THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON) JAMAAT ...

The Khoja Shia Ithna Asheri (South London) Jamaat 26 Estreham Road | Streatham | SW16 5PQ

T: 020 8769 7553 | F: 020 8696 0104 | A: 020 8769 0046 W: www.hyderi.org.uk | E: [email protected]

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Registered Charity in the UK: 287686

THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON) JAMAAT

(HYDERI ISLAMIC CENTRE)

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2019

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THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON) JAMAAT(HYDERI ISLAMIC CENTRE)REPORT AND FINANCIAL STATEMENTSFOR THE YEAR ENDED 31 DECEMBER 2019

Contents

Charity information

Report of the managing trustees

Independent auditors' report to the trustees

Statement of financial activities

Statement of financial position

Cash flow statement

Notes to the financial statements

Page

3

4-7

8-9

10

11

12

13-19

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THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON) JAMAAT (HYDERI ISLAMIC CENTRE)CHARITY INFORMATION FOR THE YEAR ENDED 31 DECEMBER 2019

Charity Registration Number 287686

Governing Document The Constitution

Managing Trustees

President Dr Hassanali DewjiVice President Bakerali AlidinaSecretary Mohsin Asaria Assistant Secretary Dr Mohsin Asharia (resigned 28 March 2019)Assistant Secretary Hassnein Khaki (appointed 28 March 2019)Treasurer Salim MasterAssistant Treasurer Gulzar DewjiMukhi Abbas PanjvaniAssistant Mukhi Neil NasserTrustee Aliraza JanmohamedTrustee Mariam HassamNominated Trustee Murtaza KermaliNominated Trustee Zishaan Moledina

Registered Address Hyderi Islamic Centre26 Estreham RoadLondonSW16 5PQ

Bankers HSBC117 Balham High RoadLondonSW12 9AS

Auditors Fairman DavisUnit 6Exhibition HouseKensingtonLondonW14 8XP

Solicitors Vyman SolicitorsVyman House104 College RoadHarrowHA1 1BQ

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THE KHOJA SHIA ITHNA‐ASHRI (SOUTH LONDON) JAMAAT (HYDERI ISLAMIC CENTRE)

REPORT OF THE MANAGING TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2019

The Managing Trustees have pleasure in presenting their annual report together with the audited

financial statements of The Khoja Shia Ithna‐Ashri (South London) Jamaat (the Charity) for the year

ended 31 December 2019. The Charity operates as Hyderi Islamic Centre (Hyderi).

The Trustees confirm that the annual report and financial statements of Hyderi comply with the

current statutory requirements of the Charity's governing document and the provisions of the

applicable charities Statement of Recommended Practice (SORP), UK Accounting Standards and the

Charities Act 2011.

Structure, governance and management

The Khoja Shia Ithna‐Ashri (South London) Jamaat (Hyderi) is a registered charity (No: 287686). It is

governed by the constitution adopted on 2 October 1983. A revised and updated constitution was

approved by members on 16 November 2019. The Khoja Shia Ithna‐Ashri (South London) Jamaat

promotes and advances the Islamic religion in accordance with the principles of the Shia Ithna‐Ashri

faith. Its objectives and powers are set up in the constitution. It is managed by elected Managing

Trustees who are responsible for the day to day running of the Charity.

Objectives and activities

The Khoja Shia Ithna‐Ashri (South London) Jamaat's objective is to advance the religion of Islam and

education, the provision of social and religious welfare activities and to provide relief of poverty

among Shia Muslims.

a) Propagation of Islam

Propagation of Islam is the main activity of the Charity and this was carried out by arranging regular

lectures at the Centre and arranging weekly religious programmes in English and other languages.

Madressa classes were also held to teach Quran to students.

b) Educational support

During the year, support was provided to various individuals and children were taught at the Islamic

school and Hyderi Nursery.

c) Social, religious and welfare activities

During the year, Hyderi organized various activities in celebration of Ramadan, Eid, Hajj and other

Islamic festivals for members and new converts who have no affiliation with other Islamic

communities. Counselling sessions were provided to those with marriage and family predicaments.

