sanstha' foll ow ed the footprints of Phule and Shahu Muharaj . Maharashtra will alw ays be proud of Dr. Bhimrao Ramraj Amhedkar ( 1891- 1956), the creato r of a social and pol itical awearcncss among the scheduled castes of Indi a. The social refo rm measures bro ugh t about a renaissa nce and social aw akening in Mah ara sh tra . He went on to orga nize Societiesllnstitutions with the downtrodden on one ha nd to vo ice their griev ances, while on the other to help themse lves to de velop and join the mainstream of the natio n. Arnbedkar co ntinued his mo vement even after the independence, so much so that. he was entrus ted with the work of drafting the Ind ian Constitutio n and the nation as a whole will always remember him as the Chief Architect of country's Co nstitution . Additionally, Maharashtra and as a matter of fact the entire country, is indebted to Dr. Punjabrao Deshmukh, Tarabai Modak and Anutai Wagh, who championed the cause of the dow ntrodden peopl e and Adi vasis in general. Th e services rendered to vict ims of lep rocy by Dr. Shivaji Patwardhan and Babu Arnte perhaps ha ve no parall ed . Vijay Merchant fou ght re lentles sly fo r facilities for the physically handicapped. Vinoba Bhave, the spiritual hei r of Gandhi , sacrificed his life for 'Sarvodaya '. All these personalitie s although started their work during the British rule, co ntinued the ir e fforts with greater vigour even after independence without passing the responsibility to the State.

Side by side with social reforms. Maharashtra also played am importan t role in the freedom mo vement. The first session of the Ind ian National Congress wa s held in Maharashtra (Mumbai) in 1885. l ustice Ranad e provided a theoretical base for the national movemen t by adv ocating liberalism and starting several inst itutio ns for moulding public opinion on social, economic and political problems. Dadabhoy Naoroji, Pherozshah Mehta and Dinshaw Wanchha, prominent Parsis of Mu rnbai and leaders of the Indian National Congress, contributed a go od deal for the soc ial and po litical movement by org anizing the elite and mercantile groups to come forward and join the mo vement. Two outstanding leaders of Maharashtra were Bal Gangadhar Tilak (L856-1920) and Gopal Krishna Gokhale (1866-19 15). Tilak draw the masses into .nationa l politics through his community festivals in praise of Shivaji and G anesh. Gokhale, the true d isciple of Justice Ranade, adopted the policy of conciliation and com pro m ise. Vinayak Damodar Savarkar, the founder of Abh inav Bharat Society became th e idol of youth. M ahatma Gandhi considered M aharashtra the heehive of construct ive workers. The ultima tum to the Br itish to "Quit India" was gi ven in M umbai w hich culminated in the transfer of power and the independence of Indi a in 1947.

Along with organised socia l re form and independence mo vement , Maharashtra did not lag be hind to institutia lise other soc ia l. cultural and sports ac tivities. D uring the colonial period a nu m be r o f Clubs, Associations, Societies, Academies, N atya Sansthas and Fo lk. Art and Dance Groups were es tablished, w hich cintinue to function pro minently even to-day. Additionally. Maharashtra ha s been perhaps the lead ing most S tate in the country in institutionalizing social. political, cultural and sports ac tivities during the co lonial period.

POST I DEPE DEN 'E PH SE

Wi th the independence of the co untr y in 1947, the no n-profit sector activity In Maharashtra initially got a se t-bac k due to attention of their leaders ge tt ing di verted to political movement for creatio n of the ' lingu istic St ate of M aharashtra' w ith M arathi as the State langu age .iAt the outset in 1947, the tri-ling ual B o mbay State was formed. Although the Indi an Nat io nal Cong ress, the ruling party was pledged to linguistic States, but the States Re-o rganisation Comrniuee recommend ed bi-ling ua l S tate fo r Maharashtra­ with M um bai as its capital. Its Inauguration on No vember l , 1956 cau sed a great po litical stir and under the leadership of Keshavrao Jedha, an all party meeting was held in Pune an d Samyukta Maharashtra Samiti was fou nded on February 6, )956. S . M . Joshi. S . A. Dange, N .G . Go re and P.K. A tre fo ught relentlessly for Samyukta M aharashtra even at the cos t of sacrif ic ing the lives of several people and f inally su cceeded and o n M ay I , 1960. the State of Maharashtra w hich incl uded western Maharashtra, Vidarbha and M aharathwada was bo rn w ith the blessings of Pandi t Jawaharlal Nehru.

With the creation of a separate Maharashtra State w ith Marathi as the State language, normalcy return ed ba c k gradually and the S tate re ve rted back to econo m ic and social including industrial and rural develo pment program mes. As desc ribed in earlier sectio ns, M aharas htra ha s a rich he ritage of mo veme nts launch d an d organisations formed by social reformers and leaders like Mahatma Phule, Maharshi Karve, Karmaveer Bhaurao Patil and Dr. Ambedkar. These organisations which altho ugh co ntinued to pursue their original programmes had to to ne down the ir activities cons ide rably during the post­ independence pe riod in view of intense and vio lent politica l activities related to creation of a separate Maharashtra, Imm ediately after the crea tion of the se parate state, the programmes were rev ised with greater vigour but with modified age nda as the situation dem anded. Another tendency whi ch was a litt le disturbing to note was the appearance of somewhat po litical, regional and facti on al colour in the agenda of er stwh ile social organisations as well as in the newly created groups and associations. D uring the post­ independence period, in India as a whole including Maharashtra, Cen tral as we ll as State Governments started initiating, sponsoring and patroni zing socio-economic development and we lfare programmes and wa nted existing as wel l as new institutions in the non-profit sector to participate in all such activ ities. On e notable feature in Maharash tra has been the patronage and support for soc ial-welfare work by big indus trial and commercial houses and the corporate sector as a whole, through sma ller co mmunity groups and Associations. Gradually from late eighties and onwards, non-profit organisations which had started growing in numbers, went on to mellow down their political and factional agenda and concentrate on socio-economic development oriented welfare programmes. Maharashtra's reputation to be one of the most ec onomically, socially and culturally advanced States, thus continues to be maintained. Before en ding, some notable ex amples to indi cate the di version and revival in the age nda of activities of the non -p rofit institutions in Maharasht ra during the post-independence period are indicated as foll ows:­

).> Dalit Movement • Dalit Panther Group : Dr. Ambedkar launched anti­

intouc hability mov em en t (Dalit Movement) III ] 920 s in Maharashtra for advance ment of the untouchables through the use of political means to achieve social and economic equality with the higher classes in a modern society. This mo vement has co ntinued in di ffer ent forms till today. Initially, Dr. Ambedkar's ap proach was organizing mass-movements through smaller groups of Volunteers which ultimately led to formation of the ' Scheduled Castes Federation' in 1954 to fight for election. Ambedkar's ap proach basically was political to fight for the rights of untouchabl es· but th rough pea ceful means with educational advanceme nt, soc ial reforms and awareness programmes. However, an unexpected overturn of ideas took place amongst Ambedkar's foll owers, whe n in 1972, a young militant gro up of young educated Buddhist fo rmed the ' Dalit Panther Group and Party'. Dalit Panther movement was the result of conscious efforts on the part of the deprived to nuugate the ir deprivation, secure justice and demonstrate thei r powers. Gradually with the attainment of most of their political de mands, attention go t diverted to education, literacy activities and work of art and culture. T he Dalit sc hools of literature represent a new level of pri de, militan cy and so phis ticated crea tivity. 'Dalit Sahitya' had ac hieved the status of a ge nuine sc hool of literature by 1969. The Ti mes Week ly Supplement of 25 1h November, 1973, co ntained the firs t significant analysis of Dalit literature in Engli sh . Dalit wo men in M umbai organise d the 'Datit Stri Samwadini (D alit women' s Dialogue)' in 1996, probably the first women's literacy co nfe rence in M aharashtra. A Dali t ar t exhibition was held in Na gpur in co nnectio n with the Asmitadarsh Literacy Conference in 1979 and an all­ India art conference was called in I-I yderabad in 1987. [Jayashree Go khale, 1979J an d [Eleanor Zelliot, 1983].

~ Narmada Bachao Andolan (NBA) : NBA is a mass mo vement launch ed by wo men of Ma harashtra, Gujarat an d Madhya Prad esh led by Ms.Medha Patkar against the ill-effects namely dis placement and violation of livelihood of peopl e and degr ad ation of land, wa ter an d forest recources of the construction of the dam named Sardar Sarovar Project. NBA demonstrates the success of non -violent struggles co mbined with voluntary efforts to undertak e socio -economic welfare measures by the wo men for the women.

»: Family Welfare Programmes in Maharashtra : T he G ove rn me nt of Maharashtra launch ed its fami ly we lfare pro grammes in a big way in 1957, which were decentralized and handed over to Zi lla Parishads in 1967. Maharashtra has achieved ma ny na tional awards for the excellent performan ce of its fam ily planning programme for wh ich the non -profit institutions have pl ayed an im portant role. As a ma tter of fact, it am ply proves the succe ss of combined efforts of State and Pri vate NOll-Profit Sector. The pioneeri ng work in the field of health and fan lily welfare was started well before independence by Prof. R.D. Karve, who started a birth control clinic as early as 1921. Shakuntala Paranjape continued his work with greater enthusiasm formi ng Volunteer - Groups for campaigning and promoting family we lfare progra mm es [ Report on NFHS-2-M aharashtra, 2000 1. Today, Maharash tra is one of the leading most states with non-profit orga nisa tions working in thi s fie ld . ~ Rural Development through C.D. Programmes : A lth o ugh Com munity Development (CD) Programmes implemented duri ng the post-independence period in the co untry as a whole including Maharushtra, were basicall y financed by the Government and implem ented throu gh Panch ayat Raj system under the guidance of Bloc k Develo pment O fficer and his staff, yet people's part icipation and cooperation with principal responsibility to be taken by peopl e themselv es, was conside red to be the most important element of the programmes. In most of the districts of Maharashtra, evaluation studies indi cated that CD program mes had ge nerally succeeded and that self-help groups, Voluntary Organisati ons and Cooperative Societies played a very important ro le in ach ieving the targets set by the programmes. [ S .D. Punek ar & Al ka Golwalker.1 97:. I

