The main remarks of EOHR on the new bill :

1. Restriction on the activities:

NGOs, in recent years, have become a partner to the government in development. This partnership became clear during the UN conferences of the 1990s, starting with the Cairo Population Conference and the Woman Conference, as well the Social Summit Conference in Copenhagen. These conferences reflected the importance of the civil sector’s role in society and generated numerous studies on the development of Civil Laws in the 1990s, corresponding with the growth of civil work.

The new draft curtails the constitutional right to association. It prohibits certain types of activity in article 11 of the first part, second chapter. It imposes restrictions on the aims, rights and commitments of associations. It states that: “Clandestine associations are prohibited.” Also, the following aims and activities are banned:

1-     To form military units, or activities of a military nature.

2-     To threaten national unity, to deviate from public order or morals, or to call for discrimination between people on basis of gender, origin, color, language, religion or faith.

3-     Any political activity that is confined to political parties due to Parties Law, and any unions’ activity that is confined to unions due to unions’ law.

4-     Profit-aiming or practicing activities for this purpose. Following commercial restrictions to make a product that would help in reaching the objectives of the association is not a prohibited activity.

It is clear that the Constitution has defined, specifically and exclusively, the activities forbidden for civil associations and institutions. These do not include the additional ones included in article 11. Political activities for instance have a broader scope than the activities practiced by political parties, i.e. party activities are only one form of political activity. The political activity of the parties has one specific objective, which is the peaceful participation in power. However, the objective of NGOs is to promote the awareness of the importance of democratic culture, the acceptance of the others, and the values of tolerance.  This objective has nothing to do with the parties’ objectives.

Despite the criticism of article 11 of law 153 of 1999, which was held unconstitutional by the Supreme Constitutional Court, the Egyptian legislator insisted on including the same articles and phrases, especially disregarding the criticism that article 11 is the cornerstone of the new law, as articles 6,42 and 63 of the law depend on this article.

2. Restriction on founding:

The new law is clearly undemocratic, as it imposes administrative control over the decisions of general assemblies. The previous rule decreed that the legal personality of an association begins as of the date when a representative of the founders informs the competent authority of the founding of the association. The administration then is to register a summary of the statutes of the association. However, in the case that administration discovers, within sixty days, that among the aims of the association is an activity which is prohibited by article 11 of this law, it shall reject the registration request with a decision that shall be sent to the representative of the founders.  The representative shall then have the right to challenge the decision before the competent court within sixty days and following the proper judicial procedures.

Article 7 of the law stipulates the establishment of a committee and its membership. It states that one or more committees shall be set up within the jurisdiction of each court of first instance. An annual decision by the Minister of Justice shall be issued on the formation of this committee. The committee’s head shall be at least a counselor of the court of appeal appointed by the court’s general assembly with the following as members: a representative of the administration nominated by the Minister of Social Affairs, a representative of the regional federation nominated by the board of directors of the general federation of associations, and a representative of the association which is party in the dispute, who shall be nominated by the organization’s general assembly or the board of directors.

The committee is responsible for hearing disputes between associations and the administration, this article states that the committee shall not meet unless with the attendance of its head and two members. In order to hinder access to courts, this article states that the suit on the dispute shall not be accepted by the competent court unless after a decision is made on the dispute by the committee, or after the elapse of the mentioned sixty days. This suit shall be addressed within sixty days as of the day when the decision was made

This committee that is a governmental body resembles the obligatory committee.  The lawsuits of the disputes shall be accepted before the court except after the issue of the committee’s decision. This step is a main restriction to the right to be judged by the competent judge, which was affirmed by the constitutional court’s verdict in (case no.15 of the judicial year 14 in the session dated 15/5/1993 as well as its verdict in the case no. 180 of the judicial year 19 in the session dated 6/6/1998).  “The constitution guarantees the right to file a case.”

The provisions of article four state that in no case shall a statute of an association stipulate for its property to return, upon termination, to any party other than the NGO Assistance Fund or any other association or NGO or federation governed by the provisions of this law. This differs totally from what was stated in the previous law, as the article restricts that an ‘endowment’ may be dedicated to the activities of the association in order to provide local sources of finance, which shall, in case of dissolution, be returned to those who contributed to it, and not to areas unlawfully determined in this article.

