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2020-12-31-accounts

Charity registration number: 1078595

Anjuman-E-Burhani (London)

Annual Report and Financial Statements for the Year Ended 31 December 2020

Anjuman-E-Burhani (London)

Contents

Reference and Administrative Details 1 to 2
Trustees' Report 3 to 7
Statement of Trustees' Responsibilities 8
Independent Auditors' Report 9 to 12
Statement of Financial Activities 13
Balance Sheet 14
Cash Flow Statement 15
Notes to the Financial Statements 16 to 27

Page 1

Anjuman-E-Burhani (London)

Reference and Administrative Details

Trustees Amil Saheb of London - President
Zainulabedeen Bhaisaheb Shujaee - Vice President
Farazdaq Bhaisaheb Husaini
Dr Shaikh Aziz Bhai Husain Bhai - Secretary
Shaikh Amirali Bhai Lukmany - Joint Secretary
Shaikh Murtaza Bhai Amin -Treasurer
Shaikh Yunus Bhai Shaikh Abdulkader Haidermota
Shaikh Hamza Bhai Jiwanji
Shaikh Shabbir Bhai Mulla Inayathusain
Shaikh Shabbir Bhai Shaikh Abidali
Shaikh Amirali Bhai Kader Bhai
Shaikh Murtaza Bhai Shaikh Taiyebali (Najmi)
Shaikh Aliasger Bhai Bagichawala
Advisory Council Yusuf Bhai Maimoon
Shaikh Abdulhusain Bhai Mulla Taherali
Shaikh Shabbir Bhai Abdulali
Principal address Mohammedi Park
Rowdell Road
Northolt Industrial Estate
Northolt
Middlesex
UB5 6AG
Charity Registration Number 1078595
Solicitors BDB Pitmans LLP
50 Broadway
Westminister
London
SW1H 0BL
Bankers Habib Bank AG Zurich
5-7 High Street
Southall
Middlesex
UB1 3HA
Barclys Bank PLC
Bradford Market Street
Leicester
Leicestershire
LE87 2BB

Page 1

Anjuman-E-Burhani (London)

Reference and Administrative Details

Auditor

Tahas & Co Ltd Chartered Certified Accountants and Registered Auditors 760 Eastern Avenue Newbury Park Ilford Essex IG2 7HU

Page 2

Anjuman-E-Burhani (London)

Trustees' Report

FOR THE YEAR ENDED 31 DECEMBER 2020

The Trustees present their report and financial statements for the year ended 31 December 2020.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Charity's Trust deed, the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective from 1 January 2015).

Objectives and activities

The Trustees hold the Trust Fund and its income upon trust to apply them for the religious and charitable purpose, particularly to administer, manage and organize the affairs of the Dawoodi Bohra Jamaat of London as per the “12 Umoor Programme” introduced by the 53rd al-Dai al Mutlaq, His Holiness Dr Syedna Mufaddal Saifuddin TUS and particularly for the following purposes.

The policy of the Trust continues to be to seek support and provide for the aims as stated.

The Trust organises events where the teaching of Islam and the nature of the Islamic faith is shared with nonMuslims.

The Trustees confirm that they have paid due regard to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the Trust's aims and objectives in setting the grant making policy for the year.

The Trust has established its grant making policy to achieve its objects for the public benefit for the advancement of religious and charitable purposes of the Dawoodi Bohra Jamaat of London in particular and the community at large. Grants are made at the discretion of the Trustees in respect of any application from individuals or institutions that may apply for assistance within the objects of the Trust. Formal applications are required setting out the reasons for the grant. The policy of the Trustees is to make large single grants rather than many smaller ones.

Achievements and performance

The main sources of income of the Trust are the regular contributions from the community supplemented by other donations from minor sources and connected charities.

