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Charity registration number; 292677
Lakshmi Narayana Trust
Annual Report and Financial Statements
for the Year Ended 31 December 2016
Tahas & Co LtdCertified Accountants & Tax AdvisorsSuite 3, Second Floor760 Eastern Avenue
blewbury ParkLondonIG2 7HU
Lakshmi Narayana Trust
Contents
Reference and Administrative Details
Trustees' Report 2 to 4
Statement of Trustees' Responsibilities
Independent Auditors' Report 6 to 7
Statenrent of Financial Activities
Balance Sheet
Cash Flow Statement 10
Notes to the Financial Statements 11 to 21
Lakshmi Narayana Trust
Reference and Administrative Details
Trustees
Principal Office
Charity Registration Number
Dr Radhakrishnan V, President
Mr A Rengamannar, Chairman
Mr S Thayalasamy, Vice President
Mr S Vijayakumar, Treasurer
Mr K Sivarupan, General Secretaiy
Mr Sethuraman S, Asst Secretaiy
Mr Krishnan Sreenivasan, Vice Chaiiman
Mr S Subburam, Vice Chauman
Mr Navaneethakrisluian Raju, Asst Treasurer
Mr V.N. Alagirisamy, Senior Trustee
Mr S Seetharaman, Public Relations Officer
Mr R Mohanapmkas, Temple Office Manager
Mrs Kumari Selliappan, Cultural Secretary
Mr J Thiyagarajan, Communications
Mr R Kannan, Communications
Mr M Sutharsanan, Communications
241 High Street North
East Ham
LondonE12 6SJ
292677
Bankers
Auditor
Bank of ScotlandSt James's Gate14-16 Cockspur StreetLondonSWIY 5BL
HSBC9 Wellesley RdCroydouSurreyCR9 2AA
Barclays BankPlaistowLeicesterLES7 2BB
Tahas & Co LtdCertified Accountants & Tax AdvisorsSuite 3, Second Floor760 Eastern AvenueNewbury ParkLondonIG2 7HU
Page I
Lakshmi Narayaua Trust
Trustees' Report
Objectives and activities
The trustees hold the trust fuud aud its income upon trust to apply theni for the religious aud charitable purposes
for the benefit of the community at large. The objects of the trust are as fofiows
Religious Service
~ To advance Hindu religion particularly by pronioting religious and cultural activities~ To establish, secure or build a temple of Sri Mahalaksluni and Sri Narayana, strictly confirming to Hindu
temple arclutecture ( hereinafier called 'The Temple') and maintain and manage the same ( whether alone or in
co-operation with any local authority or other person or body) in furtherance of these objects.
Health Service
Organising sickness relive programmes particularly by provision of periodical health screening services for the
people over the age of 40, in order to detect disease at an early stage especiafiy again='. h —rt ruack, high blood
pressure and diabetes mellitus.
Cultural and Educational Service
' To bund a cultural and educational centre' To provide a library with usual and educational books and magazines' To provide education aad other necessary assistance to people with language problems due to lack of English knowledge.
' To provide voluntary help to the elderly and handicapped people.
Teaching of Indian classical dance (Bharatha Nattiyam), vocal classes and instrumental music classes
The policy of the trust continues to be to seek, support and provide for the aims as stated.
Developments, activities and achievements
In line with the charity's objectives, Lakshmi Narayan Trust continues to provide a centre for the community to
gather for worship. Languages and music lessons have continued throughout the year. The number of devotees
visiting temple has steadily increased. Planning pernfission has been granted to build a spacious centre for the
purpose of religious services and promotion of cultural, educational services for children, teaching music,
bharat- nattiyam, Hinduism, conductiug yoga and meditation classes, "Bhagavath Geetha" classes, health
promotion services for screening and prevention of coronary heart disease, diabetes, hypertension and
annadhanam services to students and devotees ( daily provision of free lunch and dinuer).
Financial Review
The level of income for the year remained satisfactory and enable the trust to support its level of activities on its
charitable activities. The charitable income during the year has increased by f605,472, an increase of 37.75%when compared to 2015. Available funds are sufficient to permit the trust to continue its operation in the future.
The charity continues to prosper through donations and support from the community. One of the objectives ofthe charity to build a new temple is nearly on its completion stage. The trustees feel that with the support they
get &om their communities, both locafiy and internationally, it is benefiting to carry out all of its charitable
activities. The charity is in a strong financial position at the year end fioni which it is able to meet all
foreseeable charitable obligations and completion of new temple building works.
Going ConcernPage 2
Lakshmi Narayaua Trust
Trustees' Report
The nustees are concerned about the net assets position of the charity. The trustees and private individuals have
been given assurances to provide cash flow if the tmst needs it in tenn of loans. The charity has agreed a long
tenn loan of g3,222, 069 afler the year end, this should pay-off the old bank loan and private loans. The trustees
feel that income generated on a monthly basis is sufficient to pay the cunent liabilities, as per cash flow
forecasts and management account.
