COMPANY REGISTRATION NUMBER: 5578924 CHARITY REGISTRATION NUMBER: 1114304
The Lotus Trust Company Limited by Guarantee
Unaudited Financial Statements
30 September 2021
The Lotus Trust
Company Limited by Guarantee
Financial Statements
Year ended 30 September 2021
| Pages | |
|---|---|
| Trustees' annual report (incorporating the director's report) | 1 to 4 |
| Independent examiner's report to the trustees | 5 |
| Statement of financial activities (including income and | |
| expenditure account) | 6 |
| Statement of financial position | 7 |
| Notes to the financial statements | 8 to 12 |
The Lotus Trust
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report)
Year ended 30 September 2021
The trustees, who are also the directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the year ended 30 September 2021.
Reference and administrative details
Registered charity name The Lotus Trust Charity registration number 1114304 Company registration number 5578924 Principal office and registered Bhaktivedanta Manor office Dharam Marg Hilfield Lane Aldenham,Watford WD25 8EZ
The trustees
Mr Sanjay Gadhvi Dr Sanjiv Kumar Agarwal (Appointed 4 May 2021) Mr Mayur Patel (Appointed 4 May 2021) Mr Sulabh Agarwal (Appointed 4 May 2021) Mr Anik Kumar Malhotra (Appointed 4 May 2021) Mr Upendra Kalan Mr Upendra Kalan
Company secretary Mr Upendra Kalan Independent examiner Mr R K Raja Chartered Accountant 21 Whitehouse Way London N14 7LX
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The Lotus Trust
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 30 September 2021
Structure, governance and management
Constitution
The Lotus Trust is a company limited by guarantee and a registered charity governed by its memorandum and articles of association. Charity number: 1114304. Company number: 5578924.
Directors and trustees
The directors of the charitable company ("the charity") are its trustees for the purpose of charity law and throughout this report are collectively referred to as the trustees.
The charity trustees who served during the year and up to the date of signing these accounts are set out on page 1.
There are no charity trustees' interests requiring disclosure under the Companies Act 2006.
The number of trustees shall not be less than three. The trustees meet regularly to discuss the affairs of the charity and to assess and approve grant applications.
Risk Management
The trustees are aware of their responsibilities under the Statement of Recommended Practice on Accounting and Reporting by Charities and have undertaken a detailed analysis of the risks involved in the Charity's activities.
The trustees' have examined the major strategic business and operational risks that the charity faces and have established that the major risk is the potential inability to obtain grants and donations from EU post Brexit.
Action taken
To mitigate this risk, we have made partnership with organisations based within EU with whom we may be able to obtain grants and donations from the EU post Brexit. We are also looking to diversify source of grants and donations outside the EU.
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The Lotus Trust
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 30 September 2021
Objectives and activities
Objects of the charity
The Lotus Trust is an educational, relief and development agency seeking to transform lives and improve the environment both in the UK and overseas. We work with all, irrespective of belief, religion or race.
The main objectives are:
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(1) To advance the education and training of the public by the provision of educational and vocational training services and facilities for educational and vocational training in any field of endeavour within the UK or overseas.
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(2) To relieve poverty, hardship, sickness and distress among all people of the world
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(3) To support such other charitable purposes beneficial to the community as the trustees shall decide
The Lotus Trust delivers programmes, which target individuals, voluntary, community, and ethnic minority sectors across the UK and overseas to bring about positive changes.
It works with partners overseas at times of crisis to combat poverty, which blights the lives of communities, helping them to find hope and creative solutions.
Public Benefit statement
The trustees have referred to the Charity Commission's guidance on Public Benefit when reviewing their aims and objectives and planning their future activities. The trustees consider that the charities aims are demonstrably to the public benefit.
Conflict of Interest
The Trustees' have a system in place to identify any potential conflict of interest that may occur. When a conflict of interest arises, the relevant Trustees withdraw from any discussion and decision.
Achievements and performance
Achievements
This year we did not apply for new projects. We are not undertaking new projects until the situation regarding coronavirus pandemic (Covid 19) is sufficiently resolved to ensure they can be carried out in a clear and safe environment.
The Charity raised over £177,000 during the year to help India covid victims. We contributed £50,000 during the year and £73,000 during the current year to be used towards India Covid 19 Medical Relief & Food Aid.