Achievements and performance

The Charity continues to provide prayer facilities at the Centre to promote the Muslim faith to all

age groups and to provide services to learn the teachings of the Quran. The Charity offers facilities to

members to promote the Muslim way of life through guest speakers. The Charity continues to offer

membership and burial facilities and receive income from its rental properties. The Nursery and

Islamic schools for the children have been a successful furtherance of offering Islamic teaching.

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Objectives and Investment Powers

In order to meet the objectives, the Managing Trustees can secure the provision of Mosques and

Imambaras (centres), provide and establish schools and education and provide other religious

services. The Managing Trustees can raise funds for the upkeep, restoration and repair of the

buildings used for this purpose and to provide other services to meet these objectives. Trust funds of

over £10,000 can only be invested or utilized on a single project after the approval of the general

body. The Managing Trustees meet once a month to discuss the activities for the operation of the

Charity.

Appointment of trustees

The existing Managing Trustees were elected on 3 March 2019 to serve for a term of two years. One

Senior Trustee was also elected on the same day. The new constitution the adopted on 16

November 2019 has no provision for Senior Trustees, accordingly all resigned by default.

Related parties

The Charity does not hold assets on behalf of any another Charity, company or individual.

Results and Financial review

The results for the year are as shown in the financial statements. The statement of financial activities

shows the incoming resources and the resources expended by the different activities conducted

under the Charity's name. In order to provide a better understanding of the activities undertaken, a

summary and analysis of the activities is included.

The Statement of Financial Activities shows how the Charity's funds have been applied during the

year. The gross receipts of the Charity were £756,410 (2018: £829,365). At 31 December 2019, the

balance on the restricted fund was £7,101 (2018: £9,478). As the Charity's income is dependent

upon the goodwill of worshippers, the managing trustees are of the opinion that the level of direct

activities should be proportionate to such income.

Fixed Assets

The changes in fixed assets are shown in the notes to the financial statements.

Investment Properties

Statement of Recommended Practice, "Accounting and Reporting by Charities" requires investment

properties to be included in the financial statements at market value. The Investment properties

were valued by an independent professional valuer in 2017 and in the view of the Managing

Trustees the valuation reflects current market values.

Key management personnel remuneration

Trustees are required to disclose all relevant interests and register them with the Secretariat, and, in

accordance with policy, withdraw from decisions where a conflict of interest arises.

Details of trustee expenses and related party transactions are disclosed in notes 3 and 17 to the

accounts.

Risk Management

The Managing Trustees have assessed the major risks to which the Charity is exposed, in particular

those relating to the operations and finances including fund raising and use of restricted funds. The

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Managing Trustees are satisfied that systems are in place to mitigate our exposure to these risks and

the processes implemented are designed to minimize any potential impact on the Charity should any

of these risks materialize.

Reserves Policy

The Managing Trustees have examined the Charity's requirement for reserves in light of the main

risks to the organization. It has established a policy whereby the unrestricted funds held by the

Charity should be a minimum of 3 months of the unrestricted expenditure of Hyderi only. This

equates to approximately £90,559 (2018: £81,618)

Plans for the future

The Charity will continue to focus on promoting the advancement of the Islamic religion among the

Muslims of the Shia Ithna‐Ashri faith. It will also continue to improve the facilities provided at

Hyderi.

Statement of Trustees' Responsibilities

The Trustees are responsible for preparing the Trustees' report and the 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 & Wales requires the Trustees to prepare financial

statements for each financial year which give a true and fair view of the state of affairs of the Charity

and of the incoming resources and application of resources of the Charity for that period. In

preparing these financial statements, the Trustees are required to:

‐ Select suitable accounting policies and then apply them consistently

‐ Observe the methods and principles in the Charities SORP;

‐ Make judgments and estimates that are reasonable and prudent;

‐ Prepare the financial statements on a going concern basis unless it is inappropriate to presume

that the Charity will continue to operate in the future.

‐ State whether applicable UK Accounting Standards have been followed, subject to any material

departures disclosed and explained in the financial statements;

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 Charity (Accounts and Reports)

Regulations and the provisions of the trust deed. They are also responsible for safeguarding the

assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud

and other irregularities.