The Achievements and performance of the Trust are highlighted as per “12 Umoor Programme classified into 12 main categories consisting the following:

Page 3

Anjuman-E-Burhani (London)

Trustees' Report FOR THE YEAR ENDED 31 DECEMBER 2020

1. Umoor Deeniyah - Religious Affairs

The Trustees year round maintain a suitable environment, by adherence to the tenets of Islam. The Trust normally has around 300 religious gathering during the year. The Trustees during the pandemic ensured that all religious affairs were carried out through online programmes.

2. Umoor Taalimiyah - Education

The Trust supported education to learners of all ages to enable them to face the challenges of the current time, by donating £120,000 (2019: £120,000) towards Al-Jameah Tus Saifiyah Trust which organises classes for children on saturdays and evenings. There are around 300 children attending these classes during the year. During Covid, these classes were arranged on an online basis.

3. Umoor Marafiq Burhaniyah - Welfare

The Trust carried out various initiatives to ensure every community member's living standards, especially their religious, economic, educational, household, health and food standards were uplifted. During Covid 19 all community members were given counselling and visits from Trustees and volunteers to ensure their welfare, adhering to social distancing and government guidelines.

4. Umoor Maliyah - Budgeting and Accounts

The Trust ensures that budgets are set for all financial aspects of the Trust, ensuring all income and expenses are accounted through proper maintainence of books of accounts. During the year contributions from the community, including Gift Aid, amounted to £891,968 a reduction of £117,213 when compared with the previous year. Total incoming resources for the year decreased by £38,677. Grants awarded in the year decreased to £427,080 compared to £468,055 in 2019. The amount expended on Niyaz and other charitable activities in the year amounted to £522,307 compared with £652,559 in 2019, reduction of £130,252. Due to Covid 19, the Trustees had to rework budgets, ensuring reduction in expenses and ensuring community work carried out regardless.

5. Ummor Mawarid Bashariyah - Human Resources

The Trustees through various human resource programmes identify the relevant skill sets of community members. This helps the Trust to engage these volunteers for offering their services in the relevant fields i.e Information technology, Accounts and Education.

6. Umoor Dhakheliyah - Internal Affairs - IT/Communication/Statistics

The Trust ensured that all communication and office management activities were carried out during the year.

7. Ummor Kharijiyah - Public Relations

The Trust continously engages with the local communities by organising events.

8. Ummor Qaza - Legal Affairs

The Trust looks into ensuring all members of the community live in harmony and mutual understanding.

Page 4

Anjuman-E-Burhani (London)

Trustees' Report FOR THE YEAR ENDED 31 DECEMBER 2020

9. Umoor Faiz al Mawaid al Burhaniyah and Niyaz- Meals from the community kitchen

The Trust provides all community members nutritious and sufficient meals on a daily basis. There are around 1000 daily meals prepared in community kitchen for all members of the community. The key responsibility of procurement, food preparation, quality checks and health and safety is maintained on a regular basis. During Covid, The Trustees personally delivered groceries and essential food products to all community members, adhering to Government regulations.

10. Umoor Iqtesadiyah - Finance and Business Development

The Trustee encourage business development, counselling, skills development and business start up help to community members. There are various programmes during the year to achieve this objective.

11. Umoor Amlaak - Properties

The Trustee ensured that the maintainence of properties, legal documentation and development is carried out regulary. The Trust provides necessary funds to provide assistance to the Husaini Masjid and Mohammedi Park Management Trust for the maintenance and upkeep of the Masjid built for the community.

12. Umoor Sehhat - Health and Hygiene Activity

The Trustee ensured that all aspects of health, cleanliness, environment and sports are maintained for all community members. The Trusts regulary organises Medical Camps, Health Awareness Programmes and sports tournaments.

Financial review

The Statement of Financial Activities on page 12 shows the incoming and outgoing resources for the year.

The Trust saw a decrease in income in the year with total income of £1,638,865 (2019: £1,677,542). Regular contributions offered by the Jamaat community including gift aid decreased by £117,213 to £891,968. Furthermore income from other charitable activities decreased by £1,302 to £667,059. Due to the Government restrictions on religious places, the Masjid and office were closed resulting in staff being furloughed, the charity received £74,282 of Furlough grant. Overall after allowing for resources expended on charitable activities, the surplus generated for the year was £344,455 (2019: £250,106).

