Charity reglstrallon number 258624 THE ISLAMIC CULTURAL CENTRE ZAKARIYYA JAAM'E MASJID ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2023 THE ISLAMIC CULTURAL CENTRE ZAKARIYYA JAAM'E MASJID CONTENTS Page Tru$lee$' rgport &7 Indep•ndent audltorf• report 8-13 In¢om• and Éxp•ndlturn Account 14 Balanc• •h••t 15 S¢atom•nt ol Ca•hflow• 16 Notes to the Ilnancl41 •tatoffl•nts 17-25 THE ISLAMIC CULTURAL CENTRE ZAKARIYYA JAAM'E MASJID LEGAL AND ADMINISTRATIVE INFORMATION Trustses MrA Mohrned MrEAMusa Mrlmselh MrEAlsa Mr S Giga Mr K4 N Kath￿Ja Mr S Kola Mr M Hussain Mr A ￿Mbada Mr F Chapti Mr M A Atcho Mr l M MarrfJtra MrA E Atth8 Mr l Umafji Mr A Patel charlty numbor 258624 Prfnelpal •ddr•88 Zakariyya Jaam, Masjlj 20 Peace Streel Botton 8L3 SU Audltor SKM Aeeountanis Limit•d Chartered Accountants Statutory Audilor Pegasus Hous• S Wind(lèy Court Mount Stra•t Pre3ton PR18BU Bankors Bardays Bank PLC The Well¥ring$ Victona Str8•t Bohon BL1 18Y Nats*5t Bank PLC 24 Deansgate B¢Jtton BLI 18N Sollcltors Wrigleys Soli(itors LLP 19 CookrKlge Street Leedg Yorkshi LS2 3AG THE ISLAMIC CULTURAL CENTRE ZAKARIYYAJAAM'E MASJID TRUSTEES, REPORT FOR THE YEAR ENDED 30 NOVEMBER2023 The Trustees present their annual report and financial 5tatement5 forthe yearended 30 November 2023. The flnancial statements have been prepared in accordance witt) the accounting policies set out in note I to the flnancbal starements and complywith Ihe Charitys goveming document daied 29 November 1993 as amended on 31 March 2012, the Charitie5 Act 2011 and'Accounting and Repofty'ng by Charities.. Statement of Recommended Practice applicable to charities preparingtheiraccounts in accordance with the Financial Reporting Standard appll¢able In the UK and Republic of Irelanij IFRS 1021. lelfective l January 20191. Obleetlves and actlvltles The Charity's objectives are to advance the religion of Islam and to advance the education ol the public. within Bolton and a150 use our inlluence woilth¥lde. Each yearourtru5tees r￿eW ourobjectives anii actiwlies to ensure they continue to reflect our aims. In carrySng out this review the trustees have considered the Chaiity Commissions general guidance on publi¢ benefit and In particular115 supplementary public guidance on ihe advancement of reliwon for the putsllc benelll. The Trusiees have paid due regard 10 guiijance issued bythe Charitycommission in decidingwhat activltie5 ltte Charity should undertake. Our lon8 term commltment Is to redevelop the older Masjid buildlng Into a new Madrassah and Communitycentre lo cater for ihe older and youngergenerations from ihe wlder community. Plans have been drawn up and need revlewing. The year on year in¢rea5e in lund5 has been a positive step, in makn'ngihis project a reality. Audltor8 The charity has engaged the prolesslonal serylces ol SKM Chartered Accountants io act as audllors lor the fee of £2,750 Athlevements and pertormanee The Charity continued it5 religious activities during the year. The past year has again seen the Charity making substantial positive strides by: Providing open days to people ol other lailhs or no laiths Improving community cohesion through an extended level of sports and youth actlvlty provisions Holding evenis throughoutthe yeai to give people a better understanding of Islam The total income for the yearof £811,21112022'. £776.1651 Ihe main contributing factor to thls is donation5 lor charitable activities. Success Is assessed usingthe5e quantitative measures: Moasuro Criteria Pass l Fail Number o15chool visi15 Number of ¢ommunity events Number of appeals lor international relief Congregational Daily prayers Minimum 10 Minimum 10 Pas$ Pass Minimum 3 Pass 5 prayer8 . 