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2022-12-31-accounts

REGISTERED COMPANY NUMBER: 00894740 (England and Wales) REGISTERED CHARITY NUMBER: 259740

Report of the Trustees and

Financial Statements for the Year Ended 31 December 2022

for

Medway Towns Gurudawara Sabha Limited(The)

A Star Accountancy Limited Chartered Certified Accountants and Registered Auditors 19 Beech Avenue Sidcup Kent DA15 8NH

Medway Towns Gurudawara Sabha Limited(The)

Contents of the Financial Statements for the Year Ended 31 December 2022

Page
Report of the Trustees 1 to 4
Report of the Independent Auditors 5 to 7
Statement of Financial Activities 8
Balance Sheet 9 to 10
Notes to the Financial Statements 11 to 16

Medway Towns Gurudawara Sabha Limited(The) (Registered number: 00894740)

Report of the Trustees

for the Year Ended 31 December 2022

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 December 2022. The trustees have adopted the provisions of 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 2019).

OBJECTIVES AND ACTIVITIES Objectives and aims

The principal activity and objective of the company is the promotion of the Sikh Religion and social and cultural interests of its members and their families.

Volunteers

Reliance on volunteers and members

The Board of Directors acknowledges that its objectives depends on volunteers and members of the Sabha who are available to provide support and assistance in the furtherance of its objectives. The Directors wishes to express its thanks to them and to all the organisations which provide it with its financial support and services in achieving its objectives.

Presentation of the financial statements

The financial statements are presented in the form required by the; Charities SORP (FRS102) 'Accounting and Reporting by Charities Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England & Wales', (effective 1 January 2015). As permitted by the Companies Act 2006, the company has adjusted the format of the financial statements to include headings relevant to its activities in order to enable it to show a true and fair view

ACHIEVEMENT AND PERFORMANCE Charitable activities

New Temple

Purchase of the premises to be used as a temple, was completed during 2008. The initial cost of the premises was £1,650,000 and was funded by an initial secured loan of £1,320,000 and donations received by the company. The initial loan has been repaid and further replacement loan granted for £1,942,000. During the year repayments of £130,994 (2021 £74,399) have been made against this loan and £945,875 (2021 £1,028,897) remains outstanding.

NB capital repayments were lower in the previous year to December 2021, as the Temple switched to paying the interest only element as negotiated with the company's bankers under Covid 19 special provisions in the previous financial year & some months in the current year. Full monthly repayments recommenced during the year to 31 December 2022.

Covid 19

The Temple reduced its opening hours and suspended all services as per government guidelines.

Temple stayed open from 8am to 5pm for personal prayers only, community was asked to abide by the Covid rules and only stay for few minutes.

A One way system was set up. Temperature checks were put in place. A Track & Trace register was set up.

From September 2021 post lockdown hours were extended slightly but not to full operational level due to risk of infection.

FINANCIAL REVIEW

Principal funding sources

Traditionally the charity relies primarily upon donations for its income, which were up considerable during the year after reduction in donations during 2020 & 2021 as a result of Covid 19.

Page 1

Medway Towns Gurudawara Sabha Limited(The) (Registered number: 00894740)

for the Year Ended 31 December 2022

Report of the Trustees

FINANCIAL REVIEW

Investment policy and objectives

The company continually reviews its cash position and deposits surplus funds in interest earning deposit accounts.

Results

A surplus of £102,249 (2021: £19,673) was recorded in the year ended 31 December 2022 which increased accumulated funds at 31 December 2022 to £2,844,794 (2021: £2,742,545).

Expenditure reduced during the year by £45,711, (as operations started to recommence as we emerged from Covid 19 restrictions to £241,494 (2021 £287,205), in part due to reduced staffing levels.

Income also increased by £36,865to £343,743 (2021: £306,878) (again primarily due to Covid 19 restricting normal operation & events & consequently donations in the previous year).

FUTURE PLANS

The charity looks forward to remain fully operational throughout 2023 & wedding bookings are now being taken on into 2024.

Donations are expected to be maintained at normal levels as full operations recommence 2022-23-24.