The balance sheet on page 13 shows the financial position of the Trust at 31 December 2020.

At the year end, total net assets were £1,654,930 compared with £1,310,475 for the previous year.

Reserves policy

The reserves policy is to hold funds to enable the Trust to carry out its operations and at an adequate level to meet its objectives. This provides for sufficient funds to be available for all management and administrative costs as well as ensuring adequate funds continue to be available for the costs of the Trust's charitable activities. The balance held as unrestricted funds at 31 December 2020 was £1,420,102 of which £1,394,664 is regarded as free reserves after allowing for funds tied up in tangible fixed assets. The current level of reserves is therefore considered to be appropriate to meet the ongoing overheads of the Trust.

Investment policy

The Trust deed authorises the Trustees to make and hold investments using the funds of the charity. The Trustees also have power to hold funds with bankers as necessary. Due to the tenets of the Dawoodi Bohra faith, interest can neither be received nor paid, and as a result, the Trust is part of a network of other connected charities that operate a programme related investment made in the form of interest free loans (Qardan Hasana) to each other and other third parties for the purposes of furthering the objects of the Trust.

Page 5

Anjuman-E-Burhani (London)

Trustees' Report FOR THE YEAR ENDED 31 DECEMBER 2020

Risk assessment

The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the Trust, and are satisfied that systems are in place to mitigate their exposure to those risks.

Impact of Covid-19

On 11 March 2020, the World Health Organization declared the Coronavirus (COVID-19) outbreak to be a pandemic in recognition of its rapid spread across the globe. Adhering to the guidelines all community facilities were closed to the community members for most part of 2020, this was to ensure social wellbeing of its members, staff and community. Trust issued strict guidelines for social distancing and wearing face covering at all times in the community centre.

For the charities 31 December 2020 financial statements, the COVID-19 outbreak and the related impacts are considered non-adjusting events. Due to the uncertainty of the outcome of the current events, the charity cannot reasonably estimate the impact these events will have on the charity’s financial position, results of operations or cash flows in the future. To minimise the uncertain financial risk associated with the Pandemic , The Trust have put measures in place to ensure reduction is costs and income generation.

The charity holds reasonable cash reserves to shelter against the impact of the current coronavirus pandemic. In addition, announcements by government of various initiatives to support businesses to address short-term income shortfalls should enable the charity to continue operationally.

Future plans

The Trustees do not plan for any significant changes to the Trust's activities.

Structure, governance and management

The Trust was created on 21 December 1997 by the donation of an initial corpus of £786 by the 52nd Dai al - Mutlaq, His Holiness Dr Syedna Mohammed Burhanuddin (RA). The Trust Deed to record the creation of the Trust was completed and signed on 29th November 1999 and registered charity status was confirmed by the Charity Commission on 14th December 1999.

Trustees are appointed by the Dai al-Mutlaq for a term of five years or as may be determined by the Dai al- Mutlaq, and at the expiry date of each such term they retire. At the end of each such term the Dai al-Mutlaq appoints Trustees who may consist of some or all of the retiring Trustees. The Dai al-Mutlaq may appoint additional Trustees at any time during the currency of each term. The person so appointed is a Trustee up to the expiration of the term, so that all Trustees retire simultaneously, provided that at the expiry of the term, the Trustees continue to be Trustees until the Dai al-Mutlaq appoints new Trustees. The Amil Saheb of London is ex-officio a Trustee.

The Trustees named on the legal and administrative information page have served during the year and up to the date of this report.

New Trustees are considered for appointment, taking into account the skill requirements of the Trustee body. The induction process for new Trustees provides them with meetings with the Board of Trustees and with documentation setting out the policies and grant making processes of the Trust, the power and responsibilities of the Trustees and a brief history of the Trust including copy minutes and accounts.