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The Lotus Trust
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 30 September 2021
Financial review
The charity's affairs and activities for the year are presented in the attached financial statements which show an excess of income over expenditure of £123,276 (2020 excess of expenditure over income : £5,616). The balances of the unrestricted funds were £22,588 (2020: £21,612) and the balance of the restricted funds were £127,713 (2020: £5,413).
Plans for future periods
The charity's main aspirations are to continue to follow its core educational and training objectives throughout the forthcoming years, despite the potential risks we have identified regarding future grants and donations, as referred to above.
Reserve Policy and Review
The trustees' policy is to generally maintain sufficient funds to continue its activities for the future.
Going Concern
The Board of Trustees is of the opinion that the charity has adequate resources to continue in operational existence for the foreseeable future and there are no material uncertainties regarding the charity's ability to do so. For this reason they continue to adopt the going concern basis in preparing the financial statements
Small company provisions
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
The trustees' annual report was approved on 28 July 2022 and signed on behalf of the board of trustees by:
Dr Sanjiv Kumar Agarwal Trustee
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The Lotus Trust
Company Limited by Guarantee
Independent Examiner's Report to the Trustees of The Lotus Trust
Year ended 30 September 2021
I report to the trustees on my examination of the financial statements of The Lotus Trust ('the charity') for the year ended 30 September 2021.
Responsibilities and basis of report
As the trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 ('the 2006 Act’).
Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
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accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
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the financial statements do not accord with those records; or
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the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair' view which is not a matter considered as part of an independent examination; or
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the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Mr R K Raja Chartered Accountant Independent Examiner
21 Whitehouse Way London N14 7LX
28 July 2022
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The Lotus Trust
Company Limited by Guarantee
Statement of Financial Activities (including income and expenditure account)
Year ended 30 September 2021
| 2021 | 2020 | ||||
|---|---|---|---|---|---|
| Unrestricted | Restricted | ||||
| funds | funds | Total funds | Total funds | ||
| Note | £ | £ | £ | £ | |
| Income and endowments | |||||
| Donations and legacies | 5 | – | 177,713 | 177,713 | 2,205 |
| -------------- | -------------------------------- | -------------------------------- | ----------------------- | ||
| Total income | – | 177,713 | 177,713 | 2,205 | |
| ============== | ================================ | ================================ | ======================= | ||
| Expenditure | |||||
| Expenditure on charitable activities | 6,7 | 4,437 | 50,000 | 54,437 | 7,821 |
| ----------------------- | -------------------------------- | -------------------------------- | ----------------------- | ||
| Total expenditure | 4,437 | 50,000 | 54,437 | 7,821 | |
| ======================= | ================================ | ================================ | ======================= | ||
| ----------------------- | -------------------------------- | -------------------------------- | ----------------------- | ||
| Net income/(expenditure) | (4,437) | 127,713 | 123,276 | (5,616) | |
| ======================= | ================================ | ================================ | ======================= | ||
| Transfers between funds | 5,413 | (5,413) | – | – | |
| ----------------------- | -------------------------------- | -------------------------------- | ----------------------- | ||
| Net movement in funds | 976 | 122,300 | 123,276 | (5,616) | |
| Reconciliation of funds | |||||
| Total funds brought forward | 21,612 | 5,413 | 27,025 | 32,641 | |
| ---------------------------- | -------------------------------- | -------------------------------- | ---------------------------- | ||
| Total funds carried forward | 22,588 | 127,713 | 150,301 | 27,025 | |
| ============================ | ================================ | ================================ | ============================ |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 8 to 12 form part of these financial statements.
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The Lotus Trust
Company Limited by Guarantee
Statement of Financial Position
30 September 2021
| 2021 | 2020 | ||
|---|---|---|---|
| Note | £ | £ | |
| Current assets | |||
| Debtors: due within one year | 13 | – | 7,548 |
| Cash at bank and in hand | 161,646 | 34,666 | |
| -------------------------------- | ---------------------------- | ||
| 161,646 | 42,214 | ||
| Creditors: amounts falling due within one year | 14 | 11,345 | 15,189 |
| -------------------------------- | ---------------------------- | ||
| Net current assets | 150,301 | 27,025 | |
| -------------------------------- | ---------------------------- | ||
| Total assets less current liabilities | 150,301 | 27,025 | |
| -------------------------------- | ---------------------------- | ||
| Net assets | 150,301 | 27,025 | |
| ================================ | ============================ | ||
| Funds of the charity | |||
| Restricted funds | 127,713 | 5,413 | |
| Unrestricted funds | 22,588 | 21,612 | |
| -------------------------------- | ---------------------------- | ||
| Total charity funds | 15 | 150,301 | 27,025 |
| ================================ | ============================ |
For the year ending 30 September 2021 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476;
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The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.