~ Corporate Sector's Role in Social Welfare : A number of big industrial and co mmercial houses in Maharash tra ha ve been patronizing and co ntribut ing sign ificantly towards social and cultural dev elopment of the State. These efforts got a boos t since independence. While carrying ou t these activities, they have formed Societies funded and run by themselves, created Foundations to fun d non-profit institutio ns to he managed by themselves. Voluntary ac tivities in Maharash tra, particularly in Edu cation, Health, Arts and Culture and Sp orts sec tors, throu gh the encouragement of the Corporate Bodies, hav e ce rtainly go t a fill ip during the post-independence period . EXPLORING THE NON PROFIT SECTOR IN INDIA Some Glimpses from Maharashtra

I . THE LEGAL FR IE\ ORK

In Maharashtra like other states, there arc legal provisions which permit groups to commence non-profit, vo luntary or charitab le work to organize themselves into a legal body by registering themselv es under a spec ified Act or a combinat ion of Acts. Majority of such units in Maharashtra have fo und it convenient and advantageo us to get reg istered under one or more Acts particularly because such leg al backing is helpful in obtaining sponsorsh ips and financial sup port from the Gov ernment and other nation al/internation al agen cies. However, there are also a sizable number of unit s, who for some reason or tbe other have preferred to re main outside the legal frame-work, but are car ryi ng out the ir activities regularly and normally. For that matter, there is no compu lsion for an y non­ profit institution to get leg ally registered . Non-profit organizations in Maharash tra can be reg istered/incorpo rated under any of the following Aet s:­

a) The Bombay Pub lic Trus ts Act , 1950 b) Societies Registration Act, 1860 with Mah arashtra Rules, 1971 c) Section 25 of the Indian Com pan ies Act. 1956 d) The Maharashrra Cooperative So ciet ies Act. 1960 e) The Trade Union Act, 1904.

THE BOMBAY P BLIC TRUST T. 1950

Well before Independence, Trusts of different nature with varied objectives had been created in the country which had been regulated by Rel igious Endow ment Act , 1863, Indian Trust Act , 1882, Th e Charitabl e and Rel igious Trust Act, 1920, Mu ssalman Wakf Act, 1923, and many other suc h Ac ts. With a view to bring all Trus ts under one um brella and to regulate and administer them efficiently. in the Bombay State 'The Bombay Public Trusts Act , 1950', was promulgated with the followin g objec tive

"The obj ecti ve of the Act is to regu late and make bett er prov isions of the administration of public, religious and charitable trusts within the State o f Maharas htra. It includes within its scope all pub lic tru sts created not merel y for religious but for purely charitable pu rposes as well and extends to people of all cl asses and den ominatio ns in the State." T he word "trust" has bee n defined to mean an "obligation annexed to the ownership of property and aris ing out of a confidence reposed in and accepted by the owner, or declare d and accepted by him. for the ben efit of anothe r, or of another and the owner". There are two types of tru st." In a private trus t the be neficiaries are one or more ascertainable individuals, In a publi c trust the benefi ciaries arc a body of uncertain or fluctuation individ uals and any may consist of a class of the publ ic or the whole public. Generally a private trust is not a permanent onc. But a public tru st is of a permanent nature. If properties are dedicated to temple s and mosques or gifts arc made to religious or charitable ins titutions they create a trust. Private tru sts will no t be considered in the context of non-pro fit sector study.

For the purpose of this Act, a charitable purpo se includes relief of po verty or distress, education, medical relief, provision for facilities for recreati on or other leisure time occupation (inc lud ing assistance for such provision), if the faci lities are provided in the interest of social welfare and publ ic benefit, and advanceme nt of any other object of general public util ity. The Government of Maharashtra for administrative purposes has formed a number of regions and sub-regions with 'Public Trusts Registration Offices' , as required. The Act with e ffect from the date of promulgatio n makes it obligatory on the existing pu blic tru sts and trusts to be newly created to apply and get registered as per section 18 of the Ac t which states :

Registration of publi c trusts ­

( I) It sh all be the duty of the trustee of a pub lic trust to which thi s Ac t has been applied to make an application for the registration of the publ ic tru st.

(2) Such applicat ion sh all be made to the Deputy or Ass istant Charity Com missioner of the region or sub-region within the limits of which the trustee has an office for the ad ministration of the trust [or the tru st property or substantial portion of the trust property is situ ated, as the case may be 1.

(3) Such application sh all be 111 writing, shall be in such form and accompanied by such fee as may be prescribed.

(4) Such ap plicatio n shall ­ (a) in the case of a public trust created after this Act was applied to it, be made, within three mon ths fro m the date of the application of this Act, and (b) in case o f a public trust created after this Act comes into force, within three mo nths of its creation, (5) Such applicatio n shall inter alia contain the fo llow ing particu lars :

(a) the de signation by which the public trust is or shall be known (h ereina fte r re fe rred to as the name of the public trust), (i) the names and addresses of the trustees and the manager, (ii) the mode of succession £0 the office of th e tru stee, (iii ) the lis t of moveable and immovable trust property and su ch descriptio ns and particulars as may be sufficient for the ide ntificatio n thereof. (iv) the approxi mate value o f movea ble and im movab le property, (v) the gro ss average ann ua l income of the trust property es timated o n the income of three yea rs immcdiately preced ing the date on whic h the ap pl ica tion is ma de or of the period whi ch has elap sed since the c reatio n of the trust. wh ichever period is shorter,

(vi ) the amount of the average annual ex penditure 111 connecti o n with su ch pu hli c tru st es timated or the expenditure inc urre d withi n the period to which th e particulars under c lause (v) relate . (v ii) the add ress to which any co m municatio n to the trus tee or manager in conn c tion with the public trus t may be sent, (viii) suc h other particulars which ma y he prescribed:

Provided that the rules may pro vi de that in th e case '01' any or all publ ic tru sts it shall not be necessary to give the pa rticulars o f the trust property of such value and suc h kind as may be spec ified there in.

(6) Every applica tio n made under s ub -section ( I) shall be s igned and verified in the prescribe d manner by the trustee or his age nt spec ially authorised by him in thi s beha lf. It s hall be accompanied by a copy or an instrume nt of trust, if' such inst rument had bee n exec uted and is in existence.

(7) It sha ll a lso be the d uty of the trustee of the public trust to send memorandum in the prescribed for m co ntaining the parti culars, includi ng the name and descriptio n of the public trust, rel at ing to the immovable property of suc h publi c tru s t. Such me mo ra ndum sha ll be se nt w ithin three months from the date o f c reatio n o f the public tru st and shall be signed and veri fied in the prescribed man ne r by the tru st ee or his ag ent spec ially authorised by him in this behal f. The Act has made specific prov rstons 111 Sections 3 lA, 32, 33 and 36 B for maintaining accounts by the trusts which are of great relev ance for the Non- profit Institutions, which are su mmarized as below:

.:. Preparation and submission in prescribed forms at least one month before the accounting year, a budget showing the probable rece ipts and dis bursements of the trust dur ing the foll ow ing year to the Comm issioner / Dy. or Asstt. Commissioner;

.:. Maintenance of annual accounts in prescribed forms and submission of accounts duly audited by a Ch artered Ac co untant within six months o f closing date of accounts to the Commissioner/Depu ty or As sistant Co mmissioner;

.:. Ma intenance of a reg ister of movahle and immova ble properties.

With a view to regulate and make better provision for the ad min istration of public trusts, Section 37 of the Act gives wide powers to the Au thorities to exercise pro per supervrs ion and co ntrol over the pu bl ic trusts, as ind ica ted below (a) to enter on and inspect or cause to be entered on and inspected any property belonging to a pu blic trus t ; (b) to call for and inspect any proceedings of the trust ee s of any public trust, and any book of acc ounts or docu ments in the po ssession or under the co ntrol of the trustees or any person co nnected with the trust ; (c) to ca ll for any return . statement, acc ount or report which he may think fit from the tru stees or any person connected with a pu blic trust; (d) to get the ex planation of the trustee or an y person connected with the pu blic trust and reduce or cause to be red uced to writing any statement made by him.

SO 'IETIES REf;ISTRATION CT, 1860 & M HARASHTR RULES. 1971

Non-profit sector societi es 111 Maharash tra co ntinue to be regulated by Societies Registration Act, 1860 but with "The Soc ieties Re gistra tion (Maharashtra) Rules, 197 1" . T hese ru les indicate the areas an d their lim its cove red by the Act in Maharashtra and specifies certain additional annual returns to be submitted by the Governi ng Body and elaborates the procedure of maintenance of acco unts and the manner of audit to be carried out by the Society. Any seven or mo re persons form ing a society for the foll owing purposes may by subscribing the ir names to a memorandum of association and filing the same with the Assistant Registrar of Societies of the area be registered und er the 1860 Act (i) Charitabl e assistance (ii) M ilitary orphan funds (iii) Societies established at the Genera l Presiden cies of India (iv) Societies established for promotion of : );> Science >- Literat ure Fine Art s >- Instru cti on or diffusion of use ful kno wledge >- Di ffusion of political ed ucation ;.. Foundat ion or maint enan ce of librar ies or reading roo ms >- Public museum and *ga lleri es of pai ntings >- Works of art > Collection of natural history > Mechanical and philosophical invention s > Instruments ;.. Designs.

The Memorandum of Association should co ntai n (i) The name and ad dress of the So c iety; (ii) The names, addresses, and occupatio n of the those members subscribing to it; (iii) The objects of the Society; (iv) The names. add resses, and occupation of the Governors, Counci l, Directors, Committee or other governing body to whom the rules of the Society, management of its affairs is en trusted : (v) T he na mes, addresses, an d occupation of the seven or more person s subscribing their names to a memorandum of association. Such persons signatures sho uld be duly witnessed an d at tested.