In this regard, we would like to point to paragraph two of article four, which states, “Each society that has as one of its purposes or performs an activity related to one of the NGOs referred to, even though legally constituted in a form other than an NGO, shall, as a requirement, be legally constituted as an NGO, and shall accordingly amend its statue, and shall apply for registration under the provisions of the attached law. Otherwise, it shall be deemed as dissolved under this law. Any private society shall not perform an activity related to one of the NGOs without being an NGO.”

This clearly shows an unjustifiable intervention in the affairs of other legal entities even though some aspects of their activities may be within the activities stated for private societies and associations.

This article is a vague one because it does not clarify when the association is dissolved and how the judiciary challenge of the dissolution is ordered. Also, there is an intervention and a repetition between the text of this article and the text of paragraph 8 of article 42 which states that the ministry of social affairs can dissolve the associations whose activities do not conform with the new law. The question arises here of the activities of Al-Ahram Center for Strategic Political Studies and the Egyptian Center for legislation 

3-     The risks of receiving funds:

Although EOHR appreciates the positive points included in article 13 regarding the exemptions given to associations, paragraph 3 of this article, which deals with exemptions from custom duty and other duties on imported equipment, tools, production requirements as well as gifts, donations and grants received from abroad, presents difficulties.  It states that this exemption shall be under a resolution by the Minister of Social Affairs and presentation by the Minister of Finance, on condition that these objects are necessary for the association’s activity.

Given the enormous responsibilities of the Prime Minister, this procedure must be made easier. A permanent committee appointed specially for this purpose must be commissioned to take up this responsibility in order to facilitate the bureaucratic procedures.

It should be noted here that the executive regulations must extend this exemption to include all taxes, especially those on cultural events held by associations to raise funds. In the same context, it is important that the executive regulations define the service and productive activities that are not considered “profit-making” in order to avoid that associations be held accountable for unknowingly performing illegal activities.

In addition, article 16 restricts the right of associations to join, collaborate or affiliate with a club, association or organization based outside Egypt, including those that practice activities that do not conflict with the purposes of the association. It further stipulates that the administration must be notified and that sixty days must elapse after this notice without a written objection by the administration.

Moreover, article 8 gives the administration the right to object to the association’s statute or its founders. Article 17 of the law gives the association the right to receive donations or to collect them from natural or judicial persons, but it left it to the executive regulations to define the manner in which this shall be done. However, the same article states that permission must be obtained from the Minister of interior before receiving funds from a foreign individual or body or their representatives in the country, and before sending funds to individuals or organizations abroad. This condition raises ears about the bureaucracy’s heavy involvement, taking into account the current number of around 15 thousand associations.

More complications follow, Article 19 states that all the records of the association must be stamped by the administration before they are used. This restriction disregards the personality of the association. It should suffice to stamp the records with the association’s seal. Also, it should be called to attention the obscurity and uncertainty of article 23, which states:

 In cases where an association issues such a resolution that the administrative body deems to be in conflict with the law or its statute, the administration may demand the association send a registered letter with an acknowledgement receipt. If the association fails to withdraw such resolution within fifteen days from being so notified, the administration shall have the right to submit the matter to the committee set fourth under article 7 hereof. Each party concerned shall have the right to challenge any resolution to be issued by the committee before the competent court.

This article does not refer to the committee’s decree.  It is undetermined whether there is a penalty, or what will happen if the association insists on the decree and refused to withdraw it. In this case, what will the committee do? And what kind of decree will it issue when the association refuses to implement this decree? 

4. Eroding the jurisdiction of the General Assembly:

Article 25 of the new law gives the administration the right to invite the general assembly to convene. This invitation is made through the appointed commissioner according to article 40 of the law. This article states that in case the number of directors is not sufficient for a valid meeting, “the Minister of Social Affairs may, if necessary, subject to consultation with the General Federation of NGOs and Associations, appoint, under a justifiable decision, a commissioner from among the rest of directors or otherwise, who shall be vested with board of directors’ terms of reference.” He shall convoke the general assembly, within 60 days, to elect a new board of directors. In case the assembly has not been invited within this period, it shall be deemed invited by virtue of the law on the first Friday following the elapse of the mentioned period. The executive regulations will determine the arrangements for this meeting. The task of the commissioner ends with the election of the new board of directors.

This article signifies the intervention of the legislator in the association’s internal affairs.

