The Friends of Seva Mandir REPORT AND FINANCIAL STATEMENTS 

Year ended 31 March 2021 

Charity No. 328428 



The Friends of Seva Mandir TRUSTEES’ REPORT 

## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021** 

The trustees of the charity present their annual report and financial statements for the year ended 31 March 2021. The financial statements have been prepared in accordance with the accounting policies set out on pages 9 and 10 and comply with the charity's constitution, 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 Standards applicable in the UK and Republic of Ireland (FRS102) published on 16 July 2014, as amended on 2 February 2016, the Financial Reporting Standard (FRS102), the charity’s governing document, and the Charities Act 2011. 

## **Objectives and activities** 

The purpose of the charity is to relieve the poverty, sickness and distress, and advance the education and selfgovernance of persons resident in the State of Rajasthan, India, by supporting the work of Seva Mandir, a nonprofit voluntary organisation registered in India. 

The Friends of Seva Mandir furthers its charitable purposes for the public benefit through its remittances to Seva Mandir and from helping to attract other sources of UK and European funding that are made directly to Seva Mandir. The trustees confirm that they have reviewed the charity’s activities and confirm they meet the guidance given by the Charity Commission with regard to public benefit. 

## **Achievements and performance** 

For over half a century, Seva Mandir has served the rural areas in Southern Rajasthan, making enduring beneficial changes to the lives of impoverished people in around 1,500 villages and hamlets. The growth of Seva Mandir over the years is testament to their unique approach, reaching 500,000 people and fostering long-lasting transformation. Villages are turned into communities which take responsibility for their own development through educating children, providing healthcare, cultivating land, organising youth programmes, promoting livelihoods, empowering women, promoting sustainable energy, sanitation and hygiene and in many other ways. 

The Trustees report that, through the generous support of Friends here in the UK, including donations of approximately £4,000 sent directly to Seva Mandir, we have raised approximately £69,000. More detail is provided in the financial review. 

Our work with foundations and grant-giving bodies has continued and we are particularly grateful for the support of the Lord Deedes of Aldington Charitable Trust and the John Younger Trust. 

Clearly, the COVID-19 pandemic has impacted the whole of the 2020/21 year. In particular, institutional fundraising has been especially affected with much lower activity in introductory meetings, in sharing updates on Seva Mandir’s activities, in making applications or specific pitches or in holding events bringing donors together. Nevertheless, we have received several charitable trust donations. 

Donations from individuals have reached a good level this year, with a number of existing and new supporters seeing the value of our work at such a difficult time. We launched two focused COVID appeals - one at the start of the crisis and one earlier this year during the significant worsening of the situation in India and the shortages of oxygen. 

We have put in hand two workstreams to broaden our institutional fundraising and our individual donations and involvement respectively. In addition, we have begun to explore affiliations and partnerships for fundraising. 

It was with great sadness that we marked the death of John MacAuslan last November. John was a Trustee and Secretary of Friends of Seva Mandir from 2012 to 2020. He had a long association and familiarity with Seva Mandir in Udaipur and we will greatly miss his wise counsel and balanced judgements as a warm and knowledgeable source of guidance and advice. 

Earlier this year, we very sadly lost Baroness Shirley Williams, a friend and supporter of Seva Mandir and Friends of Seva Mandir for many decades. Shirley was one of our Vice Patrons and had also been a Trustee. She was a frequent speaker at events for donors and was an inspiration and friend to many at both Seva Mandir and the 

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The Friends of Seva Mandir TRUSTEES’ REPORT 

Friends. We were honoured that, at her death, Friends of Seva Mandir was chosen by her family as the charity to which her friends could donate should they wish. 

Looking to the future, we are hopeful that we will be able to start holding physical events later this year and we are arranging a reception and book launch in November and a possible symposium during 2022 involving a prestigious UK university, Seva Mandir and other world-leading institutions and academics. 

Overall, Seva Mandir continues to make a sustainable difference to very many thousands of people. We are deeply grateful to donors for their ongoing support and generosity. 

## **Financial Review** 

## Review of financial position 

In the financial year ending 31 March 2021 the Friends of Seva Mandir received donations totalling £64,993 (2019/20 : £39,583). 

In addition, Seva Mandir in India received a further £4,242 (2019/20 : £25,957) as a direct result of the efforts of the Friends of Seva Mandir. These additional amounts do not pass through, and are not controlled by, the Friends of Seva Mandir and consequently do not get recorded in the financial statements of the Friends of Seva Mandir. 