In addition to the memorandum of association, it is ma ndato ry for a Society to file a set of governing rules and regulations with the Registrar of Societies . Apart from the details as spell ed out in the memorandum, the rul es and regulations must contain the following: a) T he manner, criteria, and procedures for enrol lin g and re mo ving variouscategories of members; b) Th e rights, obligations, and length of membership for the members; c) The criteria, manner, and procedures of forming the Gov erning Bod y; d) The manner in which meetings are conducted; e) The notice period for such meetings; f) The designation, manner of election, and removal of offi cers; g) The powers and right: of members; h) The procedures for conducting the annual general body meeting and special meetings; i) Accounts and audit proc edures; j) The manner in which the objectives and rules and regulations of the soc iety can be changed; k) Other provisions as required by state acts.

The areas for the purpose of the Act in Maharashtra are as follows with the office of the Assi stant Registrar of Societies , to regulate the functi oning of Societies functio ning in those areas : (a) Greater Bombay Area (b) Poona Are a (c) Kolhapur Area (d) Nashik Are a (e) Aurangabad Area (1) Area (g) Akola Are a

Maharashtra Rul es specify under Section 4A a special provision req umng the Go verning Body of a society to furnish annually in the month of January returns in the prescribed form relating to persons employed by the soci ety. Section II of the rules also state the requirement of submission of accounts audited by a Chartered Accountant or a person authorized by the State Government in a manner as specified in the rules and in prescribed forms . SE 'T IO! 25 - COMPANIE ' A "f . 1956

The Indian Companies Act, 1956 is an All India Act, and States have no authority over it. Section 25 of this Act provides for granting of license by the Central Govem ment for form ation of 'n on-profit companies' . Sub- section 4 of the Section 25 of the Act permits a partners hip firm to become a member of any association or co mpany registered under these provisions but on di ssol ution of the firm , the membership of company or association shall lapse (K ochhar & Jai n, (987) .

THE 1\1 H RA.'HTR COOPERATI E .'OC IET IES I CT. 1960

In add ition to the Central Cooperati ve Societies Act, 1904, Maharashtra has en acted its own Act in 1960, with a view to am end and consolidate some of the provision s. Provisions ha ve been modified or widened : i) to pro mo te thrift, self-help and mutual aid amongst people with need s of and int erests in co mmon; ii) to provi de for clean , devoted and efficient management relevant to the needs of and infuse a ne w life into the cooperative societies; iii) to enahle div ersifying their act iviti es to put them on so und financial footing; iv) to ensure dem oc rat ic functioni ng to ge nerate employme nt and increase produ ction in all sectors of econo my; v) to incl ude mea sures to he tak en for better an d happier conditi ons of living for the members; and vi) to bring weaker sections of population within the fold of cooperative movement and for that purpose to consolidate and amend the law s rel ating to cooperative societies in Maharashtra.

In the absence of proper defini tion of co operative principles, arbi tra ry authority has been vested in the Regi strar of Cooperative Societ ies to formulate the princip les. wh ich shall normally incl ude :

• Advancemen t of economic. interest of the members III accordance with public mora ls, dece ncy and the relev ant directive principles of State policy enu nciated in the Constitut ion of India: • Regulation and restrict ion of profit mo tives ; • Promo tion of thrift, mutual aid and sel f-h elp; • Voluntary membership, and • Democratic constitution of the society.

Althou gh Cooperative Societies normally function for the sole benefit of their me mhers and not for the public at large. they may sometimes be considered as non-profit institutions by virtue of the spirit underlying their operations, provided they are not engaged in market tra nsact ions of goods and services generating profits for the be nefit of the memhers.

TI-l E TRA In: UI '10 I ACT, 190'"

Under the Act , a 'trade union' means any combination, whether temporary or permanent, formed primarily for the purpose of regulating the relations between workmen and em ployers. Any federation of two or more trade - unions are also cov ere d by the Act. This is a Central Act and its framework guides registration in different States of the country. Without gett ing into the controv ersy whether a trade union sh ould be treated as a Non-Profit Orga nisation (NPO) or not, the current survey proposed to include them 111 all sa mple States it found while listing in the ultimate area-sample units.

A sizable number of NPOs engaged in running schools as well as exclusive Non­ Government schools found to be self-managed and non-pro fit making were included in the survey. Most of those were found to be registered und er Central or State Boa rds of Education but not under an yone or more Acts mentioned in the preceding paragraphs.

All such units were treated as reg istered units under the Government ad min istrative framework without strictly being covered by legal provisions. Some NPOs were found registered under the Foreign Contribution (Regulations) Act, 1976 (FCRA). Th e FCRA had its or igin in the Emergency period and was passed in the wake of allegations that con tributions from ab road were being used to destabilize the governm ent. In 1984-85, the provisions of the Act were tightened. The Act requires all assoc iations and 'organisations recei vin g foreign contributions to register themselves with the M inistry of Home affairs for receiving any money from forei gn sources. The government can also grant pr ior permission to receive foreign contrihutions . Institutions and organisations permitted to receive foreign contributions are required to maintain separate bank accounts and acc ount hooks in resp ect of all foreign money recei ved by them. Also they are required to submit yearly accounts duly certified by a chartered accountant along with the balance sheet and statement of receipt and payment to the Ministry of 1lome Affairs. EXPLORING THE NON PROFIT SECTOR IN INDIA Some Glimpses from Maharashtra

V. THE SURVEY I STR J\'[ENTS

The survey instrumen ts used for the survey of Non-Profit Organi sations (N POs) in Maharashtra were alm ost the same as used for surveys conducted in Tam il Nadu and West Be ngal. F irstly, a common set of objectives had been lai d down for all the State Su rveys incl uding Maharashtra, as indica ted below: (i) To es timate the total num ber of form al ised NPOs together with associated estimates of their employment, reven ue and expenditure; (ii) To es timate the distribution of no n-formalised (including tra nsient) NPOs together with associated es timates of their employment, rev enue and expenditure; (iii) To estimate the distribution of formalised and non-for malised institutions into major activ ities as listed in NJC groups/sub-g roups; (iv) To es timate the mortality rates of institutions (both fo rmalised and non formal ised) that will help validate the registration data ema nat ing from the implementa tion of the Soc ieties Act; and

(v) To estimate the number of volunteers employed III the non-profit sector, quantum of time spe nt by them and to estimate empl oyment and output generated by volunteers.

The objective men tioned at (iv) above cou ld not be me t since it had not been possible to conduct the separate survey of registered NPOs under the Societies Act using the frame to be co nstructed from the records available at the office o f Registrar at the regional and sub-regional offices .

DEFINITION OF A NON PROFIT ORCA IS 1'10

The Non-Profit Organisat ion (NPO) is a term new in the Indian co ntext , although it is in greater use in Western countries. For the present survey, the structural-operational definition of a NPO developed by the Center for Civil Society Studies of the Johns Hopkins University has been adopted. Ac cording to thi s defi nit ion, a Non Profit Organization is an institut ion ! organization (i.e. a non -ho usehol d entity), which meets five criteria sim ultaneously viz . it is (a) organized, (b) pri vate, (c) non- profit distributing, (d) self-govern ing and (e) vol untary. T he above definition has been ope rationalised In the present survey by describing the five qu alifying attributes as under:

(a) Organized: An y institution whi ch has its own constitution/ charter fo r its function ing is considered organi zed, irrespective of whether it is formally registered under any one of the .statutory provisions. Large scale people's movements, such as Women 's Movem ent, Hum an Righ ts Movem ent, Anti-nuclear Movem ent, launched and spearh eaded by groups, whi ch arc formally well -organized but not registered, would be covered und er this definition . So also, the large number of unregistered yet formal associations at the grassroot level. such as the youth clubs, mahila mandals and residents' welfare associations, would be included under the definit ion.

(b) Private: me ans ins titutionally separate fro m govern ment. This does not mean that such organizati ons can no t receive government grant or fin ancial support in other fo rms or that govern ment officials cannot sit on their boards. However, institutions set up and fully owned by any department of the Central or State governments, like Council for Adv ancement of Peoples Action and Rural Technology (CAPART), National Dairy Development Board (NDDB) , etc. would not form part of the NPO sector.

(c) Self-governing: The organisation should be equipped to control its own activities and should not have its internal procedures for governance controlled by any outside entity (govern ment or for-profit bus iness entities), which may have provi ded funds to it.

As mention ed above, the Central and the State govern ments hav e set up several NPOs unde r the Societies Act, 1860 or the Co-operative Societies Act, 1904 . Such organisations have govern ing boards constituted by the government with the government nominating their officers on the Board. Often, the government also posts their personnel in these organi zations. Sometimes, the govern ments have the rig ht to supersede the governing boards. Lik e-wise, under the Co-operat ives Ac t, the Registrar has powers to am algamate, di vide or reorganise a co-operative in pu blic interest. Such institutions are not to be treated as self-govern ing, unless warranted by specific circumstances. Trade unions, by and large , would fo rm part of the sector and are incl uded under the survey, unl ess warranted by specific circumstances. (d) Non-Profit distributing : Income ge nerating activities, wh ich the societies, charitable or other inst itutions may be engaged in. may lead to profi ts accruing to them. However. registration of an organization under the five Acts mentioned earlier is possib le only if it is engaged in non -profit maki ng acti vit ies. Therefore, by definition, such profits, savings. or retained surplus arc not to be available for distribution among the members o f the governin g hoard or oth er person s engaged in promoting the institution but arc reinvested fur the acti vities o f the organization.

(e) Voluntarv : A simple way of definin g the term ' voluntary' is "a ny ac u vuy undertaken on one 's own vol ition and wi th no benefit to the doer". In no circumstances can a volu ntary wor ker be paid at his / her market rate. Essentially such payments are made to meet part of the expend iture on transport and the like. One of the attributes of a nonprofit institution is that at least some part of human resources it deploys, either at the management level or programme level, is obtained without remuneration or at less than the market rare of remu neration .