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

The Medway Towns Gurudawara Sabha Limited is a company limited by guarantee and a registered charity (No.259740). It is governed by its Memorandum and Articles of Association and The Working Constitution of the Sabha (meaning congregation). The Members of the Council of Management constitute Members of the Sabha and are appointed to serve as Directors.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number

00894740 (England and Wales)

Registered Charity number

259740

Registered office

Medway Towns Gurudawara Sabha Ltd (The) 1 - 5 Lankester Parker Road Rochester Kent ME1 3QU

Page 2

Medway Towns Gurudawara Sabha Limited(The) (Registered number: 00894740)

Report of the Trustees

for the Year Ended 31 December 2022

Trustees

Mota Singh Shokar President Balbir Singh Dhudwar Chairperson Surinderpal Singh Sandhu General Secretary Avtar Singh Kooner Treasurer Pyara Singh Kang Supporting Sevedaars Palwinder Kaur Chakkar Supporting Sevadaars Ranjit Kaur Supporting Sevadaars Inderjit Kaur Randhawa Harpal Singh Sahota Education Lead - non trustee Balbir Singh Ghattora Supporting Sevadaars - non trustee Avtar Singh Dhillon Supporting Sevadaars - non trustee Joga Singh Mahal Supporting Sevadaars - non trustee Javinder Kaur Storekeeper - Non trustee Sohan Singh Dhillon Vice President - non trustee Sirjit Singh Marway Asst. & Stage Secretary - non trustee (appointed 13.4.22) Mohinder Sing Rakkar Stage Secretary - non trustee (appointed 13.4.22) Surjan Singh Toor Maintenance - non trustee (appointed 13.4.22) Piara Singh Dehl Asst. Maint/Ed. Lead - non trustee (appointed 13.4.22) Baldev Singh Powar Supporting Sevadaars - non trustee (appointed 13.4.22) Jatinder Singh Dhillon Supporting Sevadaars - non trustee (appointed 13.4.22) Gurjit Singh Chaggar Supporting Sevadaars - non trustee (appointed 13.4.22) Shangara Singh Pataria Supporting Sevadaars - non trustee (appointed 13.4.22) Parmjot Kaur Dhadwal Supporting Sevadaars - non trustee (appointed 13.4.22) Johal Supporting Sevadaars - non trustee (appointed 13.4.22) Rai Singh Billing Supporting Sevadaars - non trustee (appointed 13.4.22) Parminder Singh Upple Ex Stage Secretary (resigned 14.4.22) Gurbakash Kaur Supporting Sevadaars (resigned 13.4.22) Harbans Singh Bhatal Supporting Sevadaars (resigned 14.4.22) Sukhraj Singh Sandhu Ex Assistant Treasurer (resigned 14.4.22) Harbhajan Kaur Supporting Sevadaars (resigned 14.4.22)

Company Secretary

Surinderpal Singh Sandhu

Auditors

A Star Accountancy Limited Chartered Certified Accountants and Registered Auditors 19 Beech Avenue Sidcup Kent DA15 8NH

Page 3

Medway Towns Gurudawara Sabha Limited(The) (Registered number: 00894740)

for the Year Ended 31 December 2022

Report of the Trustees

TRUSTEES' RESPONSIBILITY STATEMENT

The names of the members of the Board are set out on page 1. A number of committee members are listed as 'non-trustee', these are co-opted members & are neither trustees, nor directors. In addition there are several members from the community who provide direct support to the activities of the Gurudawara

Directors' responsibilities

Charity Law and Company law require the Board to prepare financial statements for each financial year that give a true and fair view of the state of affairs of the company and of the statement of financial activities of the company for that year. In preparing those financial statements the Board is required to:

o Select suitable accounting policies have been used and applied consistently;

o Make judgements and estimates that are reasonable and prudent;

o Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business; and

o State whether applicable accounting standards and statement of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements.

The Directors are also responsible for maintaining proper accounting records that disclose with reasonable accuracy at any time the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

AUDITORS

The auditors, A Star Accountancy Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

Approved by order of the board of trustees on 25 March 2024 and signed on its behalf by:

Avtar Singh Kooner - Trustee

Page 4

Report of the Independent Auditors to the Trustees of Medway Towns Gurudawara Sabha Limited(The)

Opinion

We have audited the financial statements of Medway Towns Gurudawara Sabha Limited(The) (the 'charitable company') for the year ended 31 December 2022 which comprise the Statement of Financial Activities, the Balance Sheet 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company 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 charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are 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 Report of the Independent Auditors 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 this gives rise to a material misstatement in the financial statements themselves. 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.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Page 5

Report of the Independent Auditors to the Trustees of Medway Towns Gurudawara Sabha Limited(The)

Responsibilities of trustees

As explained more fully in the Trustees' Responsibilities Statement, the trustees (who are also the directors of the charitable company for the purposes of company law) 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 charitable company'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 charitable company or to cease operations, or have no realistic alternative but to do so.