Overall donations from the UK, including those sent directly to Seva Mandir in India, totalled £69,235 (2019/20: £65,540). 

Although there were no events held during the year because of COVID-19, in prior years events were sponsored in full and the costs were included in the financial statements shown equally both in income, as a gift in kind, and expenditure, as a cost of raising funds. The costs of the independent examination of £1,800 (2019/20 : £1,800) have been included in the financial statements which was last year funded by a kind donation for this specific purpose. Other costs were just £316 (2019/20 : £322), representing the cost of insurance and bank charges. Trustees provide services on a voluntary basis and did not reclaim any expenses. 

The outbreak of COVID-19 is having a significant impact in the UK and caused a high degree of volatility in the financial markets. This has had a minimal impact on the Friends of Seva Mandir: assets almost entirely comprise cash at bank; liabilities are minimal; grants to Seva Mandir are only paid when funds become available; trustee meetings continue, albeit by telephone; and we do not have any staff in the UK. 

Because of regulatory changes in India related to, inter alia, the international remittance of donations to India, there was a delay in being able to transfer funds as usual. Once a new bank account was set up in India in accordance with new local charity regulations, a transfer of £55,000 was made in July 2021 after the accounting year end. 

## Reserves Policy 

We aim to ensure income received is forwarded to Seva Mandir within a reasonable period from receipt. A base level of unrestricted cash reserves of approximately £5,000 is maintained for unforeseen operational costs and to assist funding for future events. Remittances to Seva Mandir of amounts above the base level are made subject to unrestricted cash reserves exceeding the base level by at least £3,000. 

Reserves in excess of this level may be held at specific times for a particular purpose if agreed by the trustees. There has been no such requirement to hold cash reserves in excess of this level during the year. 

Restricted funds are remitted to Seva Mandir for the specific purpose for which they were given. 

Reserves at the end of the year totalled £48,717 (2020: £5,600). As noted above, it was not possible to transfer funds to India before year end because of regulatory changes in India, and hence cash balances at year end stood at £41,981 (2020: £5,390). 

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The Friends of Seva Mandir TRUSTEES’ REPORT 

## **Structure, governance and management** 

The Friends of Seva Mandir is an unincorporated association registered with the Charity Commission (number 328428). The charity is governed by its constitution of 25 March 2012 as updated on 16 May 2018. 

The power of appointing new or additional trustees is vested in the majority of the trustees. Investment decisions are at the discretion of the trustees. 

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The Friends of Seva Mandir TRUSTEES’ REPORT 

## **Reference and administration information** 

## Life President: 

Chris Wiscarson (Chairman and Trustee to 31 March 2019) 

## Vice Patrons: 

Kamini Banga Kully Dhadda Lady Flather Ravi Govindia Celia Imrie Penny Madden Giulia Ajmone Marsan Araddhya Mehta Praveen Moman Lady Wade-Gery Robert Westlake The Rt Hon Baroness Shirley Williams 

## Trustees: 

Tony Bourne (Chairman from 1 April 2019) Mark Francis (Treasurer and Trustee to 17 September 2020) Don Baladasan Jonathan Berman Deepu Chintamaneni Vinay Ghai (Treasurer from 17 September 2020) John MacAuslan (Secretary and Trustee to 18 June 2020) David Moorhouse (Secretary from 18 June 2020) John Pheasant Raj Ragoowansi 

## Principal Office: 

14 Holland Park Avenue, London, W11 3QU 

## Charity number: 328428 

## Website: 

Regular newsletters, photographs and movies from visitors to Seva Mandir are shared on our website at http://www.sevamandirfriends.org/ 

## Bankers: 

CAF Bank, Kings Hill, West Malling, Kent, ME19 4TA Barclays Bank plc, Westminster Branch, 2 Victoria Street, London, SW1H 0ND 

## Independent Examiner: 

Alex Green FCA, GBP Knox, 16 High Holborn, London WC1V 6BX 

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The Friends of Seva Mandir TRUSTEES’ REPORT 

## **Trustees’ responsibilities in relation to the financial statements** 

The trustees are responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). 

The law applicable to charities in England and Wales requires the charity trustees to prepare financial statements for each 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 the financial statements, the trustees are required to: 

- select suitable accounting policies and apply them consistently; 

- observe the methods and principles in the applicable Charities SORP; 

- make judgements and estimates that are reasonable and prudent; 

- state whether applicable accounting standards have been followed, subject to any material departures that must be disclosed and explained in the financial statements; 

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business. 