Page 6

Anjuman-E-Burhani (London)

Trustees' Report

FOR THE YEAR ENDED 31 DECEMBER 2020

Meetings of the Trustees are held regularly at which they agree the broad strategy and areas of activity for the Trust. The day to day administration of grants and processing and handling of applications prior to their consideration by the Trustees, together with the administration of expenditure on other charitable activities is delegated to the Secretary and the Treasurer. The activities of the restricted funds are managed by sub- committees who report to the Secretary.

The Trustees consider the board of Trustees as comprising the key management personnel of the Trust in charge of directing, running and controlling the Trust. All Trustees give their time freely and no Trustee remuneration was paid in the year.

This report was approved by the Trustees and signed on their behalf by:

Zainulabedeen Bhaisaheb Shujaee Vice-President

Dated: 29th October 2021

Page 7

Anjuman-E-Burhani (London)

Statement of Trustees' Responsibilities FOR THE YEAR ENDED 31 DECEMBER 2020

The Trustees are responsible for preparing the Trustees' Report and the accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the constitution. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 8

Anjuman-E-Burhani (London)

Independent Auditor's Report to the Members of Anjuman-E-Burhani (London) FOR THE YEAR ENDED 31 DECEMBER 2020

Opinion

We have audited the financial statements of Anjuman-E-Burhani (London) (the 'charity') for the year ended 31 December 2020, which comprise the Statement of Financial Activities, Balance Sheet, Cash Flow Statement, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is United Kingdom Accounting Standards, comprising Charities SORP - FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and applicable law (United Kingdom Generally Accepted Accounting Practice).

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Page 9

Anjuman-E-Burhani (London)

Independent Auditor's Report to the Members of Anjuman-E-Burhani (London) FOR THE YEAR ENDED 31 DECEMBER 2020

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report.

We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities (set out on page 8), the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Page 10

Anjuman-E-Burhani (London)

Independent Auditor's Report to the Members of Anjuman-E-Burhani (London) FOR THE YEAR ENDED 31 DECEMBER 2020

In identifying and assessing risks of material misstatement in respect of irregularities including fraud and non-compliance with laws and regulations, we considered the following

We remained alert to any indications of fraud throughout the audit. As required by auditing standards and taking into account possible pressures to achieve targets, we performed procedures to address the risk of management override of controls and the risk of making inappropriate accounting entries.

We also performed procedures including identifying journal entries and other adjustments to test based on risk criteria and comparing the identified entries to supporting documents. These included those posted to unusual accounts.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. In addition, as with any audit, there remained a higher risk of non-detection of fraud, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non-compliance or fraud and cannot be expected to detect non-compliance with all laws and regulations. A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charity trustees, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our work has been undertaken so that we might state to the trustees those matters we are required to state to trustees in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Page 11

Anjuman-E-Burhani (London)

Independent Auditor's Report to the Members of Anjuman-E-Burhani (London) FOR THE YEAR ENDED 31 DECEMBER 2020

......................................

Mr M Poonawala (Senior Statutory Auditor) For and on behalf of Tahas & Co Ltd, Statutory Auditor

760 Eastern Avenue Newbury Park Ilford Essex IG2 7HU

29 October 2021

Tahas & Co Ltd is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

Page 12

Anjuman-E-Burhani (London)

Statement of Financial Activities for the Year Ended 31 December 2020

Note
Unrestricted
£
Income and Endowments from:
Sabil-ul-Khair-Wal- Barakat
2
891,968
Charitable activities
3
597,394
Other income
79,838
Total Income
1,569,200
Expenditure on:
Charitable activities
5
(1,268,342)
Total Expenditure
(1,268,342)
Net income
300,858
Gross transfers between funds
402,027
Net movement in funds
702,885
Reconciliation of funds
Total funds brought forward
717,217
Total funds carried forward
15
1,420,102
The funds breakdown for 2019 is shown in note 15.		 Restricted
£
-
69,665
-
69,665
(26,068)
(26,068)
43,597
(402,027)
(358,430)
593,258
234,828		 Total
2020
£
891,968
667,059
79,838
1,638,865
(1,294,410)
(1,294,410)
344,455
-
344,455
1,310,475
1,654,930		 Total
2019
£
1,009,181
668,361
-
1,677,542
(1,427,436)
(1,427,436)
250,106
-
250,106
1,060,369
1,310,475