Disclosure of information to auditors

Each of the trustees has confirmed that there is no information of which they are aware which is

relevant to the audit, but of which the auditor is unaware. They have further confirmed that they

have taken appropriate steps to identify such relevant information and to establish that the auditors

are aware of such information.

Auditors

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A resolution will be proposed at the Annual General Meeting that Fairman Davis be re‐appointed as

Auditors of the Charity.

Approved by the Managing Trustees and signed on its behalf by:

Secretary: Mohsin Asaria

Date: 21 October 2020

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INDEPENDENT AUDITORS' REPORT TO THE TRUSTEES OF THE KHOJA SHIA ITHNA‐ASHRI

(SOUTH LONDON) JAMAAT (HYDERI ISLAMIC CENTRE) FOR THE YEAR ENDED 31 DECEMBER 2019

We have audited the financial statements of The Khoja Shia Ithna‐Ashri (South London) Jamaat for

the year ended 31 December 2019 which comprise the statement of financial activities, statement of

financial position, statement of cash flows and the related notes. The financial reporting framework

that has been applied in their preparation is applicable law and the United Kingdom Accounting

Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102 ''The

Financial Reporting Standard applicable in the UK and Republic of Ireland''.

This report is made solely to the charity's trustees, as a body, in accordance with Section 144 of the

Charities Act 2011 and regulations made under Section 154 of that Act. Our audit work has been

undertaken so that we might state to the charity'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 charity and the charity's trustees as a

body, for our audit work, for this report, or for the opinions we have formed.

Respective Responsibilities of Managing Trustees and Auditors

As explained more fully in the trustees' responsibilities statement, the trustees are responsible for

the preparation of the financial statements and for being satisfied that they give a true and fair view.

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in

accordance with regulations made under section 154 of that Act. Our responsibility is to audit and

express an opinion on the financial statements in accordance with applicable law and International

Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing

Practices Board's Ethical Standards for Auditors.

Scope of the audit of the financial statements

An audit involves obtaining evidence about the amounts and disclosures in the financial statements

sufficient to give reasonable assurance that the financial statements are free from material

misstatement, whether caused by fraud or error. This includes an assessment of: whether the

accounting policies are appropriate to the Charity's circumstances and have been consistently

applied and adequately disclosed; the reasonableness of significant accounting estimates made by

the trustees; and the overall presentation of the financial statements. In addition, we read all the

financial and non‐financial information in the trustees' report to identify material inconsistencies

with the audited financial statements and to identify any information that is apparently materially

incorrect based on, or materially inconsistent with, the knowledge acquired by us in the course of

performing the audit. If we become aware of any apparent material misstatements or

inconsistencies we consider the implications for our report.

Opinion on financial statements

In our opinion the financial statements:

give a true and fair view of the state of the Charity's affairs as at 31 December 2019 and of

its incoming resources, and application of resources, for the year then ended;

have been properly prepared in accordance with United Kingdom Generally Accepted

Accounting Practice applicable to smaller entities and

have been properly prepared in accordance with the Charities Act 2011.

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Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities Act 2011 requires

us to report to you if, in our opinion:

the information given in the Trustees' report is inconsistent in any material respect with the

financial statements; or

sufficient accounting records have not been kept; or

the financial statements are not in agreement with the accounting records and returns; or

we have not received all the information and explanations we require for our audit; or

certain disclosures of trustees remuneration specified by law are not made.

ABDUL VIRJI (Senior Statutory Auditor)

For and behalf of

Fairman Davis

Chartered Accountants & Statutory Auditors

Unit 6

Exhibition House

Kensington

London

W14 8XP

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THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON ) JAMAAT (HYDERI ISLAMIC CENTRE)STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2019

Fixed 2019 2018General Burial Assets Restricted Total TotalFunds Fund Fund Funds Funds Funds

£ £ £ £ £ £

Incoming ResourcesDonations 230,965 - - 52,227 283,192 345,293 Membership Subscriptions 44,606 - - - 44,606 42,683 Burial Subscriptions - 35,700 - - 35,700 27,260 Fees Received 150,574 - - - 150,574 139,418 Grants 152,585 - - - 152,585 189,964 Investment Income (Rents Receivable) 89,753 - - - 89,753 84,747