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to 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. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities. 

The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements. 

Approved by the trustees on 16 September 2021 and signed on their behalf by: 


………………….. Tony Bourne Chairman 


...................................... Vinay Ghai Treasurer 

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The Friends of Seva Mandir INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF THE FRIENDS OF SEVA MANDIR 

I report to the trustees on my examination of the accounts of the The Friends of Seva Mandir (the Charity) for the year ended 31 March 2021. 

## **Respective Responsibilities of trustees and examiner** 

As the trustees of the Charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’). 

I report in respect of my examination of the Charity’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. 

## **Basis of independent examiner’s report** 

My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the statement below. 

## **Independent examiner’s statement** 

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: 

1. accounting records were not kept in respect of the Charity as required by section 130 of the Act; or 

2. the accounts do not accord with those records; or 

3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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. 

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. 


Alex Green FCA GBP Knox 16 High Holborn London WC1V 6BX .............................. 

Date: Sep 30, 2021 

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The Friends of Seva Mandir STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 March 2021 

|----------------------2020/21--------------------<br>Restricted Unrestricted<br>Total<br>funds<br>funds<br>funds<br>Note<br>£<br>£<br>£<br>INCOME AND ENDOWMENTS<br>Donations<br>1<br>15,000<br>49,993<br>64,993<br>Gifts in kind<br>2<br>-<br>-<br>-<br>Investment income<br>3<br>-<br>-<br>-<br>TOTAL INCOME<br>15,000<br>49,993<br>64,993<br>EXPENDITURE<br>Charitable Activities:<br>Grants payable<br>4<br>5,000<br>14,000<br>19,000<br>Bursary payment<br>5<br>-<br>760<br>760<br>Support costs<br>6<br>-<br>159<br>159<br>Raising funds<br>7<br>-<br>1,957<br>1,957<br>TOTAL EXPENDITURE<br>5,000<br>16,876<br>21,876<br>NET INCOME/(EXPENDITURE) AND NET<br>10,000<br>33,117<br>43,117<br>MOVEMENT IN FUNDS<br>RECONCILIATION OF FUNDS<br>TOTAL FUNDS BROUGHT FORWARD<br>10<br>-<br>5,600<br>5,600<br>TOTAL FUNDS CARRIED FORWARD<br>10<br>10,000<br>38,717<br>48,717|2019/20<br>Total<br>funds<br>£<br>39,583<br>4,000<br>55<br>43,638<br>55,000<br>560<br>165<br>5,957<br>61,682<br>(18,044)<br>23,644<br>5,600|
|---|---|



All activities are classed as continuing. The Charity has had no recognised gains and losses during this year and last year other than the net outgoing resources for the financial year. 

Note 14 provides comparative information by fund. 

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These unaudited financial statements were subject to an independent examination.  See report on page 6. 



The Friends of Seva Mandir BALANCE SHEET as at 31 March 2021 

|||2021|2020|
|---|---|---|---|
|||£|£|
|Debtors|9|8,536|2,010|
|Cash at bank:||||
|PayPal account||1,149|-|
|Barclays Bank account||665|635|
|CAF cash account||40,167|4,755|
|||-------------|------------|
|||41,981|5,390|
|Creditors|10|(1,800)|(1,800)|
|||-------------|------------|
|NET ASSETS|12|48,717|5,600|
|||**------------**|**------------**|
|FUNDS:||||
|Unrestricted funds||||
|-<br>General fund||38,717|1,160|
|-<br>Designated fund||-|4,440|
|Restricted Income Fund||10,000|-|
|||-------------|------------|
|TOTAL CHARITY FUNDS|12|48,717|5,600|
|||**------------**|**------------**|



The financial statements on pages 6 to 14 were approved and authorised for issue by the trustees on 16 September 2021 and signed on their behalf by: 


................................ Vinay Ghai Treasurer 

_8_ 

These unaudited financial statements were subject to an independent examination.  See report on page 6. 



The Friends of Seva Mandir NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2021 

## BASIS OF ACCOUNTING 

The financial statements have been prepared under the historical cost convention. 

In preparing the financial statements the Charity follows best practice in accordance with applicable accounting standards, the requirements of the Statement of Recommended Practice (SORP): Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) issued on 16 July 2014, as amended on 2 February 2016, the Financial Reporting Standard (FRS102), the charity’s governing document, and the Charities Act 2011. 