365 day8" Pass Flnanclal revlew At the year end, overall reseNes loialed É4.143.89112022: £4,071,064), Restricied reseNes total £3,739,413 12022.. É3,687.5201. The charity retains reseryes as a coniingencyagainst opefational fisks and lor investment in Strategic projects. The amount of unTe5tricted reseNes atlhe year end totals £404.47812022= £383,544). It is the policy of thp Ch3rity that unrestricted Iltnds which have not been designated for a specific use should be maintainetj at a mlnlmum level of £50,000 held in cash al any one lime. The Trustees considers rhal reseNes at ihis level will ensure that. in the event of a significant drop in funding, they will be able lo continue the Charity's current activities while conslderation is ￿Ven to ways in which additional funds may be raised. This level of reserves has been maintalned throughout the year. The Charlty5 restricted funds relates to $pe¢ific charilable prolects The Charlty ha5 no longtem) investments. Our cash Te5eNes are held In deposlt accounts only. The interest earned Is ¢onsldered bytheTrustees as a gift from the UK bankingsystem. The Trustees have assesseo the major rlsks to which Ihe Charlty Is exposed and are satisfled thai sysiems are In place to mitlgaie exposure lo the major risks. Plans forluture perlods The Charity aims to continue to provide support to both the younger and oldergenerations within the area of benetit by providingfurther education where necessary. Structure, governance and management The Charltywas esiablished bya charilable trusi deed on 5August 1969, wllh the conslliution belng sealed by the Charities Commission as a Charity Commission scheme on 29 Novembei 1993. The Trustee5 who served during the year were.. MrA Mohmed MrEAMusa Mrlmseth MrSGiga Mr A Lakhi Mr M N Kalhrada Mr S Kola Mr M Hussain Mr A Limbada Mr F Chapri Mr M A Atcha Mr A E Atcha Mr l Umarjl MrAPatel None of the Trustees has any beneticial intefest in the company. All ol the Trustees are members of the company and guarantee to contribute El in the event ol a wnding up. Organ15allon and appolntment and tralnlngof truslees The Charity is managed by an Executive Committee ol Trustees whose cornposition is detailed at the front of this ijocument. The trustees meet monthly on a formal basis and they also spend a consideiable amount of time on a dailylweekly basls managing and developingthe charity and 115 activities. Any member ofthe Charity has the light lo be elected to the Charttys Executlve Commlrtee. Nomlnatlons must be proposed by a member and seconded by another before ihe Annual General Meeting. If more nominations are received than needed. then a ballot Is conducted. wth those recemng the mostvotes being duly elected. The Executive Committee consists of lifteen members. Once elected each member serves for two years and shall retire at the second Annual General Meeting. following their election. bui shall however remain eliijble for re. election. In addillon to Ihe Executive Committee, Ihere is also a Trustee Committee consis(Ing of Ilve members, elected by the members at the Annual General Meeting. Once eletted ihese HoldlngTruslees hold olllce lora period ol live year5 from the date of election. The property and all assets ol the Charity shall be vested in the Trustees Commiltee, to be dealtwith by them as the Executive Committee shallfrom time to time direct by resolution. In the case ol the resbgnation ol the entire Executive Committee. the Trustee Committee will be responsbble lor allthe allairs ol the Charlty. Statement ol tru5tees' r•$p¢nslbllltle$ The Trusiees are responsible lor preparing the TrU￿ees. Report and the flnanclal siaiemenls in accordance with appllcable law and United Kingdom Accounting Standards (United Klngdom Generally Accepted Accountlng Practlcel. The law applicable lo charities in England and Wales requires the Tfustees to prepaie linancial slalemenls for each financial yearwhich give a tfue and fairview of the state of affairs of the Charity and ol the incoming resources and application ol resources of the Charity loi that yeaf. In preparlng these financial statements, the Trusrees are required to.. select suitable accounting policie5 and then applylhern consistently. - obse*ve the methods anil principles in the