SA:\I PLE DESIGN s: S l\I PLE SIZE

For the survey a sample desi gn was selected which could net the NPO s effectively. Like other Sl ates in Maharashtra also. a three stage strat ified sampling design was adopted. the first stage unit (fsu) being Districts. the second stage unit (ssu) a "Taluk in rural areas and a 'Town' in urban arcax and finally the thi rd stage uni t (tsu) was a ' Village ' and .Uf'Svblock ' in rural and urban areas respecti vely. In large-scale sa mpl e surveys. dividing large c ities and towns into standard units facilitates easy sample selection. For this purpose, the National Sample Survey Organisation (NSSO), the premi er statistical survey age ncy of the country, conducts a continuing survey called the Urban Frame Survey ( FS), which attempts to divide all cities and towns into standard. compact and easily-identifiable units called ' Urban Fraine block s" (UI·'S) with a population of 600-800 (or 120-160 households) . T he UFS was first conducted in 1059-63 and is be ing updated since then once in five years. On operational considerations. it was dec ided to prefix the ultimate sam ple size to I% of total number of villa ges in rur al areas and I% of UFS­ blocks in urban areas of a district. T he specific details of the desi gn are as follo \V s:­

(a ) The National Sample Su rvey Organisation (NSSO) for its annual rounds of soc io-eco nomic survey s, has div ided Maharushua into six regions with geographically contiguous and homogenous districts grouped together as ba. ic strata. Th e same str ata were used for the NPO survey with a sligh t modification of taki ng out Greater Bombay from the coastal region and treating th sa me as a stratum . Stratum-w ise d ist ribution of dis tri cts is given in Table 5. 1.

Table 5.1 : Districts within each 'tratum

Stratum/Region ( I ) (2) (3) I Costal Greater.Mumbai * Thane Raigad Ratnagiri Sindaudurg *

2 Inland Dhule Northern Nashik * Jalgaon

3 Inland Ahamadnagar Western Pune * atra angli Sholapur Kohlapur*

4 Inland Aurangabad Central Jalna * Parbhani Beed Nanded Osmanabad Latur 5 Inland Buldana Eastern Akola Arnravati * Yavatmul Nagpur *

6 Eastern Bhandra Chandrupur *

Note : Total No. ofDistricts = 30 (As per / 991 census) * Districts selected in the sample SHTRA DISTRICT 19')1 , (

I' I( IJ II ,\ .--­ I) S .\ ) E II AMRA TI L..-_ , , 1

110MB")

PiE \NDHH.\ PR J E.""

I J \ r 0­ \ \R·\HIA r",\ "'OJ I PUR N - '­

_ . K \ 1, ,

(b) In addition to Greater Bombay. one more district namely Sindaudurg was selected from the coastal region. From the Inland [orthern region onl y one district namely Nas hik was se lected. On the other hand from Inland Western region. two distri cts namely Pune and Kol hapur were selected. From the Inland Central region only one dis trict i.e . Jal na was selected. hom Inland Eastern region, Arnravati and Nag pur districts were selected, whereas was selected from the Eastern reg ion . Thus in the State as a whole initially. a sample of nine districts were selected for the survcy but later it was seen that Sinduadurg district of the coastal region and Jalna from the Central region were not surveyed due to operational reasons, bringing down the total effective sample o f districts fina lly to seven. From the selected Isus i.c. districts, taluks in rural areas and towns in urban are as we re selected as ssus, with probability proportional to num ber of N POs as per Economic Census, 1998 (EC-98), The Economic Census is the official count of all entrepreneurial uni ts involved in any economic activity of either agricultural (exclu ding crop production or plantation) or non-agricultural sectors of the economy, engaged in the produ ction or distribution of goods or services not for the sole purpo se of own con sumption. Econom ic Ce nsus is conducted periodica lly by the entral Statistical Organisation (CSO) of the Ministry of Statistics and Programme Implementation. (c) The initial stipu lat ion of selec ting half the number of ssus could not be met due to cost con siderations and operational difficulties.

(d) Villages and UFS blocks were sampled. usin g the following procedure : Villages/UPS-blocks were first arranged in the descending order of the number of NPOs (as per the EC-98) in them. Ou t of the above arrangement. n/2 numbers at the top , where n wa s the pre-determined samp le size of villages/UFS blocks to be sampled, were selected with probabilit I to be included in stratum 1. Another nl2 villages (or UFS blocks) were selected on the basis of simple rand om sam pling out of N - n/2 rem aining villages (or UFS blocks), which constituted stratu m 2. where N represented the total number of villages (or of UFS blocks) in the Taluk (or town) under consideration.

Tables 5.2 (A) and 5.2 (B) give the distribution of sample sizes at different stages

111 rural and urban areas of Maharasht ra. respectively.

Table S.2A : Di uributlon of ample Size at different . rages in Rural Areas

( 1) (2) (3) (-t-) (5) (6) (7)

I. Arnruvati 1 2 2 1.530 20 14 ., Gadchiroli 12 2 2 1.346 17 17 3. Kolhapur 12 2 .2 1,18S 13 13 4. Murnbai o 0 0 0 0 0 5. Nagpur 14 2 2 l.h35 I~ 18 6. Nashik 13 .2 0 I.H7R 21 0 7. Pune 14 2 I 1.8()lJ 19 0

Total 109 Table 5.28 : Distributlon of Sample Size itt different stages in rban Areas

I .. Actual Stipulated No. Act ual No. No. of Towns of UFS Blocks of UFS Blocks I • Sampled in Sample Sampled

( I ) (2) (3) (4) (5) (6) (7)

I. Amravati II 2 2 1.213 13 II 2. Gadchiro li 4 1 I 120 4 4 3. Kolhapur 12 I I 1.269 13 13 4. M umbai J 1 I 14,827 151 128 5. Nag pur 23 3 I 3.046 32 24 6. Nashik 17 2 I 1.986 20 14 7. Pune 33 2 I 4.199 42 25

Total

Table 5.3 : Distributiun of ElTcctiw Sample uf POs Netted

Rural Urban Total No. of' Total No. of NPO's netted NPO's netted • •

(I) (2) (3) (4)

1. Amravati 19 8 27 2. Gadchiroli 64 7 71 3. Kolhapur 40 17 57 4. Mumbai 0 63 63 5. Nagpur 33 20 53 6. Nashik 0 23 23 7. Pllne () 18 18

Total It may be see n from the tables that out of the total number of 93 86 villages in the sam ple districts, a sample of 109 villages were originally select ed in the sample but 62 villages we re only sur veyed. This indicates that the ultimate effective rural sample was 0.66 % instead of stipulated I%. Similarly in urban areas, out of total number of 26,660 UFS blocks in the district a sample of 275 UFS blocks were originall y selected in the sample but 2 I9 UFS blocks were only survey ed puuing the effective sampling fract ion of 0.8% instead of stipulated fraction of J%. Table 5.3 gives the distribution of effective sample sizes in terms of number of nett ed NPOs in the Maharashtra NP O survey. Tables 5.2(A ) and 5.2(B) also indicate appreciabl e shortfall between the or iginal and effective sample sizes due to the problem of non -response and calling off the survey before co mpletion due to inordinate delay on the part of the field agency.

The parallel organizational survey of NPO regist ered under the Societies Act using the lists to be compiled from the records of the Regi strar as conducted in oth er States did not take -off in Maharashtra due to operational problems with the field agency.

SCHEDliLES OF' E QUlin'

The primary data in organ isational surveys of Non Profit Organisations were gathered through the use of two schedules of enquiry viz . schedule 0.1, the Listing Schedule and schedule 0.2, the NPO Schedule. The listing schedule was meant for prep ari ng comprehensive lists of NPOs in the sample villages/ UFS blocks and the NPO Schedule for co llecting inform ation on organisational. activity, employmen t and finan cial details of the NPOs netted in the sample villages/ UFS blocks. The details of information to be coll ected in these schedules are described below.

DETAILS IN SCHEDULE n.1 (Tn hl' ca n vassed in sa m ple villages/ UFS B1ol'ks )

Block 1 : Location particulars: (State / Di strict I Block or Town I sample village or UFS block).

Block 2 Addresses of NPO s with two major activities from Block 3, as furni shed by the householtl respondent and from knowled geable persons.

Block 3 List of Hou ses and Households with particulars or non-agricultural enterpri ses. DETAILS IN S HEDlILE ".2 (To he canvassed at Identified NPOs)

Block 1 Identification Details (State/ Di strict / Taluk or Tow n village or UFS blocks). Block 2 The foll owi ng items of informatio n were to be collected in this block . (i) Name and de signation of respondent; (ii) Name and address of the NPO; (iii) Name and design ation of the Chief functionary; (iv) Whether the Ch ief Funct ionary is the founder or one of the founders; (v) Whet her the NPO is registered and if so under which Ac t(s) and year of registration; (i) Whether registered under FCRA or und er any I.T. Act, if so specify in the section. Block 3 General Information comprising the follow ing item s of information. (i) Wh ether the NPO is membersh ip based and if so the type of membership;

(ii) Whether there 1$ a Go verning Bod y, if so num ber of members and their term ; (iii) Whether the members of the Governing Bod y, no minated , elected or both and who nominates or elects them; (iv) Frequency of Go verni ng Board meeti ng. Block 4 Activities of the Organisat ion (Areas of work, target-grou ps and number of interventions, etc.). BlockS Employment De tail s (Number of re gular employees , Co ntractual em ployees and Volunteers with male/ female and Full-time/ Part-time breakdowns, Hours of work put in by part -time volunteers). Block 6 Recei pt in R upees (Re ceipts fo r the last three yea rs under different

head s and identification of donors , with distinction between rece ipts H1 cash and kind) . Block 7 Ex penditure in Rupees (Fo r the last three years under different expenditure heads). Block 8 Fixed Assets (Ite m-w ise possessions and approximate presen t value). Block 9 Project(s) Speci fic Detai ls (Title, Date of start, Ex pe nditure during 1999-2000 and since incep tion, Re ce ipts during 1999-2000, Total estimated project cost and Sources of funds). ESTIMATION PROCEDURE

Usual es timation procedure for multi-stage designs for estimating totals and ratios were used, which is giv en as follows:

For estimating district totals in the rural sector, say, the total number of NPOs, the follow ing form ula has been used: n me Mi - rnn ~ Y=1/n L 1/Pi [ -­ £..J Yij mi2 . 1 i=1 J=

where Y = district level estimate of total number of NPOs;

n = nu mber of taluks selected 10 the district;

pi = probability of se lection of i" ta luk;. M. total number of vill ages in the i" .taluk; I =

mil = number of villages se lected 10 stratum 1 of i'" taluk (100% selection)

mi2 = number of villages se lected in stratum 2 of i'" taluk on the basis of SRS;

y . = number of NPOs 10 the J"th village of i" talu k. 1.1

1n the urban sample of Maharashtra, alth ough it was originally stipulated to select the dist rict town purposively (assigning probability I and treating it as a separate stratum) and at least one town from amongst other towns in sam ple districts, but at the processing stage, it was observed that in most of the districts only district-tow ns were surveyed and none amongst other towns of the district had been surveyed. Consequently, the estimation procedure was adj usted to treat all sample towns in a district incJuding the distri ct town having been selected with prohability proportional to number of NPOs as per EC-98" Acc ordingly, the same formula as used for the rural sector was also used for the urban sector in Maharashtra as given as follows:­ n mn rrua y =1In L 1Ipi [ L yij + (Mi - rnn ) I rruaL Yij ] i=1 j=1 j=1

Notations are the same as for the rural sector. by repla cing taluk and villages by town and UFS-block respectively. Considering the State to have three basic strata as 'Rural'. 'Greater Murnbai' and 'Other-Urban' , State-level estimates were obtained from the district estimates using estimation procedure for stratified pps sampling where size was the population figures as per 200 1 - Population Census. VI. THE S RVE Y RESULTS

In thi s chap ter, imp ortant findi ngs from the organi sation survey of the no n-profit insti tution s in M aharashtra, ha ve been pre sented . Th e statistical estimates of various parameters have been firstly prepared district-w ise separately for rural and urban and then co mbined to obtai n State Level estima tes using the estimation procedure described in the previou s chapter

The mum parameters for which estimates have bee n compiled and presented in the following sections are the size of the sector. the employ ment and vol unteerism there-in, information on issues of governa nce. activities in which the sec tor engages itself, sources of revenues generated, patterns of expenditure and a few other related parameters. Hopefully, the estimates now summarized in this section will enable the researchers, policy makers, and the Civil Society leaders to have, a feel of import ant dimensio ns of the sector in the State, arrived at through a scientifica lly designed study. first ever of its kind.

CERTAI CAVEATS

T he fiel d work of the Mahar ashtra Survey did no t see m to be up to the mark by any standards. Firstly, the survey did not co ver a sizable porti on of the stipulated sample. Two districts were not covered at all. while in two distr icts rura l areas were not surveyed. In the urban sample in all the districts exce pt one only district towns were surveyed. At the data processing stage, wh ile scrutinizing the schedules, a number of complete and partial non-response cases were fou nd. All these factors led to maki ng a number of assumptions rendering validity of some esti mates to be questionable. Based on these co nsiderations it was decided to lim it the pres entation or results at the State level only without giving district-wise breakdown. Inspite of all the limitations, with intensive scrutiny and some plau ible editing and corrections, it has been possible to present somewhat usable results which generally seem also co mparable with other State results. However, users will have to exercise so me caution while maki ng use of the results.

THE SIZE OF THE SECTOR

The survey provided an estimate of 88,549 NPOs in Maharashtra, of which 53 ,157 (60 %) were in rural areas and 35,392(40%) in urban areas. It thus turns out that voluntary action IS mo re promi nen t In rur al areas as co mpared to Maharashtra has urban areas. Table 6.1 pres ents estimated numbers of aro und 88.5 registe re d a nd unregi stered NPOs w ith rural-urban thousand NPOs breakdown. The table indicates thai the number of registered operating in the unit s were 68 .343 (77%) which fairly exceed ed the number state of un-registered units which were 20.206 (23%).

Table 6.1: E. timatcd numbers or Registered and Unregistered PO 's with rural-urba n break-up

Location .. . ., units units (I) (2) (3) (4) Rural 43.534 9.623 53.157 Urban 2.+ .809 10.5 3 35.392 Total 20,206 88.549

40%

60%

• Rural • Urban • Registered • Unregistered

LEG L ST T )) I. ',' EL' OF GOV '.. I{ c

General particular: :

As has been stated in Chapter 4. NPOs get themsel ves regi stered under on e or more specified legal or admini strative provisions with a view to get some advantages in pursuing their ac tivities. Table 6.2 presen ts registration and related particulars of NP Os in Maharashtra. Most of the NPOs (94%) had the ir headquarters at the site where they were interviewed. These percentages were 98 and 88 for rural and urban areas, respectively. About 66% of the NPOs had thei r Founder or one of the Founders as the Chief Executive of the organisation. this percentage wa s higher in rural are as (73%) as compare d to 56 % in urban areas. This may be indicative of a sligh tly bett er tendency on the part of urban NPOs to create a second line o f command and co ntro ls.

Table 6.2 also indi cat es th at 77 % of the NPOs in Maharashtra are registered under one Act or the othe r. Thes e percentages were 82 and 70 in rural and urban areas, Most of the NPOs (77%) in res pective ly. The tabl e also indicat es majority of the NPOs about 40% in rural areas whi ch were schools, were found to Maharashtra are be registered with the Ce ntral or State Boards of Education, registered under one followed by 33% of NPOs regi stered und er the Societies Act. Act or the other On the ot her hand in urban areas. J I% of the NPOs were found to bc regist ered und er the Tru st Ac ts, followed by 16% registered under the Societies Act.

Table 6.2: Re istration and Related Particulars or PO's

Rural Urban Total ( I ) (2) (3) (4)

I. H.Q . at site (%) 98 88 94 2. Founders as hiefE .ecutive (%) 73 56 66 3. Registered 43.534(81.90) 24,809(70.10) 68 ,343(77 .18) a) ocicties Act 17.602(J3.11) 5,593( 15.80) 23.195(26.20) b) Trust Act 4.286(8.06) 11.090(3 I .34) 15.376( 17.36) c) Company Act - Sec. 2.5 136(0.26) 1.540(4.35) I ,676( 1.89) d) Co-operative Act 13 '(0.26) 3.791(10.71) 3.929(4.44) e) Other A t 21372(40.21 ) 2.795(7.90) 24.167(27.29) 4. Un-regi tered 9.623( 18.1()) 10,583(29.90) 20.206(22.82) , Total ••.

(i) fig ures in brackets are percentages to respective column-total (ii) Note :- Not a sin gle NPO registered under Trade Union Act was netted in the sample (iii) If a NPO was registered under mo re than one Act simultaneously. they were counted only once, preference having been given to (a) over (b) to (e) ,(b) ov er (c) to (e) and so on . Member 'hip

It was noted that all the NP Os netted in the sample in Maharash tra wh ether registered or unregistered. were found to be membersh ip-based institutions. Table 6.3 presents the distribution of membersh ip - institutions by the type of membership offered by them . It may be see n from the table that the two predominant forms of membershi p were the 'Lire membership' and the ' Annual membersh ip' .lt is interesting to note that while the ' Li re me mbership' constituted the largest Iorm o f membership amongst the registered units wh ich we re 59% of the tot al regi stered units. 78% of the total unregistered unit s had 'annual members' indicating that this form o f membership was the most predominant one am on gst unregistered units.

Table (•.J : Distribution of PO's by Type of Membership

Registration No. of I ' Status membership based NPO's • I

(I) (2) (4) (i) (6) (7) (8)

Reg istered /l1l.343 68.343 J.X54(5.f>4) 40,."! I(J(58.Y8) 6.555(9.59) 33.OJ6(4l\.34) 7.254( IO.t>!)

Unregistered 20.206 20.206 3.1 !l7(l5.77) IO.S62(53.76) 4.662(13.07) 15.774(7!l.07) 41(0.20) ., 88.549

(i) Figures in brackets are percentage to tota l number of membershi p based NPOs. (ii) Perc entages when added exceed 100. sin ce a NPO may have more than one type of membership.

Governance :

Eac h NPO netted in the sample was found to ha ve a Governing Bod y to manage its affairs. From the percentage distribution or organ isations accord ing to num ber of Board members given in Tabl e 6.4. it is seen that the majority of organ isations have Govern ing Boards w ith memb ers I I to 20 (46%), followed by members 7 or les s (34%) an d 8 to 10 (19%) . The term of Board members varies fro m one year to " life", but is co mmonly above three years (28 %). The Gov erni ng Boards of a majority of POs (over 32 %) met twice per year. A significant proportion of the Boards (27 %) met even qu arterly i.e. four time s a year. T he Boards. which had stipulated to have only one meeting per year, were 25 % of all NPOs. The NPOs. which did 110t have any fixed peri odicity of Board meetings an d, thus, met only as and when required were estimated to be about 14% of all instit utions in the no n profit sector of M ah arastra. Table 6.4 SOI1ll' Indicators of Governance

I • I I : Total (I) (2) (3) (4) I. Number of instit utions with Governing Body 53.157 35,392 R8 ,549 2. Percen tage Distribution of Nl'O's i­ (i) By numbcr olGoverning Body members (a) 7 or less 40 .15 26.12 34.54 (b) 8 -10 8.37 33.90 18.57 (c) II - 20 51.24 3X.40 46 .11 (d) 2 1and above 0.24 1.58 0.78 Tota l 100.00 100.00 100.00

(ii) By term of members (a) I year 8.06 45.5 1 23.03 (b) 2 year. 1.50 7.21 3.79 (c) 3 yea rs 17.88 17.66 17.79 (d) 3+ year. 40.44 9.50 28.07 (e) Life 18. 3 18.05 18.22 (e) Others 13.79 2.07 9.10 Total 100.00 100.00 100.00

(ii) By period icity of Meetings (a) Once in a year 36.50 8.72 25.40 (b) Once in 6 mon ths 28.12 38.32 32. 19 (c) Once in 3 months 22.06 35.90 27 .59 (d) Others 13.32 17.06 14.82 Total 100.00 100.00 100.00

* Figures in brackets are percentages to total NP Os (Rural or Urban or Total ) ** Others refer to 'no fixed periodity' . mos tly as and when required.