Reserves policy & risk analysis
The committee has examined the charity's requirements for reserves in light of the maiu risks to the charity. The
reserve policy is to hold adequate level of funds to enable the tmst to carry out its operations, to meet the
financial obligations and to meets its charitable obligations. The attached financial statements show the cunent
state of affairs of the finances, which the committee believes are needed to meet the working capital
requirenients of the charity and the committee is confident that at this level they would be able to continue the
current activities of the charity in the event of a significant drop in funding.
The committee has conducted a review of the major risks to which the charity is exposed. A risk register has
been established and is updated at least aunually. Where appropriate, systems or procedures have been
established to mitigate the risks the charity faces. Internal control risks are minimised by the implementation ofprocedures for authorisation of all trausactions and projects. Procedures are in place to ensure compliance with
health and safety of staff, voluuteers, clients and visitors to the centre. These procedures are continually
reviewed to ensure that they continue to meet the needs of the charity.
Public benejit
The trustees confirm that they have complied with the requirements of section 4 of the Charities Act 2011 to
have due regard to the public benefit guidance published by the Charity Conunission for England and Wales.
Social iii vestment policies
The Trustees confinn that they have complied with the requirements of section 4 of the Charities Act 2011 to
have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
Page 3
Lakshmi Narayaua Trust
Trustees' Report
Structure, governance and management
The charity's objects and regulations are regulated by the constihition dated 23 August 1985. The charity has a
management committee which consists of 16 trustees. The tnistees who have served during the year are named
on page I. Out of the 16 trustees, 3 trustees are appointed as custodians of the charity valuable stocks. Any
changes in the appointment and retirement of hustees will be discussed in a committee meeting and the final
decision will be depending upon majority vote under the trust constitution. All the trustees have to be UK citizen
or permanent residents of UK Indian origiu. The 3 custodian hustees during the year were:
~ Dr Radhakrishnan V, President~ Mr S. Vijayakumar, Treasurer and~ Mr K. Sivarupan, General Secretary
Meetuigs of the trustees are held every three months at which they agrees the board strategy and areas of activity
for the trust, including the consideration of grant making, reserves and risk management policies and
performance. A scheme of delegation is in place for the day to day administration of the trust. The service
manager is responsible for the day to day operational management of the centre, individual supervision of the
staff team and also ensuring that the team continue to develop their skills and working practices in line with
good practice. The president is responsible for ensuring that the charity delivers the services specified and also
overseeing the work services, finance and administration staff.
New trustees are considered for appointment afier open selection and recommendation throughout the
community and taking into account the skill requirements of the trustee body. Duc m rh. vast nature ofcharitable activities, the committee seeks to ensure that the needs of all groups are appropriately reflected
through the diversity of the trustee body. In order to enhance the potential pool of trustees, the charity has,
through selective advertising on the charity's newsletter, notice board, activities etc. sought to identify the
appropriately skilled individuals who would be willing to become members of the committee and use their own
skills and experiences to assist the charity.
Once appointed, new trustees are invited and encouraged to attend a series of short training sessions (of no more
than an hour) to familiarise themselves with the charity and context within which it appears. These are jointly
led by the chairman and the president of the committee and cover:~ The obligation of committee members~ The main documents which set out the operational fiameworks fot the charity~ Resourcing and the current financial position as set out in the latest accounts~ Future plans and objectives.
Disclosure of information to auditor
Each trustee has taken steps that they ought to have taken as a trustee in order to make themselves aware of any
relevant audit information and to establish that the charity's auditor is aware of that information. The trustees
confirm that there is no relevaut information that they know of and of which they know the auditor is unaware.
The annual report was approved by the trustees of the charity on~. .'.'. I.".'. ...z.... and signed on its behalf by:
Dr Radhakrishnan V, President
Trustee
Page 4
Lakshmi Narayaua Trust
Statement of Trustees' Responsibilities
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with the
United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and
applicable law and regulations.
The law applicable to charities 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 aud of the incoming resources and application ofresources 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 judgements and estunates that are reasonable and pmdent;
state whether applicable accounting standards have been followed, subject to any material departures
disclosed and explained in the financial statements; and
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the
charity will continue iu 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 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. The trustees 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.
Approved by the trustees of the charity on~. ..I at Q'. .( pand signed on its behalf by:
Dr Radhakrishnan V, PresidentTrustee
Page 5
Lakshmi Narayana Trust
Independent Auditors' Report to the Members of Lakshmi Narayana Trust
We have audited the financial statements of Lakshmi Narayana Tmst for the year ended 31 December 2016,which comprise the Statement of Financial Activities, Balance Sheet, Cash Flow Statement and the relatednotes. The financial reporting &amework that has been applied in their preparation is applicable law and
Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective I Januaiy
2015) - (Charities SORP (FRS 102)).