Charities SORP,. - make judgements and estimates that are reasonable and pnJiJent- siaie wheiher applicable accounting standarijs have been followed, subjeu to any materlal departllfes (Jisclosed and explained in the financial statements- and prepare the financial statements on the Eoingconcefn basis unless li is inappropriate to presume that the charity will continue in operation. - prepare the iln8nclal s￿leMentS on thegolngconcem basls unLess11 ts InappropTlat•io presume that the chaiity wlll conlinve In opèratlon. ThèTrustees aTg respo￿sIbl¥for ko0p5ngsuffle￿ntacCtsUn1l￿Tèc0rds thatdisclose ￿1th reasonablè a¢¢uracy at any Ilme thelinancial pOs￿"0n oflhe Charityand enabiethem to ensure thai the tinanclal statemellts complvwth the Charltles Ad 2011. the Charlty IA¢counls ar)d Aeponsl Reguiawons 2(108 and the wov1511Ins ofthe trust deed. They are also responsible for safeguardingthe assets of tho Charttyand hence for taklngreasonable steps for the prevenlion and detection of frau¢ and other IrreguiartUe5. The liustees. retKJrtwas approved bythe Boaid of Trustee& Mr EdTlsA Musa Managem¢ntTrwt¢e Date.. Mrslrazlssa Giga Man4emenlTruslee Date: fMAv&J4-J 2 D 2 Independent auditor's report to the trustees of The Islamic Cultural Centre Zakarlyya Jaam'e Masjld Oplnlon We have audited the financial statemenis of The Islamlc Cultural Centre Zakariyya Jaam'e Masjid I'the charity'l for the year ended 30 Novembe¥ 2023 which comprise ihe Statement ol FinancialActivitie5. the Balance Sheet, the Statement ol Cash Flows. and notes lo the financialstatements. includingsignificant accouniing pollcies. The Ilnancial reporting Irameworkthat has been applied in their preparation 15 applicable law and Uniied Klngdom Accounting Standard5. including FRS 102The Financial Reportingstandard applicable in the UK and Republic ol Ireland (United Kingdom GenerallyAccepied Accounting Piacts"cel. In our oplnlon, the1Snancial statements: give a true and fair￿eW ol the slate of the chaiity's affairs as at 30 November 2023 and ol its Incoming resources and application ol resources lor the year then en¢Jed,' have been properly prepared In accordance wlih Uniied Kingdom GenerallyAccepted Accounting Practlce,. and have been prepa￿0 In accordancewith Ihe requirements ol The Charliies Act 2011. Basls for oplnlon We conducted our audlt in accordance wllh International Standard$ on Auditln8 IUKI (l￿S IUKII and appllcable law. Our responsbbilllies under tmose siandards are lurther descriLied in the Auditor's responsibiliiies for the audll of the flnanclal statements section ol our report. We are Independeni of the charity in accordance with the ethlcal requirements that are relevant to ouraudit ol the financial statements in tbe UK. includingthe FRC'S Ethicol Standard, and we have fulfilled ourother ethical responsibilities in accordance with these requlrements. We believe that the audit evldence we have obtained is suflicient and appropfiate to provlde a basis forour opinlon. Concluslons relatlngio iolni concem In auditing the financial statemenis, we have concluded that the trusiee's use of Ihe golng concern basis ol accounting in the preparation of ihe financial statements is appropriate. Based on the workwe have pertormed, we have not identified any maiefial Ltncertainties relaiing lo events or conditions th21, individually orcolleciively, maycast significani doubt on ihe charity's ability to continue as a golng concern lor a period of at least 12 months Irom when the hnancial statement5 are authorised lor issue. Our iesponsibllitie5 ant1 the responsibiliDes olthe tnjsreeswih respect ￿E￿nE¢Onceffl arede5cribe(J in thè rèllwant sections ol thi5 report. Other Informatlon ThIoiTher Infoimaiion compri5esthe Inlormakn intheamuoi rvpD¢ ¥tiUd￿th1tr￿$ta1s. l•POrt,Olh•rthanthe flnancial star¢ments and oui auijn￿5[e￿rttner￿￿.7n*fDj￿IeSare{ESp0n￿b1e1Qftr)e OihEr inlrxmètionconlalnèd withlnthe annual IB wrL Ouroplnloftortthe financlal statemenlsdoes nottLw¢itheothw ￿l￿natIon aThJ, exttpttoth8 e¥i•ni oth&￿i￿e expilc6Uy stated Inour report.W4 domt WfV55*ryforrvdasswan¢e ¢on¢lu*onlheYeon. Our responsibillty is to read the otherlnformatfon and. In dolng so. ¢onsidETwhetherthe othor Inlomi￿l0nI5 materlally Incon515teni wlh Ihelihanclal stslements w oui knoAledge obtalnad In the course ol the audiL or oltterwbse appearsto be materf•lfy mis5tatsd. Ilwe Identity such m*effial In¢onsi5tencies or apparent fnaterf81 mlist•temerts, wo are requlied todeterminewhetlw th1$ g￿e$ iise lo a rnat8rlalmlsstatemEM In ihe flnancial slatement$ thèmselves.11. based on the wortwe have performed. conclude thatthere isa matelal misstatement 01 this otherinlorrnatlon, we ale requi￿0 lo reportthat lacl. We h•v•ntsthlffjto ¢•portinthlsi•4*d. M8tt4r$ M *thlch vm ar• r•qulrnOto rnwtby•x¢•pOon In the Ilght olthe kncv4tedge and understsndlnuol thechérlryand ltsenvlronmeni 01Aah￿d In th• ¢ouise ofthe 8udlt, we hav• not Idont1fl0d maierlalmlsstal•mfrnts In lh• tfUStees' Tepon. We have nothlnglo reportln respect otthe f0llthv1r￿ Matte￿ In relailon lo¥thlch the Charities (Accounts and Report$l F¢egulatl(M)s 2CQ8 requiwe usto rnportioyou. 5t, In ouroplnlon. based on the workunoertaken In the • ihe Infomi*ion given In the trustees. report Is Incoftslslent In anymaterf•l ￿$pa¢¢With the financlal stalementg: sufflclent accountlng ￿cOrdS have noi been I￿1. or • the Ilnanclal siatem•nis ar8 In a8mment￿th th•xcouniingTecorOs: or we have notr•cetv•d allthe In1￿matIOn and explarRtlons we reoulre for our audlt. R•wonsthlUtl•$ oftrusts•S As expialned more lulty InlhelTU8tses' responJlbllltOe2 8tatemenr. thethiste¢s are responslble lor Ihe prepaiatton ol the Iln8nclal stst•ments and for beinEsatlsfled thatthey gfve 8 Mie and falrvlew, and lor wch Iniernalconirol as the trust*es d8temiine is neeessaryto enable the preparauon of linanclalstate¥nents that aFe Ir8e Irom materialmisstatement. whelher due io fraud or error. In preparing the linandalstslements. Ih@ tW5tees are ￿SpOnsIble lor4ssessing the chatiiY5 abllltyto continue as a going eoncern, disclosing, as applicable. matters retsied to going concern and using Ihegoing concem basis of 8c¢ountlng unless Ihe trustees either Intend to Uquldarethe chaiity Drto cease operailons, or have no reaustlc alternatlve butto do 50. Auditor's responsibiiitlès foi the audlt otthe Ilnanclal statements We have been appoinied a5 auditor under Section 144 Charilies Act 2011 and report in accordance with the Aci and relevant regulation5 made or having ellectthereunder. Our objectives are to obtain reasonable assurance aboutwhetherthe flnanclal statements as a whole are free from materlal mlsstaiement, whether due to Iraud orerror. and to Issue an auditor's reportthar includes our opinion. Reasonable assurance is a high level of assurance, bui is not a guarantee that an audit conducted In a¢cordance with ISA5 IUKI will alway5 detect a matenal misstatementwhen il exists. Missiatemenis can arise Irom fraud orerror and are considered materlal11, Indivldually or in the aggregate, they could reasonably be expected to influence the economic decisions of users tsken on the basis ol these linanclal statement5. Irregularities. Includlngfraud, are instances of non-compliancewilh laws and regulations. We deslgn procedures In Ilne with our responsibilities. outlined above. lo delecl material misslalemenls in respect ol irregularities, Includbng fraud. The extent lo which our procedures are capable ol (Jetecting irregularities. In¢luding fraud is Our approach lo identifying and assessing the risks ot materlal missratemeni In respect ol Irreguiarlties, Includlng fraud and non-¢ompllance wllh laws and regulations. was as lollows: •lhe engagement partner ensured that the engagementteam collectively had the appropriate competence. capabllities and 5kn'11s to identify or recognise non-compliancewith appllcable laws and regulatlons; •we Idenisfbed the laws and regulatlons appllcable to Ihe ¢ha¥itythrough discusslons