The Charity has taken advantage of the provisions available to smaller entities as proscribed in the update to the SORP published in February 2016, including the ability to dispense with the presentation of a cash flow statement. 

The Charity comprises a public benefit entity as defined by FRS102 and the trustees consider that there are no material uncertainties about the ability to continue as a going concern. 

## INCOME RECOGNITION 

Donations, grants and other income are recognised once there is evidence of entitlement, receipt is probable and the amount can be measured reliably. Gifts in kind and donated services are recognised when received, providing the value of the gift or service can be measured reliably. Value is based on the amount that would be payable in the open market for an alternative item or service. Investment income is recognised when its receipt is probable and the amount receivable can be measured reliably. 

## EXPENDITURE RECOGNITION 

Expenditure is recognised on an accruals basis as a liability is incurred. Irrecoverable VAT is charged against the category of resources expended from which it was incurred. 

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. 

All costs are allocated between the expenditure categories of the Statement of Financial Activities on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly whilst others are apportioned on an appropriate basis. 

## COST OF RAISING FUNDS 

Cost of raising funds comprises those costs directly attributable to the Charity's fund raising activities. 

## GRANTS PAYABLE AND BURSARY PAYMENTS 

Grants payable and bursary payments are charged in the year when the offer is conveyed and payment date is confirmed. 

ALLOCATION OF SUPPORT COSTS AND GOVERNANCE COSTS 

The cost of support functions and governance is allocated to the Charity’s sole activity. 

## DEBTORS 

Debtors which are receivable within one year are measured at their recoverable amounts. 

## CASH 

Cash and bank balances includes cash and short term highly liquid investments with a short maturity of less than 90 days from the date of acquisition. 

_9_ 

These unaudited financial statements were subject to an independent examination.  See report on page 6. 



The Friends of Seva Mandir NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2021 

## CREDITORS 

Creditors and Liabilities payable within one year are measured at the transaction price. 

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 donations and other incoming resources receivable for which the donor has specified a purpose. 

## RELATED PARTY TRANSACTIONS 

The trustees all give freely their time and expertise without any form of remuneration or other benefit in cash or kind (2019: £nil). Donations from trustees totalled £1,895 (2020: £2,690). There are no other related party transactions in the year (2020: none). 

_10_ 

These unaudited financial statements were subject to an independent examination.  See report on page 6. 



The Friends of Seva Mandir NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2021 

## 1. DONATIONS 

|1.|DONATIONS|||
|---|---|---|---|
|||2021|2020|
|||£|£|
||Supporters’ donations|45,377|30,961|
||Charitable trusts and foundations|17,500|6,500|
||Administrative support|2,116|2,122|
|||------------|------------|
|||64,993|39,583|
|||======|======|
|2.|GIFTS IN KIND|||
|||2021|2020|
|||£|£|
||Event sponsorship|-|4,000|
||Independent examination|-|-|
|||------------|------------|
|||-|4,000|
|||======|======|



Because of COVID-19, the charity did not hold any events, whereas last year it benefitted from donated facilities and services for one main event. 

## 3. INVESTMENT INCOME 

## 4. 

|INVESTMENT INCOME|||
|---|---|---|
||2021|2020|
||£|£|
|Interest receivable|-|55|
||======|======|
|GRANTS PAYABLE|||
||2021|2020|
||£|£|
|Seva Mandir|19,000|55,000|
||======|======|



During the year the charity made 1 grant (2020: 1) to Seva Mandir, an Indian registered charity which continues to work with some 500,000 village people in Southern Rajasthan. All grants have been paid to an institution. 

## 5. BURSARY PAYMENTS 

|BURSARY PAYMENTS|||
|---|---|---|
||2021|2020|
||£|£|
|Bursary payments|760|560|
||======|======|



During the year, payments totalling £760 were made from the designated fund to support the travel, living and accommodation expenses of one individual from the UK, in their direct support of work at Seva Mandir India. 

## 6. SUPPORT COSTS 

|SUPPORT COSTS|||
|---|---|---|
||2021|2020|
||£|£|
|Bank charges|159|165|
||======|======|



_11_ 

These unaudited financial statements were subject to an independent examination.  See report on page 6. 



