India’s Enforcement Directorate carried out a series of high-profile raids in Bengaluru on March 18, 2025, targeting locations tied to billionaire philanthropist George Soros’ Open Society Foundations and its investment arm, the Soros Economic Development Fund. The investigation, conducted under the Foreign Exchange Management Act, focuses on allegations that these entities funneled money into India through improper channels to support various NGOs, bypassing strict government oversight.
According to the ED’s preliminary findings, the Open Society Foundations has been on India’s “Prior Reference Category” list since 2016, meaning any funding to Indian NGOs required prior approval from the Ministry of Home Affairs. Officials allege that OSF and SEDF sought to sidestep this rule by routing money through subsidiaries, disguising it as foreign direct investment or consultancy fees. Once inside the country, the funds were reportedly distributed to partner organizations.
Investigators have placed at least three Indian companies under scrutiny—Rootbridge Services Pvt Ltd, Rootbridge Academy Pvt Ltd, and ASAR Social Impact Advisors. Between 2020 and 2024, these firms allegedly received around ₹25 crore from SEDF. Some of these transactions were structured as compulsorily convertible preference shares, while others were labeled as service fees without clear evidence of work performed.
The ED also searched premises connected to Aspada Investments Pvt Ltd, a Mauritius-based fund manager responsible for handling SEDF’s Indian investments. Aspada is believed to have managed nearly ₹300 crore across more than a dozen Indian companies.
The probe reaches beyond corporate entities, touching on NGOs and human rights groups with links to OSF. Among those connected to the raided locations are individuals formerly associated with Amnesty International India and current or former employees of Human Rights Watch—both organizations that have previously received OSF support.
This enforcement action highlights the growing tension between India’s government and international funding networks, particularly those involved in human rights, policy advocacy, and social reform. While the ED’s case is still developing, it has already sparked debate over the balance between national regulatory control and the independence of non-governmental organizations. For supporters of OSF, the raids raise concerns about shrinking space for civil society. For the government, they represent a necessary step to ensure transparency and compliance with financial laws.
As the investigation continues, the outcome could have far-reaching implications—not only for Soros-linked entities, but also for how foreign funding for advocacy and development is regulated in India moving forward.