Our responsibilities for the audit of the financial statements

We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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 a Report of the Independent Auditors 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach was as follows:

We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are those that relate to: The Charities Act 2011 & Charity Sorp regulations, , Companies Act 2006, Employment, Health & Safety & Pensions regulations, as these are generally recognized to have a direct effect on the determination of material amounts and disclosures in the financial statements.

We also considered safeguarding, considerations ,adequacy of insurance cover & consideration of environmental considerations, food hygiene, bribery & corruption practices, charity fund raising regulations, Gift aid declarations & claim procedures etc, as whilst these do not have a direct effect on the determination of the amounts and disclosures in the financial statements, non-compliance with which may be fundamental to the operating aspects of the organisation, or to to an entity's ability to continue its operations, or to avoid material penalties

Enquiries as to any possibility of fraud or irregularity were made of those charged with Governance.ans we corroborated our enquiries via reference via review of board minutes, review of HMRC Gift aid submissions & supporting donation pre-numbered receipts,plus a review of papers provided to us as auditors in respect of a legal matter initially arising in 2021 & settled during 2022.

We considered the risk of fraud via Management Override of Controls and in response and looked for transactions outside of the normal course of the operation.and considered and none were identified.

In particular there was a system error in the payroll systems during 2021-22 causing a loss of year to date earnings part way through the year which caused issues with the tax calculations on earnings. To resolve this & identify the necessary corrections we reconstructed a parallel payroll system to establish the correct position.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

Page 6

Report of the Independent Auditors to the Trustees of Medway Towns Gurudawara Sabha Limited(The)

Use of our report

This report is made solely to the charitable company's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's trustees those matters we are required to state to them 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 charitable company and the charitable company's trustees as a body, for our audit work, for this report, or for the opinions we have formed.

for and on behalf of A Star Accountancy Limited Chartered Certified Accountants and Registered Auditors Eligible to act as an auditor in terms of Section 1212 of the Companies Act 2006 19 Beech Avenue Sidcup Kent DA15 8NH

25 March 2024

Page 7

Medway Towns Gurudawara Sabha Limited(The)

Statement of Financial Activities

for the Year Ended 31 December 2022

Unrestricted
fund
Notes
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
337,742
Charitable activities
Management administration
-
Investment income
2
51
Other income
5,950
Total
343,743
EXPENDITURE ON
Charitable activities
Management administration
148,306
Charitable Donations
1,702
Other
91,486
Total
241,494
NET INCOME
102,249
RECONCILIATION OF FUNDS
Total funds brought forward
2,742,545
TOTAL FUNDS CARRIED FORWARD
2,844,794
Restricted
funds
£
-
-
-
-
-
-
-
-
-
-
-
-
31.12.22
Total
funds
£
337,742
-
51
5,950
343,743
148,306
1,702
91,486
241,494
102,249
2,742,545
2,844,794
31.12.21
Total
funds
£
271,908
32,348
-
2,622
306,878
195,899
2,685
88,621
287,205
19,673
2,722,872
2,742,545

The notes form part of these financial statements

Page 8

Medway Towns Gurudawara Sabha

Limited(The) (Registered number: 00894740)

Balance Sheet

31 December 2022

Unrestricted
fund
Notes
£
FIXED ASSETS
Tangible assets
7
3,768,868
CURRENT ASSETS
Debtors
8
20,753
Cash at bank and in hand
102,769
123,522
CREDITORS
Amounts falling due within one year
9
(93,619)
NET CURRENT ASSETS
29,903
TOTAL ASSETS LESS CURRENT
LIABILITIES
3,798,771
CREDITORS
Amounts falling due after more than one year
10
(953,977)
NET ASSETS
2,844,794
FUNDS
13
Unrestricted funds
TOTAL FUNDS
Restricted
funds
£
-
-
-
-
-
-
-
-
-
31.12.22
Total
funds
£
3,768,868
20,753
102,769
123,522
(93,619)
29,903
3,798,771
(953,977)
2,844,794
2,844,794
2,844,794
31.12.21
Total
funds
£
3,808,719
39,018
59,163
98,181
(119,085)
(20,904)
3,787,815
(1,045,270 )
2,742,545
2,742,545
2,742,545

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2022.

