US diplomats based in New Delhi met government officials and were believed to have sought clarification on the Home Ministry's action against Ford Foundation and Greenpeace India, following alleged violation of Foreign Contribution Regulation Act (FCRA).
Official sources said India's Ambassador to the US Arun Kumar Singh also met Union Home Secretary L C Goyal on July 4 and was said to have conveyed American government's concern.
Ford Foundation and Greenpeace India's parent body Greenpeace International are based in the US.
Greenpeace India was allegedly involved in ant-government activities leading to the suspension of its FCRA licence and blocking of bank accounts.
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The Home Ministry officials made it clear that all NGOs and donors have to work within the framework of Indian laws and no 'genuine' NGOs will be harassed.
In a recent interview, US Ambassador to India Richard Rahul Verma had said that American officials were having dialogue with Indian officials on the issue of NGOs.
"We had a very good dialogue with the government. It is an important issue. Both of our countries have such a rich tradition of a robust civil society. We collectively need our civil society for all the work they do in literacy, health and education. It is vitally important for India and the US. It is also important that NGOs be legally compliant," Verma has said.