These financial statements were approved by the board of trustees and authorised for issue on 28 July 2022, and are signed on behalf of the board by:
Dr Sanjiv Kumar Agarwal Trustee
Company Registration Number:5578924
The notes on pages 8 to 12 form part of these financial statements.
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The Lotus Trust
Company Limited by Guarantee
Notes to the Financial Statements
Year ended 30 September 2021
1. General information
The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Bhaktivedanta Manor, Dharam Marg, Hilfield Lane, Aldenham,Watford, WD25 8EZ.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis. The financial statements are prepared in sterling, which is the functional currency of the entity.
Going concern
There are no material uncertainties about the charity's ability to continue.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The trustees do not consider there to be any material estimates and judgements.
Foreign currencies
Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to the statement of financial activities.
Fund accounting
Unrestricted funds are funds which can be used in accordance with the charitable objects at the discretion of the trustees.
Restricted funds are funds that can only be used for particular restricted purposes within the objects of the charity. Restriction arise when specified by the donor or when funds are raised for particular restricted purposes.
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The Lotus Trust
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 30 September 2021
3. Accounting policies (continued)
Incoming resources
Income from donations and grants, including capital grants, is included in incoming resources in the period when these are receivable.
Resources expended
Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered,and is classified under headings of the statement of financial activities to which it relates.
Financial instruments
A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments .Basic financial instruments, including debtors and creditors are initially recognised at transaction value and subsequently measured at their settlement value.
4. Limited by guarantee
The charity is a company limited by guarantee. It has no share capital but each member undertakes, in the event of winding up to contribute up to £1 towards the cost and expenses of winding up.
5. Donations and legacies
| Unrestricted | Restricted | Total Funds | |
|---|---|---|---|
| Funds | Funds | 2021 | |
| £ | £ | £ | |
| Donations | – | 177,713 | 177,713 |
| ============== | ================================ | ================================ | |
| Unrestricted | Restricted | Total Funds | |
| Funds | Funds | 2020 | |
| £ | £ | £ | |
| Donations | 2,205 | – | 2,205 |
| ======================= | ============== | ======================= |
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The Lotus Trust
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 30 September 2021
6. Expenditure on charitable activities by fund type
| Unrestricted | Restricted | Total Funds | |
|---|---|---|---|
| Funds | Funds | 2021 | |
| £ | £ | £ | |
| Charitable activities | – | – | – |
| Donations | – | 50,000 | 50,000 |
| Support costs | 4,437 | – | 4,437 |
| ----------------------- | ---------------------------- | ---------------------------- | |
| 4,437 | 50,000 | 54,437 | |
| ======================= | ============================ | ============================ | |
| Unrestricted | Restricted | Total Funds | |
| Funds | Funds | 2020 | |
| £ | £ | £ | |
| Charitable activities | – | 3,177 | 3,177 |
| Donations | 800 | – | 800 |
| Support costs | 3,844 | – | 3,844 |
| ----------------------- | ----------------------- | ----------------------- | |
| 4,644 | 3,177 | 7,821 | |
| ======================= | ======================= | ======================= |
7. Expenditure on charitable activities by activity type
| Activities | ||||
|---|---|---|---|---|
| undertaken | Support | Total funds | Total fund | |
| directly | costs | 2021 | 2020 | |
| £ | £ | £ | £ | |
| Charitable activities | – | – | – | 3,177 |
| Donations | 50,000 | – | 50,000 | 800 |
| Governance costs | – | 4,437 | 4,437 | 3,844 |
| ---------------------------- | ----------------------- | ---------------------------- | ----------------------- | |
| 50,000 | 4,437 | 54,437 | 7,821 | |
| ============================ | ======================= | ============================ | ======================= | |
| Governance costs | ||||
| 2019 | 2018 | |||
| £ | £ | |||
| Travel costs | – | 791 | ||
| Accountancy fees | 750 | 250 | ||
| Bank charges | 153 | – | ||
| Foreign exchange gain/loss | 684 | 2,255 | ||
| Sundries | – | 173 | ||
| Independent examination | 500 | 375 | ||
| Computer and website costs | 2,350 | – | ||
| ----------------------- | ----------------------- | |||
| 4,437 | 3,844 | |||
| ======================= | ======================= |
8. Governance costs
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The Lotus Trust
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 30 September 2021
9. Net income/(expenditure)
| Net income/(expenditure) is stated after charging/(crediting): | |||
|---|---|---|---|
| 2021 | 2020 | ||
| £ | £ | ||
| Foreign exchange differences | 684 | 2,255 | |
| ============== | ======================= | ||
| 10. | Independent examination fees | ||
| 2021 | 2020 | ||
| £ | £ | ||
| Fees payable to the independent examiner for: | |||
| Independent examination of the financial statements | 500 | 375 | |
| ============== | ============== |
11. Staff costs
There were no voluntary staff members in the period, with none receiving any remuneration.