The above article should have stated that, in case the number of directors is not sufficient to hold a valid meeting, a new date shall be set for another meeting, which shall be valid with those who attend it and shall make its decision by a majority of attendants. This board shall have the right to convoke an extraordinary general assembly to elect a new board of directors.

5. Intervention in the Affairs of the Board of Directors

Article 34 permits the administration, and any party concerned, to notify the association of those it believes should be excluded because they fail to meet the conditions for candidature to the Board.

In case the nomination has not been withdrawn within 7 days as of the date of notifying the association, the administration shall have the right to refer the matter to the committee mentioned in article 7 of the law. A challenge to the committee’s decision shall be made before the competent court, which shall decide upon the challenge before the date scheduled for the election.

This article should have included the measures that would be taken in case the court could not decide upon the challenge before the election. Thus, it is not clear if the election shall be postponed, and in this case, who will issue this decision? Is it the committee or the association or the administration or the court? Is it the court that would schedule another date for the elections because it has the upper hand in deciding upon the challenge?

Article 38 of the law insists on the intervention in the framework of the association by ruling that the majority of members present adopt the decisions of the board of directors unless otherwise stipulated by the statute. However, law 153 of 1999 declares that Resolutions shall be issued by absolute majority of members present unless otherwise stipulated by the statute. In case of equal votes, the chairman’s shall be the casting vote. 
Thus the legislators disregard the recommendations of the experts from civil society who call for amending article 11, which is unconstitutional. Also, the legislators have not put an end to the administrative intervention.

6. Dissolution of an Association

Administrative intervention is clear in the provisions of article 42 of the law, which state that associations may be dissolved by the decision of the Ministry of Social Affairs, despite law 153 of 1999’s upholding that associations may be dissolved by the decision of the competent court, and that associations can challenge this decision. When preparing for the new law, the legislator amended article 42 of law 153 of 1999, which gives the impression that the legislator wanted to punish the people working in the civil society field who challenge the law before the courts.

Paragraph 8 of article 42 states that the ministry of social affairs can dissolve the associations whose activities does not conform with the new law. In all cases, the rule is that it is the jurisdiction of the general assembly to act as an overseer, to hold the board of directors accountable, and to withdraw trust from any of its members in case of violations of the association’s statute. However, the new law not only deprives the general assembly of this jurisdiction but also makes an arbitrary identification between the association as a whole and any possible excesses committed by the board of directors. The law deliberately goes beyond this by allowing the dissolution of associations, a procedure that morally constitutes an assassination of the association. In such cases, the association should continue its activities and the board members responsible for the violation should be held accountable according to the statute and to the relevant legal provisions. The most dangerous point is that all this powers are put in the hands of Ministry of Social Affairs.

Article 69 concerns the boundaries of the intervention of the President of the Republic in the structure of the general federation of NGOs and associations, which consists of thirty members.  The President shall appoint the federation’s chairman and ten of its members. This raises the issue of appointing members of the board of directors of the NGOs Support Fund in light of the provisions of article 71 of the law.

7. Penalties that detract from the freedoms of individuals when practicing voluntary work.

EOHR still believes that the NGOs law is in conflict with the philosophy of civil work, which is based on voluntary and non-profitable work. This law includes restrictions and penalties, which can reach imprisonment. According to article 42, the association can be dissolved if there are breaches from the side of the head of board of directors or the board of directors themselves. In this regard this law disregards article 66 of the constitution which states penalty shall be inflicted only for the committer of acts that are in conflict with the law.  Additionally, this matter is affirmed by the constitutional court’s verdict in case no. 25 of the judicial constitutional year 16 on the session dated 3 July 1995, which stated that that the penalty shall be personal. However, the NGOs law punishes the whole association instead of punishing the individuals who commit such breaches. Article 76 of the NGOs law points out that those who practice any of the activities provided for in items 1,2,3 of article 11 hereof shall be penalized with imprisonment for a period not more than one year and a fine of no more than 10,000 LE. Moreover, article 76 of the law states that practicing any of the activities provided for in paragraph two of this article shall be penalized with imprisonment for a period not more than 6 months and a fine of no more than 2,000 LE. These penalties comes to restrict any kind of voluntarily work and to terrify the association that receives a decree to be dissolved or the association that receives funds without a permission from the Ministry of Social Affairs.

It is clear that the new NGOs Law is an intervention of the state in order to confiscate rights and freedoms, which are guaranteed, if practiced peacefully, by the constitution and the International Covenants on Human Rights.