wllh trustees artd other management, and from our commercial knowledge and experience ol the charity sector., •we focused on specific laws and regulations %thich we considered may have a direct matertal effect on the Ilnancial statement5 orthe operations ol the charity, includingthe Charities Aci 2011. bwe assessed the extent ol compliancewith the laws and regulations identified above through making enquiries of management,. and •identilied laws and regulations were communicate(J within the audit team regulariyand the team remained alert io instances of non-compliance throughout Ihe audit. We assessed the susceptibility of the charity's linancial statements to maierlal mlsstatemenl, Includlng obtabnlng an understanding of how fraud might occur. by.. •making enquiries of management as io where theyconsidered Iherewas susceptibilttyto froud. their knowledge •consideringthe internal controls in place to mitigate risks of fraud and non.compliance with laws and reguLation5. To address the risk of fraud through management bias and override of controts. we- io 'performed analytical procedures to idenlifyany unusualof unexpected reLation5hip5- •invesiigaled the rationale tsehind significant or unusual transactions- and •reviewed income and expenditure to ensure there was suflicient approval an(J oversight ol the financial transactions. In response lo the risk of irregularities and non-compliancewlh laws and regulalions, we designed procedures which included. butwere not limited to.. •agreeing Ilnanclal statemeni dlsclosules to underly6ng supporting documentation., •readlngthe mlnutes ol meetings of those charged wth govemance., and •enouiring of management as to auual anil poiential litigation and claims. There are Inherent Ilmitallons in our audit procedures descrlbed above. The more removed that laws and regulations are from financial transactions. the less likely li is that we would become aware ol non.¢ompliance. Auditing standards atso Ilmlt Ihe audit proceduies required lo iijentity non.compliance wlth laws and regulations lo enqulry ol the Iruslees and other management and Ihe Inspe¢iion of regulaiory and legal coNespondence.11 Materlal misstatements that arise due to Iraud can be harderto detectthan those that arlse Irom error as they may Involve deliberaie concealment or collusS0n. As part ol an audit in accofdance with ISAS IUKI, the audiior exerclses professlonal judgment and maintains professlonal scepticism Ihroughoul the au(lil. The audilof also.. •Obtains an undersiandingol iniemal control ￿levant tothe audit in order to design audit procedures thai are appropriate in the clrcumstances, but notforthe purpose of expressing an opinion on the effectlveness of the enllty's inrernal control. and •Evaluates the appropriatene55 01 accounting policies used. The auditor communlcates with those charged wilh govemance regarding. among other matters, the planned scope and timing ol the audii and significant audii findings, including any significani deliciencies In internal control thai the auditor idenlilies duringthe audit. Reportlng on the financlal slalements The audiior's report is required to contain a clear expression ol opinion on the financial statements taken as a To form an opinion on the financial statements the auditor concludes as towhether.. li bthe financial staiements adequately referto ordescribe the applicable financial ￿ porting framework. •the Ilnancial statements approprlaiely disclose the significant accounting policies selected and applied. In making this evaluation, the auoilor considers the relevance of the accounting policies io the entity and whether they have been presented in an understandable manner; •lhe accounting policies selected and applied are consisieni With Ihe applicable financial reporting Iramewofk, and are appropriate.. •lhe accounting estimates made bythe trustees are reasonable: •lhe inlormallon presented in the financial statements Is relevant. reliable. ¢ompa(able and un