The Friends of Seva Mandir NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2021 

## 7. RAISING FUNDS 

|RAISING FUNDS|||
|---|---|---|
||2021|2020|
||£|£|
|Insurance|157|157|
|Events|-|4,000|
|Independent examination|1,800|1,800|
||------------|------------|
||1,957|5,957|
||======|======|



The charity has incurred no direct expenditure in relation to the cost of raising funds other than insurance and the independent examination of these accounts. Cost of events relate entirely to those donated facilities and services as shown in note 2. 

## 8. TRUSTEES AND EMPLOYEES 

The Charity has no employees and relies upon the support given by its volunteers. 

The charity considers its key management personnel to be the trustees. No trustee received any emoluments during either year. Furthermore, none of the trustees received reimbursement for any expenses in the year (2020: £nil). 

## 9. DEBTORS 

|.|DEBTORS|||
|---|---|---|---|
|||2021|2020|
|||£|£|
||Gift Aid receivable|8,536|570|
||Donor contribution towards independent examination fee|-|1,440|
|||------------|------------|
|||8,536|2,010|
|||======|======|
|10.|CREDITORS|||
|||2021|2020|
|||£|£|
||Independent examination|1,800|1,800|
|||======|======|



_12_ 

These unaudited financial statements were subject to an independent examination.  See report on page 6. 



The Friends of Seva Mandir NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2021 

## 11. STATEMENT OF FUNDS 

||At 1 April||||At 31 March|
|---|---|---|---|---|---|
||2020|Income|Expenditure|Transfers|2021|
||£|£|£|£|£|
|Restricted fund|-|15,000|(5,000)|-|10,000|
|Unrestricted funds||||||
|- Designated fund|4,440|-|-|(4,440)|-|
|- General fund|1,160|49,993|(16,876)|4,440|38,717|
||------------|------------|------------|------------|------------|
|Total|5,600|64,993|(21,876)|-|48,717|
||======|======|======|======|======|



During the year a total of £15,000 was received for specific purposes, including £5,000 to support the work of Bridge School run by Seva Mandir and £5,000 to support the Amrit Clinic, who provide healthcare services on behalf of Seva Mandir. All restricted amounts were remitted to Seva Mandir during the year to be used specifically for the purpose for which they were given. 

Unrestricted funds represent the free funds of the charity and have been provided by donors without restrictions for specific use. The designated fund represents an amount of unrestricted funds set aside by trustees for a specific purpose, to support individuals whose work or academic studies or research would, in the opinion of the trustees, be of direct and material benefit to Seva Mandir but who, in the absence of some funding, would not be able to afford to undertake such work, studies or research or to continue or complete it. 

## 12. ANALYSIS OF NET ASSETS BETWEEN FUNDS 

||Debtors|Cash at|Creditors||
|---|---|---|---|---|
|||Banks||Total|
||£|£|£|£|
|Restricted fund|-|10,000|-|10,000|
|Unrestricted fund|8,536|31,981|(1,800)|38,717|
||------------|------------|------------|------------|
|Total|8,536|41,981|(1,800)|48,717|
||======|======|======|======|



## 13. CORPORATION TAX 

No tax provision is included in the financial statements on the basis that all income for the registered charity is derived from wholly charitable activities. 

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These unaudited financial statements were subject to an independent examination.  See report on page 6. 



The Friends of Seva Mandir NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2021 

## 14. COMPARATIVE STATEMENT OF FINANCIAL ACTIVITIES 

||----------------------2020--------------------|----------------------2020--------------------|----------------------2020--------------------|
|---|---|---|---|
||Restricted|Unrestricted|Total|
||funds|<br>funds|funds|
||£|£|£|
|INCOME AND ENDOWMENTS||||
|Donations|6,250|<br>33,333|39,583|
|Gifts in kind|-|4,000|4,000|
|Investment income|-|55|55|
|TOTAL INCOME|6,250|<br>37,388|43,638|
|EXPENDITURE||||
|Charitable Activities:||||
|Grants payable|6,250|<br>48,750|55,000|
|Bursary payments|-|560|560|
|Support costs|-|165|165|
|Raising funds|-|5,957|5,957|
|TOTAL EXPENDITURE|6,250|<br>55,432|61,682|
|NET INCOME/(EXPENDITURE) AND NET|-|(18,044)|(18,044)|
|MOVEMENT IN FUNDS||||
|RECONCILIATION OF FUNDS||||
|TOTAL FUNDS BROUGHT FORWARD|-|23,644|23,644|
|TOTAL FUNDS CARRIED FORWARD|-|5,600|5,600|



_14_ 

These unaudited financial statements were subject to an independent examination.  See report on page 6.