The notes on pages 16 to 27 form an integral part of these financial statements. Page 13

Anjuman-E-Burhani (London)

(Registration number: 1078595) Balance Sheet as at 31 December 2020

Note
Fixed assets
Tangible assets
10
Current assets
Debtors
11
Property to be gifted
11
Cash at bank and in hand
Creditors: Amounts falling due within one year
12
Net current assets
Total assets less current liabilities
Creditors: Amounts falling due after more than one year
13
Net assets
Funds of the charity:
Restricted income funds
Restricted funds
Unrestricted income funds
Unrestricted funds
Total funds
15		 2020
£
25,438
267,321
694,405
925,724
1,887,450
(95,958)
1,791,492
1,816,930
(162,000)
1,654,930
234,828
1,420,102
1,654,930		 2019
£
35,836
123,263
694,405
800,152
1,617,820
(170,181)
1,447,639
1,483,475
(173,000)
1,310,475
593,258
717,217
1,310,475

The financial statements on pages 13 to 27 were approved by the trustees, and authorised for issue on 29 October 2021 and signed on their behalf by:

.........................................

Zainulabedeen Bhaisaheb Shujaee - Vice President Trustee

The notes on pages 16 to 27 form an integral part of these financial statements. Page 14

Anjuman-E-Burhani (London)

Cash Flow Statement for the Year Ended 31 December 2020

Note
Cash flows from operating activities
Net cash income
Adjustments to cash flows from non-cash items
Depreciation
Working capital adjustments
(Increase)/decrease in debtors
11
(Decrease)/increase in creditors
12
Net cash flows from operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
10
Cash flows from financing activities
Repayment of loans and borrowings
12
Net increase in cash and cash equivalents
Cash and cash equivalents at 1 January
Cash and cash equivalents at 31 December		 2020
£
344,455
10,398
354,853
(144,058)
(74,223)
136,572
-
(11,000)
125,572
800,152
925,724		 2019
£
250,106
26,536
276,642
27,727
38,743
343,112
(31,798)
(122,000)
189,314
610,838
800,152

All of the cash flows are derived from continuing operations during the above two periods.

The notes on pages 16 to 27 form an integral part of these financial statements. Page 15

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

1 Accounting policies

Statement of compliance

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

Basis of preparation

Anjuman-E-Burhani (London) meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

Going concern

Since the start of January 2020, the coronavirus outbreak, which is a rapidly evolving situation, has adversely impacted global commercial activities. The rapid development and fluidity of this situation precludes any prediction as to its ultimate impact, which may have a continued adverse impact on economic and market conditions and trigger a period of global economic slowdown.

The financial impact of the pandemic on the valuation of tangible fixed assets, financial assets and financial liabilities as at the balance sheet date has been reflected in the financial statements.

The trustees are monitoring developments relating to coronavirus regularly and are coordinating its operational response based on existing business continuity plans, in addition to guidance from global health organisations, the government and general pandemic response best practices.

The trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future.

The charity holds reasonable cash reserves to shelter against the impact of the current coronavirus pandemic. In addition, announcements by government of various initiatives to support businesses to address short-term income shortfalls should enable the charity to continue operationally. Thus, the going concern basis has been adopted in preparing the financial statements for the year ended 31 December 2020.

The Trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next reporting period.

Charitable funds

Unrestricted funds are donations and other incoming resources receivable or generated for the objects of the charity without further specified purpose and are available as general funds.

Restricted funds are to be used for specific purposes as indicated by the donor. Expenditure which meets these criteria is charged to the funds as appropriate.