Total Incoming Resources 668,483 35,700 - 52,227 756,410 829,365

Resources ExpendedCharitable Activities (568,435) (6,013) - (56,552) (631,000) (647,063) Governance Costs (3,000) - - - (3,000) (3,811)

Total Outgoing Resources (571,435) (6,013) - (56,552) (634,000) (650,874)

Net Incomingresources before transfers 97,048 29,687 - (4,325) 122,410 178,491 Transfer from restricted funds (1,948) - - 1,948 - -

Net Movement in Funds 95,100 29,687 - (2,377) 122,410 178,491

Other recognised gains and lossesGain/(loss) on investments - - - - - -

Balances at 1st January 2019:General Funds 2,619,362 - - - 2,619,362 2,462,745 Designated Funds : Burial Fund - 135,920 - - 135,920 120,104 Property Fund - - 921,515 - 921,515 921,515 Investment Property Fund - - 224,451 - 224,451 224,451 Fixtures & Fittings Fund - - 99,831 - 99,831 99,831

Restricted Funds - - - 9,478 9,478 3,420

Balances at 31st December 2019 2,714,462 165,607 1,245,797 7,101 4,132,967 4,010,557

The notes on pages 13 to 19 form a part of these financial statements

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THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON ) JAMAAT (HYDERI ISLAMIC CENTRE)STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2019

Note 2019 2018£ £

Tangible Fixed Assets 4Freehold Property 1,076,701 1,076,701 Leasehold Land 152,900 158,400 Fixtures & Equipment 41,834 44,971 Hearse - 135

1,271,435 1,280,207

Fixed Asset Investments 5 2,590,101 2,590,101

3,861,536 3,870,308

Current AssetsCash and bank balances 450,287 222,591 Debtors 6 5,400 77,169

455,687 299,760

Creditors : Amounts falling duewithin one yearAccruals and Creditors 7 (62,856) (32,611)

Net Current Assets 392,831 267,149

Total assets less Current Liabilities 4,254,367 4,137,457

Creditors: Amounts falling due after more than one yearS.C.I. Funerals Limited 8 (121,400) (126,900)

Net Assets 13 4,132,967 4,010,557

Unrestricted Funds Designated Funds : Freehold Property 921,515 921,515 Investment Property Fund 224,451 224,451 Fixtures & Fittings 99,831 99,831

Designated Fixed Assets Funds 9 1,245,797 1,245,797

Designated Burial Fund 10 165,607 135,920

General Funds 2,714,462 2,619,362

Total Unrestricted Funds 12 4,125,866 4,001,079

Restricted Funds 11 7,101 9,478

Total Funds 4,132,967 4,010,557


The financial statements were approved by the Managing Trustees and signed on their behalf by :

President: Dr Hassanali Dewji Treasurer: Salim Master

Date : 21 October 2020

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THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON ) JAMAAT (HYDERI ISLAMIC CENTRE)CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2019

2019 2018£ £

Cash flows from operating activitiesNet income for the year 122,410 178,491 Adjustments for:Rents from investments (89,753) (84,747) Interest received - - Depreciation 16,093 12,977 (Increase) in debtors 71,769 (69,522) (Decrease)/Increase in creditors 24,744 (40,716)

Net cash inflows/(outflows) from operating activities 145,263 (3,517)

Cash flows from investing activitiesRents from investments 89,753 84,747 Purchase of fixed assets (7,320) (8,391) Interest received - -

Net cash inflow from investing activities 82,433 76,356

Change in cash and cash equivalents in the year 227,696 72,839

Cash and cash equivalents at beginning of year 222,591 149,752

Cash and cash equivalents at end of year 450,287 222,591

2019 2018£ £

Cash at bank and in hand 450,287 222,591

450,287 222,591


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THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON) JAMAAT

(HYDERI ISLAMIC CENTRE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019

1. General information

The Charity is a registered Charity in England and Wales and is unincorporated. The address of the

Charity is 26 Estreham Road, London, SW16 5PQ.