12. Trustee remuneration and expenses
The trustees were not paid or reimbursed any expenses during the year.
13. Debtors
Debtors falling due within one year are as follows:
| 2021 | 2020 | ||
|---|---|---|---|
| £ | £ | ||
| Prepayments and accrued income | – | 7,548 | |
| ============== | ======================= | ||
| 14. | Creditors: amounts falling due within one year | ||
| 2021 | 2020 | ||
| £ | £ | ||
| Accruals and deferred income | 11,345 | 15,189 | |
| ============================ | ============================ |
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The Lotus Trust
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 30 September 2021
15. Analysis of charitable funds
Unrestricted funds
| Unrestricted funds | ||||||
|---|---|---|---|---|---|---|
| At | At | |||||
| 1 October | 20 | 30 Septemb | ||||
| 20 | Income | Expenditure | Transfers | er 2021 | ||
| £ | £ | £ | £ | £ | ||
| General funds | 21,612 | – | (4,437) | 5,413 | 22,588 | |
| ============================ | ============== | ======================= | ======================= | ============================ | ||
| At | At | |||||
| 1 October | 20 | 30 Septembe | ||||
| 19 | Income | Expenditure | Transfers | r 2020 | ||
| £ | £ | £ | £ | £ | ||
| General funds | 23,730 | 2,205 | (4,644) | 321 | 21,612 | |
| ============================ | ======================= | ======================= | ============== | ============================ | ||
| Restricted funds | ||||||
| At | At | |||||
| 1 October | 20 | 30 Septemb | ||||
| 20 | Income | Expenditure | Transfers | er 2021 | ||
| £ | £ | £ | £ | £ | ||
| Restricted Fund - Covid | ||||||
| 19 Appeal | – | 177,713 | (50,000) | – | 127,713 | |
| Restricted fund - Lead | – | – | – | – | – | |
| Restricted fund - Unity | 5,413 |
– | – | (5,413) | – |
|
| ----------------------- | -------------------------------- | ---------------------------- | ----------------------- | -------------------------------- | ||
| 5,413 | 177,713 | (50,000) | (5,413) | 127,713 |
||
| ======================= | ================================ | ============================ | ======================= | ================================ | ||
| At | At | |||||
| 1 October | 20 | 30 Septembe | ||||
| 19 | Income | Expenditure | Transfers | r 2020 | ||
| £ | £ | £ | £ | £ | ||
| Restricted Fund - Covid | ||||||
| 19 Appeal | – | – | – | – | – | |
| Restricted fund - Lead | 321 | – | – | (321) | – |
|
| Restricted fund - Unity | 8,590 |
– | (3,177) | – | 5,413 | |
| ----------------------- | -------------- | ----------------------- | -------------- | ----------------------- | ||
| 8,911 | – | (3,177) | (321) | 5,413 |
||
| ======================= | ============== | ======================= | ============== | ======================= | ||
| Analysis of net assets | between funds | |||||
| Unrestricted | Restricted | Total Funds | ||||
| Funds | Funds | 2021 | ||||
| £ | £ | £ | ||||
| Current assets | 22,588 | 127,713 | 150,301 | |||
| ============================ | ================================ | ================================ | ||||
| Unrestricted | Restricted | Total Funds | ||||
| Funds | Funds | 2020 | ||||
| £ | £ | £ | ||||
| Current assets | 21,612 | 5,413 | 27,025 | |||
| ============================ | ======================= | ============================ |
16. Analysis of net assets between funds
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