Page 16

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

Income and endowments

Voluntary income including donations, gifts, legacies and grants that provide core funding or are of a general nature is recognised when the charity has entitlement to the income, it is probable that the income will be received and the amount can be measured with sufficient reliability.

Where possible, donations are accounted for on a receivable basis. However, it is recognised that voluntary donations from individuals cannot be treated in this manner where there is no contractually enforceable right to donations promised. For this reason donations from individuals are normally accounted for on a receipts basis.

Expenditure

All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.

Charitable activities

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Grant provisions

Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about either the timing of the grant or the amount of grant payable.

Support costs

Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.

Governance costs

These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.

Taxation

The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

Tangible fixed assets

Individual fixed assets costing £5000 or more are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Page 17

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

Depreciation and amortisation

Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:

Asset class

Plant and machinery

Depreciation method and rate

over 5 years straight line basis

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Fund structure

Unrestricted income funds are general funds that are available for use at the trustees's discretion in furtherance of the objectives of the charity.

Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.

Pensions and other post retirement obligations

The charity operates a defined contribution pension scheme which is a pension plan under which fixed contributions are paid into a pension fund and the charity has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised in the Statement of Financial Activities when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

Page 18

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

2 Sabil-ul-khair-Wal-Barakat

Donations and gifts Unrestricted
funds
General
£
891,968
891,968		 Total
2020
£
891,968
891,968		 Total
2019
£
1,009,181
1,009,181

This relates to regular contributions offered by members of Dawoodi Bohra Jamaat community in London and includes gift aid claims of £146,257 (2019: £112,513)

3 Income from charitable activities

Charitable activities
Faiz-ul-Mawaid al Burhaniyah and
Niyaz
Burial receipts
Muvasat
Shabab-Ul-Zahabi
Other donations		 Unrestricted
funds
General
£
556,040
-
4,400
6,950
30,004
597,394		 Restricted
funds
£
-
69,665
-
-
-
69,665		 Total
2020
£
556,040
69,665
4,400
6,950
30,004
667,059		 Total
2019
£
523,421
69,806
32,000
4,033
39,101
668,361

4 Other income

HMRC JRS Grant
Rental income		 Unrestricted
funds
General
£
74,282
5,556
79,838		 Total
2020
£
74,282
5,556
79,838		 Total
2019
£
-
-
-

Page 19

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

5 Expenditure on charitable activities

5
Expenditure on charitable activities
Madrasa
Muvasalat
Interment and funeral expenses
Calender
East London Markaz-Taamir
Other Charitable expenses
Public relations
Faiz-ul-Mawaid al Burhaniyah and Niyaz
Muvasat
Ohbat expenses
Share of support costs (Note 5)
Share of Government costs ( Note 5)
Grants (Note 6)		 Activity
undertaken
directly
£
5,378
-
26,068
4,300
4,734
-
2,000
473,427
6,400
-
307,798
37,225
427,080
1,294,410		 Total
2020
£
5,378
-
26,068
4,300
4,734
-
2,000
473,427
6,400
-
307,798
37,225
427,080
1,294,410		 Total
2019
£
6,951
1,118
12,238
3,900
42,722
1,153
4,028
546,802
30,195
3,452
268,849
37,973
468,055
1,427,436

Page 20

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

£1,263,608 (2019 - £1,415,198) of the above expenditure was attributable to unrestricted funds and £30,802 (2019 -£12,238) to restricted funds.

6 Analysis of governance and support costs

Support costs allocated to charitable activities

Staff costs
Depreciation
Utilities
Repairs and maintenance
Telephone and fax
Travelling expenses
Bookkeeping fees
Cleaning
Sundry expenses
Printing, postages and stationery
Rent
Auditors' fees for non-audit work
Audit fees
Rates
Bank Charges		 Governance
costs
£
18,336
-
711
4,620
3,251
868
-
-
1,246
-
-
4,700
3,000
493
-
37,225		 Other support
costs
£
165,026
10,398
6,396
41,583
29,254
7,811
-
8,885
11,217
1,775
16,446
-
-
4,441
4,566
307,798		 Total
2020
£
183,362
10,398
7,107
46,203
32,505
8,679
-
8,885
12,463
1,775
16,446
4,700
3,000
4,934
4,566
345,023		 Total
2019
£
212,128
26,536
3,618
12,941
19,068
1,408
1,620
1,507
5,275
1,848
-
6,755
3,500
6,806
3,812
306,822

Support costs relate to those costs incurred directly in support of expenditure on the Charity's objects which cannot be directly attributed to particular activities. Such costs are allocated at a ratio of 90:10 between activities undertaken directly and governance costs.