Act ivities of NPOs

With a view to finding out as to what were the work areas, which were of interest to voluntary initiatives in Maharashtra, the sur vey sc hedules had qu estions on 'areas of activities' in whi ch the sampled NPOs were engaged. On classifying them into broad groups, adopting the 3-digit level classification of the National Industrial Classification (NIC), 1987, it turned out that the three leading groups of ac tivities in which NPOs were ma inly active in Maharashtra were, Religion, Community and Social Services and Sports and Culture in that order, the percentage of Organizations engaged in these sectors being 35, 30 an d 13 respectively. Whereas in rural areas, the three leading activity­ grou ps were ' Religion' , 'Commun ity' and 'Social Welfare Service', followed by 'Education' . In urban areas also the lead ing activity -group was 'Rel igion' (3 1%) , foll owed by ' Sports and Culture' (24%) in the second place and 'Community service etc. occupyi ng the third place with (18 %) o f units. Howev er, community and welfare serv ices arc mostly offered as seconda ry activity by a large number o f no n- profit institut ions. Table 6.5 presents distribution of NPOs by areas of acti vity w ith rural-urban breakdown. Similar data for registered and unregistered NPOs ha ve been presented in Table 6.6. If the distribution o f NPOs by their regis tration status is look ed into, it turns out that registered organizations have 'Community and Social Service' as the leading most main acti vity with percentage as 34.5 and unregistered orga nizati on s have ' Re lig ion' as the leading mo st ma in activity with percentage of 39.2. Amongst reg istered units, the secon d and third places arc occupied by ' Rel ig ion' (34%) and ' Education' ( 17%), in that urder. Amongst unregi stered uni ts, on the other hand, ' Sports and C ulture' (32%) ha s taken the sec und place followed by 'Commun ity and Social Services ' (14%)

Table 6,S: Activities of NPO's hy Locution

I • I t U r ban ( I ) (2) (3) (4) (5)

I . Education 920. lJ2I . 922 & 456 8,096( 15.23) 5.073( 14.:n) 13,169( 14.87) 2. Heallh 930 & 931 4:\9(0.92) 1,400(3.95) 1.889(2. 13) 3. Sports & Cu lture 959 2.635(4.96 ) 8,469(23.93) 11 . 104(12.54) 4. Connuunity & Social Welfare . crv ice 941 & 949 20.100(37.81 ) 6.380( 18.03) 26,480(29.9 1) 5. Religion 940 20.263(38. 12) 10,829(30.60) 31.092(35.11) 6. Others 9 1D. 942 . 943 & 952 1.574(2.96) 3.24 1(9.16) 4.8 15(5.44 ) Total " II I I .. * figures in brac kets are percentage with respect to total g iven in the last row. ** Column( I) indicates the most important activity in case o f multiple activities carried by a NPO Table ().6: Activities of PO's hy Registration Status

'. I I ' Registered Unregistered

( 1) (2) (3) (4) n

I. Education 920. 921 . 922 & 1.)56 11 .619( 17.(0) 1.550(7.67) 13.169( 14.87)

2. Health 930 & 93 1 831(1.2_) t .058(5.24) 1.889(2.13)

3. Sports & Culture 959 4.7 9(6.93) 6.365(31.50) II , I04( 12.54)

4. Community & Social Welfare ervice 941 & 949 23.569(34.49) 2.911( 14.41) 26,480(29.90)

5. Religion 940 13.167(33 .90) 7.925(39.22) 3 1.092(35. 11)

6. thers 910. 942, 943 & 952 4,418(6.46) 397( 1.96) 4.815(5.44)

68.3-13 (100.00) ..

* figures In brackets are percentage wi th respect to total gI ven III the las t ro w.

Others Education Sports & 5% 15% Cultu re r 13% Health 2%

Social Servi ce 30% EMPLOYEES NO 01.. NTEERS

Table 6.7 gives the es timates of employment and the number of volunteers deployed by the Non -Profit Sector in Maharashtra. The table indicated in Maharashtra the total number of persons en gaged in the NPO sector, was 1,082,545 o ut of which 220,594 (20.4%) were the paid employ ees anel the remaining About one million 861,9 5 J (79.6%) worked as Volunteers during the year 2000­ persons In 200 1. Out of the total nu mber of paid employee s, 74.4% were Maharashtra are working full-time and the remaining 25.6% were working only engaged in the part-time. On the other hand, am o ngst volunteers, part-time non-profit sector. out of which 80% volunteers were of the order of 95% of the tot al volunteers are volunteers and anel full -time ones only 5%. 1t is also seen that 57.4 % of the 20% only are paid to tal manpowe r engaged in NPOs are in urban areas out of employees which 12.6% are paid employees and the remaining 44 .8% arc vo lunteers. Rural areas on the other hand account for 42 .6% of the tot al ma npower wi th 7.7% paid em p loyees and 34. 9% Volunteer s. It is also interesting to note that in Maharasht ra, the reg istered NPOs account ed for 78% of the total manpower engaged in the sector. As expected, amongst Volunteers, the non-profession als far exceeded the professionals with a ratio of 90: 10 but am on gst the pa id employees, the ratio was almost even as 52:48.

Table 6.7: Employment in NPO's hy L cation and Registration Status

• FullTime • Rural 56.049 27,675 83,724 5,829 371,376 377.205 Urban 108,092 28,778 136.870 . 7.727 447,019 484.746 Total 164,141 56,453 220,594 43.556 8 18,395 86 1.951 Registered 158,460 51.384 209.844 22,587 611,819 634,406 Unregiste red 5,681 5,069 10,750 20,969 206,576 227.545 Professional/Non Professional Professional 87,555 17.973 105,528 6,402 83,384 89.786 Non Prof. 76.586 38,480 115,066 37,154 735.0 11 772,165 • Paid Employees • Volunteers

PAID EMPLOYEES & VOL NTE EI{S BY NPO A CTIVITY

The distribution o f paid employees and volunteers by areas of activity are presented

Il1 Table 6.8. A quick pe rusal of the table indi cates that 'Ed uca tion ' . acco unted fo r the top-most share of paid emp loyment (64 %), fo llowed by 'Community and Social Service' (l7%) and 'Religion' (10% ). For Volunteers, the three leading most areas of ope ration were : 'Religion' - 39%, 'Sports and Culture' -2 1(fn and 'Communi ty and Social Welfare' - 20% .

Table 6.8: Activity-wise Distribution of Employees and Volunteers

I I . II ' Paid Employees Volunteers

( I) (2) (3) (4) I. Education 920, 921. ( 22, 956 141.536(64.16) 72,153(8.37 ) ') Health 930,931 7,076(3.21 ) 14.401( 1.67)

-)" . Religion 940 21.651 (9.82) 337,936(39.21 ) 4. Community & SocialSer Ice 941. 942 37,496( 17.00) 174.917(20.29) 5. purts & Culture 959 5,481 (2,48) 183.710(21.3 I) 6. Others 910, 943, 949 7.354(3.33) 78,834(9.15)

Total 220.594(1()().OO ) 861.95H 100.00)

* figures Jl1 brackets are percentage to totals g iven In the last row. ADJ STME TS TO FULL-TI IE EQU IVALE NT

With predomi nance or part-time employment, it is im portant to kno w as to what would be the fu ll time eq uivalent of part -time work put in by the persons engaged in the sector. The full-time equivalent of total em ploymen t is the variable which needs to be con sidered if one is assessing the employment potential of the sector to the total economy. The survey schedule has, sought information on 'the average number of volunteer day s during one year' and on ' average time spent per day by part-time volunteers in the organisatio n'. No such information has been solicited for the part-ti me employees. Since most of the filled-in schedules of Maharashtra relating to time spent by part-time volunteers were either left blank or had do ubt ful entries, the task of converting part-time volunteering time to full-time equivalent was also found to be di fficult. Howe ver, based on a number of assum ptions and salvaging the scanty inform ation collected, an average conversion factor of 0.2 to be applied to the number of part-time volunteers to get fu ll-time equivalent, wa s use d. In so far as paid employment was co ncerned, it was ass umed that part-lime pa id employ ees worked on an average for half a day on every working day. Based on the se procedures, the adj usted full -time equi valent employmen ts of paid employment and of volunteer force have been given in Table 6.10., indicating adjusted total nu mber of 399,603 persons as engaged in the sector.

Table 6.9 f dju .ted Estimate: of umber of Per ons Engaged

" Total

I I :

(I) (2) (3) (4) (5) (6) (7)

Rural 56,049 I3.R38 .69.8. 7 5,829 74,275 80. 104 rban 108,092 14.389 122.481 37.727 89,404 127.131

Total 164.141 28.227 192,368 43,556 163,679 207,235 48% 52%

• Paid Employees . Volunteers

The employment scene. as emerging from Table 6.9. now changes fro m the sit uation in fe rred from Table 6.8 . Partic ularly, the number of full -time eq uivale nt 01" volunteering work has come down steeply to 2.07 lakhs fro m 8.61 lukhs. T he full -t ime eq uivalen t o f paid employment has also wo rked ou t to 1.92 lakhs. Thus the total full-time emplo yment generated in the se cto r is 3.99 lakhs ( 1.92 +2.0 71 a khs). Thus, em ployment in the non­ pro fit sec tor will be approximately 2. 11{;;'I of the total no n-agricultural wo rkers as per 200 I populatio n ce nsus . T he to tal non-agricultural employment incl ude s ind us tri a l employmen t as also e mp loyment in other sec tors where there are insi gnificant non-profit activities. If only those sectors w here no n-pro fit activiti es are predomina nt are taken into account. it is obvio us that the share of non-p rofit employment will go up co nsiderab ly. As per the estimates g ive n by the Directorate of Economics and Statistics , Go vernment of Maharashtr a, the State Domestic Product of laharushtra was Rs. 145,420 crores in 1998­ 99 at 1993-94 prices, out o f which Rs . 11 8.585 cro res came from no n-agricultural sectors. T herefore by using the percentage o f non-profit sector employment as given by the NPO su rvey with re sp ect to tota l non -agricu ltu ral workers. it would appear th at at least Rs . 2,500 crores wa s contributed by the non -profit secto r. T his esti mate. however. far exceeds from the estimates of abo ut Rs, 1000 cro rcs as worked out from the tables on Receipts and Expenditure of the NPO survey. RECEIPTS or THE NO -PRO FIT SECTOR

Receipts co nstitute another index of the scale of operations of an NPO. Table 6. 10 gives est imates of funds rece ived/generated by the NPOs in Maharastra over the three years viz. 1997-98 , 1998-99 And 1999-2000. The main features of the es timates are:

Y Total rece ipts of the NPO sector 111 Maharastra during 1997-98 was est imated at Rs. 8.69 bill ions. The funds generated sho wed an increasing trend over lime. The sec tor was able 10 generate funds to the tune of Rs. 10 .55 billions in the year 1999-2000. This implied an average growth ra te of about 10 .23% per year.