The members have not deposited notice, pursuant to Section 476 of the Companies Act 2006 requiring an audit of these financial statements.

The trustees acknowledge their responsibilities for

These financial statements have been audited under the requirements of Section 145 of the Charities Act 2011.

The notes form part of these financial statements

continued...

Page 9

Medway Towns Gurudawara Sabha Limited(The) (Registered number: 00894740)

Balance Sheet - continued

31 December 2022

These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.

The financial statements were approved by the Board of Trustees and authorised for issue on 25 March 2024 and were signed on its behalf by:

Mota Singh Shokar - Trustee

Avtar Singh Kooner - Trustee

The notes form part of these financial statements

Page 10

Medway Towns Gurudawara Sabha Limited(The)

Notes to the Financial Statements for the Year Ended 31 December 2022

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property - 1% on a reducing balance basis.

Fixtures and Fittings 25% on a reducing balance basis.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

A company vehicle was acquired on hire purchase 5th August 2014 costing £15,295 but was never capitalised & has been accounted for as an operating lease in the accounts which is a departure from SORP. This vehicle remained the property of the Lessor until an option payment was made in September 2018 at which point full title to the vehicle was effectively transferred to the charity.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Donated goods & services

Donated goods & or services are included in both income & expenditure at estimated valuation of the directors.

continued...

Page 11

Medway Towns Gurudawara Sabha Limited(The)

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

2. INVESTMENT INCOME

INVESTMENT INCOME
31.12.22 31.12.21
£ £
Deposit account interest 51 -
NET INCOME/(EXPENDITURE)
Net income/(expenditure) is stated after charging/(crediting):
31.12.22 31.12.21
£ £
Auditors' remuneration 2,000 2,000
Depreciation - owned assets 41,785 42,977
Hire of plant and machinery 726 169

3. NET INCOME/(EXPENDITURE)

4. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 December 2022 nor for the year ended 31 December 2021.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 December 2022 nor for the year ended 31 December 2021.

5. STAFF COSTS

The average monthly number of employees during the year was as follows:

31.12.22 31.12.21
Executive director/trustees 8 33
Priests 4 5
12 38

No employees received emoluments in excess of £60,000.

The average number of staff during the year was 18 (2021: 33) including executive directors who receive no remuneration & excluding non trustee co-opted committee members.

Payments were made to 4 priests (2021: 6) during the year.

continued...

Page 12

Medway Towns Gurudawara Sabha Limited(The)

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

6.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
fund
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
271,908
Charitable activities
Management administration
32,348
Other income
2,622
Total
306,878
EXPENDITURE ON
Charitable activities
Management administration
195,899
Charitable Donations
2,685
Other
88,621
Total
287,205
NET INCOME
19,673
RECONCILIATION OF FUNDS
Total funds brought forward
2,722,872
TOTAL FUNDS CARRIED FORWARD
2,742,545
7.
TANGIBLE FIXED ASSETS
Freehold
property
£
COST
At 1 January 2022
4,188,025
Additions
-
At 31 December 2022
4,188,025
DEPRECIATION
At 1 January 2022
393,243
Charge for year
37,948
At 31 December 2022
431,191
NET BOOK VALUE
At 31 December 2022
3,756,834
At 31 December 2021
3,794,782
Restricted
funds
£
-
-
-
-
-
-
-
-
-
-
-
Fixtures
and
fittings
£
124,358
1,934
126,292
110,421
3,837
114,258
12,034
13,937
Total
funds
£
271,908
32,348
2,622
306,878
195,899
2,685
88,621
287,205
19,673
2,722,872
2,742,545
Totals
£
4,312,383
1,934
4,314,317
503,664
41,785
545,449
3,768,868
3,808,719

continued...