2. Statement of compliance

The financial statements have been prepared in accordance with Accounting and Reporting by

Charities: Statement of Recommended Practice applicable to charities preparing their accounts in

accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS

102) (effective 1 January 2015) - (Charities SORP (FRS 102)) and the Financial Reporting Standard

applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011

The charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are

initially recognised at historical cost or transaction value unless otherwise stated in the relevant

accounting policy note(s).

3. Accounting Policies

3.1 Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the

revaluation of investment properties measured at fair value through income or expenditure. The

financial statements are prepared in sterling, which is the functional currency of the entity.

3.2 Going concern

There are no material uncertainties about the Charity's ability to continue for the foreseeable future.

3.3 Aggregate Accounts and Related Activities

The aggregate accounts include the results of the financial activities of Hyderi Jamaat, Hyderi

Nursery School and Hyderi Islamic School prepared to 31 December each year. An aggregate

Statement of Financial Activities, Statement of Financial Position and Cash Flow Statement at the

year end has also been prepared.

3.4 Freehold Land and Properties

Hyderi follows a regular programme of refurbishment and maintenance of its freehold property

which includes where necessary, the reinstatement of the fabric of the building in order to prolong

its useful life without determinable limit. Such expenditure with the exception of an element of

improvements is charged to the income and expenditure account in the year in which it is incurred.

Accordingly, the Trustees consider that the life of the freehold property is such that its depreciation

is not significant. Freehold land is not depreciated.

3.5 Leasehold Land

This is an 80-year lease acquired on a plot In Section 2 of Rowan Road Cemetery of 236 reserved

graves at £1,100 each at a total cost of £259,600. This is being depreciated at the rate of £1,100 per

burial that takes place each year or a minimum of five burials. The cost of the land and the related

liability has been reflected in the financial statements.

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3.6 Other Tangible Fixed Assets

Other tangible fixed assets are stated at historical cost or valuation less depreciation. Depreciation is

provided on all other tangible fixed assets at rates calculated to write off the cost, less estimated

residual values of each asset over its expected useful life as follow

Fixtures and Equipment: 20 to 25% per annum by the reducing balance method.

Hearse : 25% per annum by the reducing balance method.

3.7 Donated Tangible Assets

Donated tangible assets which can be valued are included in the financial statements at their

estimated market value. Donated tangible assets that are impractical to value are not included in the

financial statements.

3.8 Stock

Stock consists of books and toys. The financial statements do not include any stock of books and toys

as these are replaced continuously. All costs are charged as expenses when incurred.

3.9 Disbursements and Resources Expended

The disbursements of various funds received were made according to the Islamic laws, with the

guidance and permission of our Marjah and as per the constitution of the Charity. Management and

administration costs are those incurred in connection with governance and administration of the

Charity and compliance with constitutional and statutory requirements.

3.10 Investment Properties

Investment property is included in the Statement of Financial Position at open market value. The

value is generally established by reference to independent 3rd party valuations obtained by the

Trustees. A full valuation was carried out in December 2017.

3.11 Restricted Funds

Restricted funds are funds which have restrictions imposed by the donors. These can only be utilized

in accordance with the donors' wishes and are not available for any other use. Restricted funds also

include amounts collected as agents.

3.12 Designated Funds

Designated funds are funds which have been set aside or utilized for a specific purpose and are not

available for general use. Some designated funds can be recognized as income over a period, and

these are shown in the movement of funds and in the income and expenditure account.

3.13 Income

These comprise income which is accounted for in the period in which it is received. Grants and Gift

Aid are recognised when receivable and subscriptions for membership are recognised when

received. Gift Aid received is treated as unrestricted income and utilised against the support costs of

the charity.

All income is included gross and related expenditure is included as expenditure.

Investment income is included in the accounts on an accrual’s basis.

3.14 Deferred Income

Deferred Income is recognised in the period to which it relates.

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3.15 Expenditure

Costs of generating funds are those costs incurred in furthering the name and objects of the charity.

Governance comprises the costs of compliance with constitutional and statutory requirements and

costs related to the strategic management of the charity.

Support costs are costs which are common to a number of activities and are charged to activities on

the basis of a proportion of the use of the resource to the charitable activity.