Y Ave rage recei pts per NPO during the year 1999 -2000 were aro und Rs.1.2 lakhs.

Y Anal ysi s of receipts by broad groups of sources shows that a major portion (53% in 199 9-2000) was from self generated sources. Grants obtained were about 24%. Loa ns taken were about 13%.

.Scl I' ge ne rated funds' , form the most important element amongst various sources of funding, its share currently is about 53L/,c of the total fu ndi ng. The th ree main components of self-g enerated funds arc: Community contribution (24 L}b); Fees and service charges ( 16%) and Memb ership fees (5 %). (R ef' : AI/llex II)

G rants rece ived from Government, and other agencrcs have bee n anothe r predo minant so urce of funding in Maharastra. The State Government has co ntributed to the extent of about Rs.2.336.8 million during the year 1999­ 2000. Th is high figure is due to grants being given to self-managed private sc hools and colleges. (Ref : Allllex /I)

Incidentally, Indian I religious institutions have also contributed Rs.12.2 millions to the NPOs in 1999-2000. Table 6.10 : Estimated receipt ' of fund s by . ource (in Rs, Iillions r

I ' I I ' I I I I II Amount % Amount % (1) (2) (3) (4) (5) (6) (7) Self-Generated 4,421.7 50.87 4,856.6 52.13 5,567.8 52.76 Loans 1,439.8 16.56 1,454 .5 15.61 1,411.7 13.38 Grams ( I) 1,980.2 22 .78 2.057.8 22.10 2,504.2 23 .73 Donation. (2) 850.6 9.79 946.8 10.16 1.069.2 10.13

Total 8.692.3 100.00 II I ' II "

(1) Foreign and Interna tion al grants were not reported at all. (2) Donations received from for eign sources were estimated as Rs . 305.2 milli on

Loans 13%

Self-Generated 53%

6000 - - • Self Generated 5000 ... ..- -­ 4000

3000 _ Grants 2000 • ..------______• _ _ • _ _ _ _ • • •• Loans 1000 _ • - • - • - • - • - ..... Do nations 0 +-­ ------,-­ ------,-­ - --­ - ----, 1997-98 1998-99 1999-2000 More detai ls of components of the sources of fu nds generated by the sector in year 1999 - 2000 have been presented in a table at Annex II. The importance of the most significant share of se lf-generated fun ds by the NPO sector (53.0%) is often not given the due importan ce by the policy makers. Sec ondly. voluntary contributions from the co mmunities , the non profi t secto r seeks to serve, at 45.70% of the sel f - generated funds need also be considered appreciable. Fees and Service Ch arges we re fou nd to be another important source for generating income ; the item co ntributed J6% of the total receipts, which wa s almost 30.19 0(: of the self-generated funds. Th e State Govt, had shouldered the largest share of 'Grants' . amounting to about Rs. 2.336.8 millio ns. Funds rcceived from foreign sources in the form of do nations were estimated to be as low as Rs. 305.2 million in 1999-2000 , whi ch was only about 2.9% of the tot al receipts. It seems that either the NPOs rec eiving foreign fund s have not been adequately netted or the units fall ing in the sa mple have not responde d properly.

E. ' PEI OIT lIU: PI TTER .'

Th e esti mates of total expend iture broken down in to major grou ps of item s incurred by the NP Os in Ma harastra during the years 1997 - 98. 1998 - 99. & 1999 - 2000 have been presented in Table 6.11. It would be seen that the survey ha s es timated the tot al expenditure incurred by the NPOs in the State at Rs. 7,9l)8.1 millions in the year 1997­ 98. The figure rose to a sum of Rs. 8,464.4 millions in the year 1998 - 99 and again to Rs. 10,131.3 mill ions in 1999-2000. Thus, the expenditures. like receipts, exhibited an increasing trend over time . Exp enditure estimates were marginally low er tha n the receipt estimates in all the three years. On the whole . the two sets of es timates appear mutually consistent. A furt her perusal of Table 6.11 brings ou t that the two item s of expenditure viz . 'Salary and ot her Bene fits' and 'Operating Expenses' toge ther accounted for about 9 1% of the tot al ex penditure. Table 6.11 Estimated E. penditure Oil lajor Item . (ill Rupeeslilliolls )

I I Amount % ( I) (2) (3) (4) (5) (6) (7)

I . alary and other be nefi ts 4,874. - 60.95 4,714.5 55. 70 5,683.2 56. 10 2. Operating expenditure 2,484 . 1 3 1.06 2.988 .2 35.30 3.585.2 35.39 3. Rent for assets not owned 52.6 0.66 67.9 (l.80 66.9 0.66 4. Travel 25.0 0.3 1 33.5 0.40 44.7 0.44 5. Administrative cos t 298.2 3.73 332.9 3.93 394 .2 3.89 6. Interest paid on loans 9. 1 0. 11 26.0 0.3 1 14.6 0. 14 7. Charity / Donations 223. 1 2.79 257 .5 3.04 272.8 2.69 8. Others 3 1.5 0.39 43.9 0.52 69.7 0.69 , Total I .

FIXED ~ S E T .~

Fixed assets possessed by the NP Os e..g. lands, building, machinery & too ls and transport equipm ent and 'other assets ' (o wned, hired. rent-free eic.) along with their approximate value were the last set of item s related with the overall health of the NPOs on which the Survey attempted to co llect inform ation . Table 6.12 presents the estimated value by types of assets. The tab le shows that almost all the NPOs had some fixed asset or the other. The present worth of all the assets owned worked out at at Rs . 50.6 billions. The overall average value of assets per NPO was Rs . 5.7 lakhs in Maharastra. Of the tot al present worth of these assets, building accounted for 56 % (Rs. 28 ,134.5 mill ion), land for 29% (Rs. 14,490.7 mill ion ) and Mechi nery & Too ls for about 2% (Rs. 8 l5.7million). Table 6.12 Fixed A .ets (Estimated Value in million)

, No. ofNPO's/ValueofAssets ( I) (2) I. Total Number ofNPO's 88,549 2. NumberofNPO's with any asset 88,504 (99.95) 3. Value of Assets (Rs. Millions) (i) Land 14.490.7 (28.6) (ii) Buildings 28.134.5 (55.6) (iii) Mach inery & Tools 815.7(1.6) (iv) Transport Equipments 107.1 (0.2) (v) Others 7.095.4 (14.0)

I • 50,643.4 (100.0)

* figures in brackets are percentage with respect to total gi ven 1Il the last row. ** One NP O in the sample did not report any ass et.

DISTRIB TION OF POs BY E lPLOY 'IE T & EXPE DIT URE GRO PS

Tables 6. 13 and 6. 14 present the distribution of NPOs in Maharashtra by Paid Employees and Expenditure -groups, respectively. As ma y be seen from the tables, small­ size NPOs both in terms of employme nt and ex pendi ture arc very large in numbers as compared to NPO s with medium or high scale of operations. It is interesting to note that there were about 52% NPOs which did not hav e even a single paid employee and another 22% which had j ust one paid employee. The frequency-cur ve taper off steeply with increase in employment-size. Ho we ver it may also be noted that out of the total number of NPOs, 3,393 NPOs (3.8%) had J I to 30 paid employees and 822 NPOs (1.0%) had 31 or more paid employees. ..A lmost similar distribution is seen by expenditure­ gro ups. If Table 6. 14 is presented with three bro ad groups as Small (0-0.5 Rs. lakh), Medium (>0.5 and upto 5.0 Rs. lakh) and large (>5.0 Rs. lakh ), the picture emerges as such

• Smaller NPOs with expenditure lip to Rs.50,000 per annum Constitute 80% of the total number of NP Os in Maharas htra. • About 14% of the total number of NPOs are medium-sized NPOs with e .penditurc between Rs .50,000 to 5 lakhs,

• Bigger NPOs with annual ex penditure abov e Rc.5 lakhs are only about 6% of the total number of NPOs.

Table 6.13 : Distribution of POs hy umber of Paid Employees

Percentage (I) (2) (3) (4) 1. 0 45.743 51.7 2. I 19.518 22.0 3. 2 -5 15.600 17.5 4. 6 - 10 3.473 4.0 5. II - 30 3.393 3.8 6. 31 and above 822 1.0 7. All classes 88.549 100

31 &above ~

11 -30 ~ I 6-10 I 2-5 , 1 I o

o 10000 20000 30000 40000 50000 Table 6.14 Di 'tributioll of NPOs hy Expenditure-Groups

Frequency Percentage (1) (2) (3) (4) I. 0-1 74,991 84.7 2. 1-5 8.556 9.7 3. 5-10 3,529 4.0 4. 10-20 904 1.0 5. Above 20 569 0.6 88,549

Above 20 a 10-20 ~ I 5-10 • I 1-5

0-1

10000 20000 30000 40000 50000 60000 70000 80000 EXPLORING THE NON PROFIT SECTOR IN INDIA Some Glimpses from Maharashtra

VII. LES ~ O S LI.. AR T FOR F TURE SURVEY '

T he planni ng an d conducti ng o f the first e ve r st at istically designed sample survey o n a complex subject like No n-Pro fit O rganisatio n sector ha s certa inly pro vid ed valuable expe­ rience with useful les sons for futu re su rveys o f similar nature. The lessons learn t particu­ larly with reference to Maharaslura surve y arc hig hlig hted in this sec tio n. While formu ­ lating the lesso ns , it came to ligh t that wh ereas certain survey cleme nts needed to be im pro ved centrally for all the state-surveys, there were also some surve y aspec ts which need ed to be ta ckled at the State-level.

( I) The survey ha s brou gh t to light structural co mplexities of the NPO se ctor. T he extreme heterogeneit y of the units unde rlines the nee d for pre-stratifica­ tion of the secto r in to segments like the small, the mediu m and the large an d de vising appropriate sa mpl ing st rategi es for each of them.