Page 13

Medway Towns Gurudawara Sabha Limited(The)

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

7. TANGIBLE FIXED ASSETS - continued

A minibus acquired at a cost of £15295 in 2014 under an HP agreement which ended in September 2018 when full title to the vehicle was passed to the charity by way of a final option payment. However, the vehicle has never been capitalised in the company's financial statements which is a departure from SORP. The vehicle currently remains in use.

8. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.22
£
Prepayments & accrued income
20,753
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.12.22
£
Bank loans and overdrafts (see note 11)
72,618
Social security and other taxes
10,334
Other creditors
4,397
Accrued expenses
6,270
93,619
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
31.12.22
£
Bank loans (see note 11)
903,977
Other loans (see note 11)
50,000
953,977
LOANS
An analysis of the maturity of loans is given below:
31.12.22
£
Amounts falling due within one year on demand:
Bank loans
72,618
Amounts falling due between two and five years:
Other loans - 2-5 years
50,000
Amounts falling due in more than five years:
Repayable by instalments:
Bank loans more 5 yr by instal
903,977
31.12.21
£
39,018
31.12.21
£
83,629
13,536
17,920
4,000
119,085
31.12.21
£
985,270
60,000
1,045,270
31.12.21
£
83,629
60,000
985,270

9.

10. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

11. LOANS

Secured bank loans were taken to assist with the purchase and construction of a new premises in 2011. The loans are secured by a mortgage debenture over all of the company's freehold property and assets.

Interest is charged on the various tranches of the loan, with various repayment terms, ranging between 4% and 6%.

Additional security has been provided by members of the board to secure the loans.

continued...

Page 14

Medway Towns Gurudawara Sabha Limited(The)

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

11. LOANS - continued

Other loans represent long term interest free loans from Gurudawara members.

12. SECURED DEBTS

The following secured debts are included within creditors:

31.12.22 31.12.21
£ £
Bank loans 976,595 1,068,899

The following legal charges exist over the assets of the company in favour of the company's bankers:

A' First Legal Charge' over freehold property at 1 - 5 Lankaster Park Road, Rochester, ME1 3QU

A 'First Legal Charge' over freehold property at Cossack Street, Rochester ME1 4DQ

A 'First Legal Charge' from Drumyard Ltd over freehold property at MSD Warehouse, 31 Second Avenue, Chatham, ME4 4DQ

An 'All Moneys Gurantee' from Drumyard Ltd for a principle sum of £1,900,000 plus interest and other costs as detailed in the guarantee, together with MSD Warehouse, 31 Second Avenue, Chatham, ME4 5AU and such other security as the bank may from time to time hold in respect of debts and liabilities of the guarantor(s) to the bank.

An 'Unlimited Debenture' from Medway Towns Gurudawara Sabha Limited (The).

13. MOVEMENT IN FUNDS

Unrestricted funds
General fund
TOTAL FUNDS
Net movement in funds, included in the above are as follows:
Unrestricted funds
General fund
TOTAL FUNDS
At 1.1.22
£
2,742,545
2,742,545
Incoming
resources
£
343,743
343,743
Net
movement
in funds
£
102,249
102,249
Resources
expended
£
(241,494)
(241,494)
At
31.12.22
£
2,844,794
At
31.12.22
£
2,844,794
2,844,794
Movement
in funds
£
102,249
102,249
102,249

Page 15

continued...

Medway Towns Gurudawara Sabha Limited(The)

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

13. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

At 1.1.21
£
Unrestricted funds
General fund
2,722,872
TOTAL FUNDS
2,722,872
Comparative net movement in funds, included in the above are as follows:
Incoming
resources
£
Unrestricted funds
General fund
306,878
TOTAL FUNDS
306,878
Net
movement
in funds
£
19,673
19,673
Resources
expended
£
(287,205)
(287,205)
At
31.12.21
£
2,742,545
At
31.12.21
£
2,742,545
2,742,545
Movement
in funds
£
19,673
19,673
19,673

14. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 December 2022.

15. ULTIMATE CONTROLLING PARTY

The Charity is controlled by its Management Committee acting as director/trustees

16. SHARE CAPITAL

The company is limited by guarantee and has no share capital.

In the event of a winding up, the Council of Management shall exercise their right to give and transfer the assets of the Sabha to the Shromani Gurudawara Parbanthak Committee, Amritsar, India or any other institution or institutions having charitable objectives similar to the objectives of the Sabha.

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