In accordance with the Charities SORP (FRS 102), the general volunteer time of members and

trustees is not recognised. The Trustees’ annual report includes more information about their

contribution.

3.16 Donated Services

No amounts are included in the financial statements for services donated by volunteers because

these amounts cannot be quantified with reasonable accuracy.

3.17 Support cost

The number of staff involved in an activity is deemed to be the appropriate basis for allocating

support costs as it closely reflects the resources usage of the support functions of the core activities.

3.18 Taxation

As the Charity is not registered for VAT, all costs shown are inclusive of VAT. No provision has been

made for corporation or deferred tax as Hyderi is a registered charity and exempt from tax.

3.19 Financial instruments

The Charity has no Financial Instruments.

3.20 Pensions

Employees of the Charity are entitled to join a defined contribution. The charity contribution is

restricted to the contributions disclosed in note 16. There were no outstanding contributions at the

year end. The costs of the defined contribution scheme are included within staff costs.

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THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON ) JAMAAT (HYDERI ISLAMIC CENTRENOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019

2 GOVERNANCE COSTS2019 2018

£ £Auditors' remuneration 3,000 3,811

3 TRUSTEES

The trustees received no remuneration for services provided to Hyderi (2018: None)No trustees received reimbursement for costs for attending meetings or travelling costs in the year (2018: None)

4 TANGIBLE FIXED ASSETSFreehold Leasehold Fixtures &Property Land Equipment Hearse Total

£ £ £ £ £Cost or valuation :As at 1 January 2019 632,478 259,600 362,422 4,000 1,258,500 Additions - - 7,320 - 7,320 Disposals - - - (4,000) (4,000) As at 31 December 2019 632,478 259,600 369,742 - 1,261,820

Depreciation : As at 1 January 2019 - 101,200 317,451 3,865 422,516 Charge for the year - 5,500 10,458 135 16,093 Disposals - - - (4,000) (4,000) As at 31 December 2019 - 106,700 327,909 - 434,609

Net Book Value :As at 31 December 2019 632,478 152,900 41,834 - 827,211

As at 31 December 2018 632,478 158,400 44,971 135 835,984

5 FIXED ASSET INVESTMENTS

(a) Investment Properties 2019 2018£ £

Market value at 1 January 2,590,000 2,590,000 Market value at 31 December 2,590,000 2,590,000

The investment properties were revalued by an independent professional valuer and are reflected accordingly in the accounts

(b) Investments2019 2018

£ £Hyderi Nursery Ltd 100 100 Hyderi Islamic School 1 1 Market value at 31 December 101 101

2019 20186 DEBTORS £ £

Other Debtors 5,400 3,628 Prepayments and accrued income - 73,541

5,400 77,169

7 CREDITORS: Amounts falling due 2019 2018within one year £ £Sundry Creditors & Accrued expenses 16,617 22,771 Deferred Income 40,739 4,340 SCI Funerals Limited (Note 8) 5,500 5,500

62,856 32,611

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THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON ) JAMAAT (HYDERI ISLAMIC CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019

8 CREDITORS : Amounts falling due

after more than one year 2019 2018£ £

SCI Funerals LimitedTotal balance at 1 January 132,400 144,500 Payments in the year (5,500) (12,100) Balance at 31 December 126,900 132,400 Less: Due within one year (Note 7) (5,500) (5,500) Balance due over one year at 31 December 121,400 126,900

9 DESIGNATED FIXED ASSET FUNDS Freehold Investment Fixtures & Property Properties Equipment Total

£ £ £ £Balances as at 1 January 2019 921,515 224,451 99,831 1,245,797 Balances as at 31st December 2019 921,515 224,451 99,831 1,245,797

10 DESIGNATED BURIAL FUND 2019 2018£ £

Balance as at 1 January 135,920 120,104 Received during the year 35,700 27,260 Payments for burials of scheme members (6,013) (11,444) Balance at 31 December 165,607 135,920

11 RESTRICTED FUNDSBalance Balance

01.01.2019 Receipts Payments Transfers 31.12.2019£ £ £ £ £

Internal - Hyderi 4,855 12,331 (16,599) (2,142) (1,555)