(2) A lot of pre lim inary work need s 10 he done to un de rstand the spec ial char­ acteri stics o f di ffere nt segments and, if po ssible. to delineate the ir bou nda­ nes.

(3) An im mediate task co ncc rn mg the la rge segme nt, w hich is the economic backbo ne of the sector, is to co llec t a ll the lists and directo ries of such un its, sc ru tinize the m and prepare a Conso lidated D irectory of Large NPOs free from d upl icate ent ries. Su ch lists and Directories. whi ch are now avail­ able wi th vario us agencies. arc partial and incomplete and are e ith er sub­ j ect-specific or area -sp ec ific . Hard and concert ed work will be require d for conta cti ng the agencies and collecting these lists. Although laborio us, this is an essential task. which needs to be ta ke n up seri ousl y.

(4) T he present ap proach o f identi fying NPOs through ho usehold list ing pro ved to he c irc um locu to ry. No doubt the main purpos e of ho use listing wa s to collect non-a g ricu ltural em ployment datu. However, if no n-ag ric ultural ern­ plo yment data a rc not essentially req ui red. much time and e nergy can be sa ved by making only int en sive e nquiries in the sample ab ou t the ex istence or NPOs . T he time saved can be use d for covering more sam ple units. (5) The app roach in ex ploratory exercise of di vid ing the 20 th Century into six periods and selecting one year from each per iod had pro ved inadequate for netting large uni t . Th is aspect need s to be kept in view in planning sur­ veys based on registration data.

(6) For surveying the large segment. the Consolidated Directory suggested 111 (3) above, can be used as the frame.

(7) Operationally. there is need for complet ing the pl an ning for all aspects of the survey right from desig n to release of results before launching the field­ work. In part icular, software for data entry and data anal ysis should be ready before co mpletion of field work and should be common for all the States in which the survey is to be co nd ucted.

(8) A re-thinking seemed to be necessary to modi fy the definitions of a Non ­ Profit Organisation in the Ind ian context to meet the needs of all official and non-official users. Similarly, definitions of some of the basic terms e.g . ' Volun teer ' required to be reconsidered.

(9) The field-wo rk of the Maharash tra survey left much to be desired. It has once again been de monstrated how ad vantages of decentralized field-work co uld be lost if not adequately bac ked by Centra l coo rdi nat ion and super­ vision. CS O 's Econo mic Census,1998 was another glaring example. Points which emerged from the Maharashtru surv ey were : Need for intensive train­ ing and refre sher courses for Trainers by a strong Central Team ; Introduc­ tion of a well -knit programme of Central Inspection and Supervision; Selec­ tion of suitabl e survey and reference periods; and Devising measure s to control problem s of non-response. N E. ' 1

SAMPLE ELE TIO IN !VI HARASHTRA .; . VILLAGE TOWN * (2) (3) O'l-Mumbai Mu mbai ( 128)

02- Pune Pune (25)

03- Arnravati Achalapur (7) (0 J) Bhatkal 0 1. Dharnori 02. Checharwadi

(02) Chandu Bazar 01 . Deurwada Chandu bazar (4) 02.Asegaon 03 . Kharala 04 . Karanju Buhiram OS.Bomla 06. Hushangbad 07. Kurankhed 08. Ganoja 09.Kodori 10. lmarnpur II . Shahapur jawla 12. Muradpur

04­ Nasik Nasik ( 14)

05- Kolhapur Kolhapur ( 13) (0 I) Karvir 01. Shi ye 02. Walivade 03 . Mudsingi 04. Chikali 05 . Girgaon 06 . Dindnevli 07. Upawade 08. Mandare 09. Donwadi

(02) Aj ra 0 1. Aj ra 02. Kowada 03 . Bahirewadi 04 . Dabheel 06- Nagpur Nagpur (24) (0 I) Kamptee OI. l alakhcd 02. Bclon a 03. T huaon 04 . Mhasora 05 . Khcdi Gowarg 06. Khai gaon 07.lndora 08 . Naigaon 09. Mogra 10. Pimpal Gaon II. Ra nwadi 12. Gumgaon

(02) Na rkhed 0 1. Khapa 02 . Bina 03. Chi choli 04. Yarkardi 05. To radi Bk 06 . Wararnbha

07- Gadchiroli Gadchiroli (4) (0 1) Sironcha 01 . Siron ch a Ry 02. Ankisa Mal 03 . Rangay Pall i 04. A mdeli 05. So nnur Mal

(02) Ch amorshi 01 . Chamorshi 02. Ghot .. 03 . Bhendala 04. Talodhi Mokasa 05. Fokllrdi 06. Lakhampur Bori 07. Anadgram 08 . Dotkllii 09. 10. Navtala Tukum II . Rekhegaon 12. Walsara

Note : *Figures in brackets in columni3) are number ojUFS blocks in the Sample Towns surveyed. A E. II

SOURCE RECEIPTS

I. Self generated 5,567.8(53) Fees & Servic e C harges I ,680.5( 16) Sa le o f Product & Other Business Income 146. 1( I ) Membership Fees 487. 1(5) Interest Inco me 154.9( I ) Community Voluntary Contribution 2,544.4(24) Rental Income 232.9(2) Other Sources 32 1.9(3)

II. Loans ],4J1.7(13)

Natrional Sources 1,300.5( 12) lnternatrion al Sources 0(0) Other So urces 11 1.2( I )

III. Grants 2,504.2(24)

Central Government 59( I ) State Govern ment 2,336.8(22 ) Local Bodies 2.8(0 ) Others 105.6( 1) Indian Sources (Total) 2,504.2(24) Bilateral Agencies 0(0) International Agencies 0(0) Others 0(0) Foreign Sources (Total) 0(0)

IV.Donations ] ,069.2(10)

Indi vidual 75 1.1(7) Corporations 0(0) Foundations 0(0) Others 12.9(0) Indian Sources (Total) 764(7) Oth ers (Foreign) 305.2(3) Foreign Sources (Total) 305.2(3)

TOTAL ] 0,552.9(100) REFERE CES

Bombay Law House (2003): The Bom bay PublicTrusts Act,1950

Central Statistical Organisation (2000): Sta tistical Pocket Book.India

Director of Census Operations,Maharashtra (2002) : Census of India,200 I

Gall Omvedi (1974): Re-invent ing revolution, new soc ial mov ement

Gokhle J ayashree, (1979) : Dalit Panther movement

Govt. of Maharashtra (1999): Director of Eco nomics and Statistics Handbook Of Basic Statistics

International Institute for Popular Science (2000) : Report on NFH S-2, Maharashtra

Jain, Jagadish Chandra (1947) : Life in Ancient India-As depicted in the Ja in Canons

Kochhar and Jain (1987) : Formation and Managemen t of a Society

Ministry of Finance, Go vt.of India (2001-2002) : Econom ic Survey

National Sample Sur vey Organisation (2002) : Report on 55 lh round (J 999 -2000)

Office of the Registrar General and Census Commission er (2002): Census ofIndia, 2001

PRIA (2000) : Defining the Sector of India, Voluntary, Civil or Non-Profit

PRlA (2001) : Historical Background of the Non-Profit Sector in India

PRIA (2001) : Leg al Framework for Non-Profit Inst itutio ns in India

Punekar S. D. & Golwalker, Alka R. (1973): Rural Change in Maharashtra

Sarkar, .ladunath (1959) : A history of Dasnami Naga Sa nyasis

Sarkar, Jadunath (1973) : Shi vaj i and his time

Walkar Benjamin (1983) : Hindu World, An encyclopedic surv ey of Hindi ism

Warder, A. K. (1970) : Indian Budd hism

Zelliot, Eleanor (1983): From Untouchables to Dalit iElVIllERS OF THE ADVISORY CO Il\'lITTEE

I. Dr. Swapan Garain 9. Mr. Ajay Mehta Tata Institute ofSocial Sciences Executive Director Deonar, Mu mbai . National Foundation for Indi a New Delhi . 2. Dr. Ganesan Balachander Representative 10. Mr. Murry Culshaw Ford Foundation Murry Culshaw Adv isory New Delhi Services Bangalore , Karnataka 3. Ms. Priya Vishvanathan Representative in India 11. Mr. Jagadananda Charities Aid Foundation Member Secretary New Delhi Centre for Youth and Social Development 4. Mr. Nicholas Mcki nlay Bhubaneshwar, Orissa Chief Executive Officer Aga Khan Foundation 12. Ms . Indu Ca poor New Delhi Director Centre for Health Education, 5. Mr. Noshir Dadrawala Training and Nutrition Exec utive Sec retary Awareness (CHETNA) Centre for Advancement of Ahemadabad, Gujarat Philanthropy, Mumbai, Maharashtra

6. Mr. Joe Mad iath Executive Director Gram Vikas Berhampur; Oris sa

7. Mr. Harsh Mander Country Director Action Aid New Delhi

8. Ms. Pushpa Sundar Executive Director Indian Ce ntre for Philanthropy New Delh i PRIA RESEARCH TEAM HOPKINS CORE TEA (

I. Dr. Rajesh Tandon I. Dr. Lester M. Salamon President, PRIA Director Centre for Civil Society Studies 2. Dr. S.S. Srivastatva Johns Hopkin s University Principal Researcher Baltimore, USA Projec t Director 3. Mr. S.K. Gupta** 2. Mr. Leslie C. Hems 4. Mr. Ranjit Kundu ** Director Centre for Voluntary Sector Policy 5. Mr. Aniruddha Mishra** University College ofLondo n London, UK 6. Mr. Partha Saha** Coordinator, Data Collection Strategy

7. Mr. Chandra She khar Joshi 3. Dr. Wojciech Sokolows ki Centre for Civil Society Studies Johns Hopkins University Baltimore , USA Data Manager

4. Dr. Andrew Green Centre for Civil Society Studies John s Hopkins University Baltimore, USA ** From the Society for Socio-Economic Coordinator, Legal Aspects Studies and Serv ices, 5. Ms. Mimi Bilzor Centre for Civil Society Studies John s Hopkin s University Baltimore, USA Communications Associate