Page 21

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

7 Grant-making

Analysis of grants

Analysis
Husaini Masjid and Mohammedi Park
Management Trust
Dawat-e-Hadiyah Trust (United
Kingdom)
Al-Jameah Al-Sayfiyah
Grant to individual		 Grants to institutions
2020
£
2019
£
185,000
196,384
122,080
149,806
120,000
120,000
-
-
427,080
466,190		 Grants to individuals
2020
£
2019
£
-
-
-
-
-
-
-
1,865
-
1,865		 Grants to individuals
2020
£
2019
£
-
-
-
-
-
-
-
1,865
-
1,865
1,865

8 Trustees remuneration and expenses

None of the Trustees (or any persons connected with them) received any remuneration or benefits from the Trust during the year and no expenses were paid on behalf of the Trustees.

9 Staff costs

The monthly average number of persons (including senior management team) employed by the charity during the year expressed as full time equivalents was as follows:

Management and administration
The aggregate payroll costs were as follows:
Staff costs during the year were:
Wages and salaries
Social security costs
Pension costs		 2020
No
10
2020
£
171,556
8,684
3,122
183,362		 2019
No
11
2019
£
198,192
10,526
3,410
212,128

The Trust also relied on the efforts of twelve part time volunteers (2019 : 11) during the year.

No trustee received emoluments of more than £60,000 during the year

Page 22

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

10 Tangible fixed assets

Cost
At 1 January 2020
At 31 December 2020
Depreciation
At 1 January 2020
Charge for the year
At 31 December 2020
Net book value
At 31 December 2020
At 31 December 2019
11 Debtors
Other debtors
Property to be gifted
12 Creditors: amounts falling due within one year
Other taxation and social security
Other creditors
Accruals		 Furniture and
equipment
£
195,295
195,295
159,459
10,398
169,857
25,438
35,836
2020
£
267,321
694,405
961,726
2020
£
2,944
48,665
44,349
95,958		 Furniture and
equipment
£
195,295
195,295
159,459
10,398
169,857
25,438
35,836
2020
£
267,321
694,405
961,726
2020
£
2,944
48,665
44,349
95,958		 Total
£
195,295
195,295
159,459
10,398
169,857
25,438
35,836
2019
£
123,263
694,405
195,295
159,459
10,398
169,857
25,438
35,836
2020
£
267,321
694,405
961,726
2020
£
2,944
48,665
44,349
95,958
817,668
2019
£
5,331
104,331
60,519
170,181

Page 23

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

13 Creditors: amounts falling due after one year

2020 2019
£ £
Other loans 162,000 173,000

14 Pension and other schemes

Defined contribution pension scheme

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

The pension cost charge for the year represents contributions payable by the charity to the scheme and amounted to £3,122 (2019 - £3,410).

15 Funds

Unrestricted funds
General
Restricted funds
Total funds		 Balance at 1
January
2020
£
717,217
593,258
1,310,475		 Incoming
resources
£
1,569,200
69,665
1,638,865		 Resources
expended
£
(1,268,342)
(26,068)
(1,294,410)		 Transfers
£
402,027
(402,027)
-		 Balance at
31
December
2020
£
1,420,102
234,828
1,654,930

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

  1. Anjuman-e-Najmi : The funds are held for burial ground maintenance and funeral expenses.

  2. East London-Taamir : The funds were held to acquire a property and refurbish it at Chapel Lane, Chigwell. The property has since been acquired and refurbished, and is in the process of being transferred to Dawat-e-Hadiyah Trust (UK). Trustees have therefore reclassified the funds as unrestricted so as to benefit the Trust and the community as a whole.