External 4,623 39,896 (39,953) 4,090 8,656

Total Restricted Funds 9,478 52,227 (56,552) 1,948 7,101

Balance Balance01.01.2018 Receipts Payments Transfers 31.12.2018

£ £ £ £ £Internal - Hyderi 5,624 58,360 (61,129) 2,000 4,855

External (2,204) 51,779 (44,952) - 4,623

Total Restricted Funds 3,420 110,139 (106,081) 2,000 9,478

The above Restricted Funds can only be utilised in accordance with the donors wishes and not for any other use. The balance at the year end is shown separately as restricted funds on the Statement of Financial Position. Most of the external restricted funds are remitted through The Council of European Jamaats (Note 17).

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THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON ) JAMAAT (HYDERI ISLAMIC CENTRE)NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2019

12 MOVEMENTS ON UNRESTRICTED FUNDS

Balances Balancesat at

01.01.2019 Income Expenses Transfers 31.12.2019

£ £ £ £ £ £General Fund 2,462,745 667,332 (571,435) - - 2,558,642

Designated Funds :

Freehold Property 921,515 - - - - 921,515 Investment Property 224,451 - - - - 224,451 Fixtures & Equipment 99,831 - - - - 99,831 Burial Fund 120,104 35,700 (6,013) - - 149,791

Total Unrestricted Funds 3,828,646 703,032 (577,448) - - 3,954,230

13 ANALYSIS OF NET ASSETS BETWEEN FUNDS

Net Long TotalTangible Investment Current Term Net

Assets Properties Liabilities Liabilities Funds

£ £ £ £ £Designated Funds : Property Fund 921,515 - - - 921,515 Investment Property - 224,451 - - 224,451 Fixtures & Equipment 99,831 - - - 99,831 Burial Fund 165,607 - - - 165,607

General Funds 2,443,031 - 392,831 (121,400) 2,714,462

Restricted Funds 7,101 - - - 7,101

Total net assets 3,637,085 224,451 392,831 (121,400) 4,132,967

14 ANALYSIS OF GENERAL FUNDS BY ACTIVITIES2019

Hyderi Hyderi Hyderi Islamic TotalJamaat Nursery School Funds

£ £ £ £Incoming ResourcesDonations 217,537 - 26,823 244,360 Membership Subscriptions 44,606 - - 44,606 Fees Received - 88,520 47,508 136,028 Grants - 152,585 - 152,585 Rents Receivable 89,753 - - 89,753 Bank Interest - Total Incoming Resources 351,896 241,105 74,331 667,332

Resources ExpendedDirect charitable expenditure (359,235) (145,487) (54,559) (559,281) Support & Governance Costs (3,000) (4,747) (4,407) (12,154)

Total Outgoing Resources (362,235) (150,234) (58,966) (571,435)

Net Incoming/(Outgoing) Resources before transfers as above (10,339) 90,871 15,365 95,897

Gain / loss on investments

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15 Staff Numbers

2019 2018The average monthly number of employees:

Management 1 1Preaching & Lecturing 1 1Nursery Staff 14 6

16 8

16 Staff Costs 2019 2018£ £

Restated*Wages and salaries 176,061 146,312Social security costs 5,941 4,333Other pension costs 2,080 1,173

184,082 151,818

*Social security and Other pensions restated due to incorrect allocation

17 Related Party TransactionsHyderi is a member of a regional council, The Council of European Jamaats (COEJ), which represents Hyderi at the global level through The World Federation of Khoja Shia Ithna-Ashri Muslim Communities. Both these Charities are registered with the Charities Commission in the UK and represent Hyderi when dealing with international aid and relief work.Most of the external restricted funds collected by Hyderi are channelled through COEJ. During the year, the external restricted funds of £34,339 (2018 - £44,952 ) were remitted to COEJ.

Staff costs have been allocated to direct charitable expenses on the basis of number of direct staff supported during the year. No employee received remuneration amounting to more than £60,000 in either year

A number of individuals are employed or provide their services to the Charity at arms length. Some of these individuals are either directly or indirectly related to the trustees by being members of the same family.

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THE KHOJA SHIA ITHNA-ASHRI (SOUTH LONDON) JAMAAT ...

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