Is there a legal threat for Wikimedia community volunteers in India getting Individual engagement grants and grants for running community events from WMF?

An alert regarding this has been raised here:

https://meta.wikimedia.org/wiki/Grants_talk:APG/Proposals/2013-2014_round2/The_Centre_for_Internet_and_Society/Staff_proposal_assessment#Additional_concern_that_should_be_taken_on_board