Page 24

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

16 Analysis of net assets between funds

16 Analysis of net assets between funds
Tangible fixed assets
Current assets
Current liabilities
Creditors over 1 year
Total net assets		 Unrestricted
funds
General
£
25,438
1,648,786
(92,122)
(162,000)
1,420,102		 Restricted
funds
£
-
238,664
(3,836)
-
234,828		 Total funds at
31 December
2020
£
25,438
1,887,450
(95,958)
(162,000)
1,654,930

17 Related party transactions

The Trust by way of common Trustees and influence is connected to the following charities:-

Husaini Masjid and Mohammedi Park Management Trust Al-Jameah Al-Sayfiyah Trust Fayz-e-Husaini International Trust Dawat-e-Hadiyah Trust (United Kingdom)

During the year the charity made the following related party transactions:

Dawat-e-Hadiyah Trust (United Kingdom)

At the balance sheet date the amount due to Dawat-e-Hadiyah Trust (United Kingdom) was £173,000 (2019 - £185,000).

The following properties vest in “the Dai al-Mutlaq” (Corporation Sole) who is the Sole Trustee of Dawat-e-Hadiyah Trust (United Kingdom) (Reg. No. 294807). The Sole Trustee has entrusted the said Properties to Anjuman-e-Burhani (London) for its administration, supervision and management to facilitate religious, social, charitable, educational and cultural activities of the community and where pertinent to receive rental income.

1. Al-Masjid al-Husaini, Northolt, Middlesex

  1. Darul Imarat situated at Mohammedi Park, Northolt, Middlesex

The properties belong to and are shown in the accounts of Dawat-e-Hadiyah Trust (United Kingdom). However as they have been entrusted to Anjuman-e-Burhani (London), rents and other income derived from these Properties and outgoings, utilities, rates and taxes in connection with these Properties are not reflected in the accounts of Dawat-e-Hadiyah Trust (United Kingdom) but are instead shown in the accounts of Anjuman-e-Burhani (London).

Page 25

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

GLOSSARY

Amanat:

Anjuman:

Deposits

An administrative unit, established under the guidance and directions of the Dai al-Mutlaq to organize and manage the Affairs of the Dawoodi Bohra Jamaat of a particular area.

Darul Emarat: Enayat:

Faiz-ul Mawaid al Burhaniyah:

Aamil's residence

Grants

Free of charge food served to the community prepared and organised by the community kitchen

Imdad-e-Ghurbatzadah: Relief of poverty Imdad-e-Taklifzadah: Relief in distress Jamaat: Local congregation Jamaatkhana: Banquet Hall Laagat: Prescribed contribution Madrasa: Religious school Manshurat: Publications Markaz: Community centre Masjid: Mosque Masjid Tazyeen: Masjid decoration Milad: Birthday celebration Muvasalat: Transportation for emissaries and personnel Muvasat: Charitable assistance Niyaz: Religious feasts Qabrastan: Burial Ground Qardan Hasana Interest free loan Rahaesh: Boarding facility/accommodation Rifah-e-Aam: General public utility Shababui Eid-ez-Zahabi: Young people activities centre Regular contributions offered by members of Dawoodi Bohra Sabil-ul-Khair-Wal-Barakat: Community Sadaqat-us-Syr Alms given secretly Sanduq Khairiyah: Community Chest Silah-Fitrah: Prescribed religious offerings Taamir: Building, construction, restoration, repair and structural work Tabarruat: Offertory Taiseer-un-Nikaah: Marriage Committee

Page 26

Anjuman-E-Burhani (London)

Notes to the Financial Statements for the Year Ended 31 December 2020

Talimy Imdad: Educational aid Taqarruban: Regular contribution offered by the Jamaats and individuals Tibby Imdad: Medical aid

Page 27