Government has cancelled the licences of three NGOs active in the Kudankulam region after a Home Ministry inquiry revealed that they were using funds meant for social causes to fuel the anti-nuclear protests. Union Minister V Narayanasamy today said, these NGOs were found to be diverting foreign funds for the anti-nuclear campaign in Kudankulan in Tamil Nadu. He said, the government had taken action after it found that some NGOs, receiving funds from the US and Scandinivian countries, were spending huge amounts of money on the agitation. Mr. Narayanasamy said, NGOs were found to be violating the FCRA guidelines by not using the funds for the cause they were received for. He said the Prime Minister's observation on anti-nuclear activists using foreign funds came from the inquiry.

The Prime Minister, in an interview to international journal, 'Science', had said that the atomic energy programme had gone into difficulties because NGOs, mostly based in the United States, did not appreciate India's need to increase energy supply.