This report is made solely to the charity's trustees, as a body, in accordance with section 144 of the Charities Act2011 and regulations made under section 154 of that Act. Our work has been undertaken so that we might stateto the trustees those matters we are required to state to trustees ui 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 thecharity and its trustees as a body, for our audit work, for this report, or for the opinions we have formed.
Respective responsibilities of trustees and auditorsAs explained more fully in the Statement of Tnistees' Responsibilities (set out on page 5), the trustees areresponsible for the preparation of the financial statements and for being satisfied that they give a true and fairview. We have been appointed as auditors under section 144 of the Charities Act 2011 and repoit in accordancewith regulations made under section 154 of that Act. Our responsibility is to audit the financial statements in
accordance with applicable law and International Staudards ou Auditing (UK and Ireland). Those standardsrequire us to comply with the Auditing Practices Board's (APB'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 togive reasonable assurance that the financial statements are free from material misstatement, whether caused byfiuud or error. This includes an assessiuent of: whether the accounting policies are appropriate to the charity'scircumstances 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 to identify material inconsistencies with theaudited financial statements and to identify any information that is apparently materially inconect based on, ormaterially inconsistent with, the knowledge acquired by us iu the coutue of performing the audit. If we becomeaware of auy apparent material nnsstatements or inconsistencies we consider the implicatious for our report.
Page 6
Lakshmi Narayaua Trust
Independent Auditors' Report to the Members of Lakshmi Narayana Trust
Opinion on the financial statements
In our opinion the financial statements:
give a tme and fair view of the state of the charity's affairs as at 31 December 2016 and of its incoming
resources and application of resources, including its income and expenditure, for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;and
have been prepared in accordance with the requirements of the Charities Act 2011.
Matters on which we are required to rcport by exceptionWe have nothing to report in respect of the following matters where the Charities Act 2011 requires us to reportto you if, in our opinion:
the information given in the Trustees' Report is not consistent with the financial statements; or
the charity has not kept sufficient accounting records; or
the financial statements are not in agreement with the accounting records and returns; or
we have not received all the inforniation and explanations we require for our audit.
Poonawala (Senior Statutory Auditor)For and on behalf of Tahas St Co Ltd, Statutory Auditor
Suite 3, Second Floor760 Eastern AvenueNewbuty ParkLondonIG2 7HU
&a l I o i 1 ~
Page 7
Lakshmi Narayana Trust
Statement of Financial Activities for the Year Ended 31 December 2016
Unrestricted Totalfunds 2016
Note
Total2015
f.
Income and Endowments from:Donations and legacies 2 2,208,961 2,208,961 1,603,489
Expenditure on:Charitable activities
Total Expenditure
Net movement in fimds
Reconciliation of funds
Total funds brought forward
Total funds can ied forward
4,820,090 4,820,090
14 6,128,787 6,128,787
3 7900,264) ~900.264)
(900,264) (900,264)
1,308,697 1,308,697
(492,473)
~492.473)
1,111,016
3,709,074
4,820,090
Att of the charity's activities derive from continuing operations during the above two periods.
Page 8
Lakshmi Narayana Trust
(Registration number: 292677)Balance Sheet as at 31 December 2016
Note2016 2015
Fixed assets
Tangible assets 8 6,282,231 4,875,142
Current assets
Stocks
Debtors
Investinents
Cash at bank and in hand
910
11
1,503
48, 122
36,03941,981
1,012
321,621
64,999359,700
Creditors: Amounts falling due within one year
Net current (liabilities)/assets
Total assets less current liabilities
127,645 747,332
12 ~1,587,476) ~(543.674
~(1,459,831 263.658
4,822,400 5,078,800
Creditors: Amounts falling due after more than one year 13 (1,411,528) (1,370,828)
Net assets
Funds of the charity:
Unrestricted income funds
Unrestricted funds
Revaluation reserve
Total unrestricted funds
Total funds
3,410,872 3,707,972
6, 128,787 4,820,090
~2.7(7.9(5) ~((,((2, )(8
3,410,872 3,707,972
14 3,410,872 3,707,972
The financial statements on pages 8 to 21 were approved by the trustees, and authorised for issue on
:1)2.'.L'3. .. and signed on their behalf by:
Dr Radhakrishnan V, PresidentTrustee
a. II,.Mr K Sivarupan, General cretaryTrustee
Mr A Rengamannar, Chairman
TrusteeMr S VijayaTrustee
ar, reasurer
Page 9
Lakshmi Narayana Trust
Cash Flow Statement for the Year Ended 31 December 2016
Cash flows from operating activities
Net cash income
Adjustments to cash flows from non-cash items
Depreciation
Revaluation of investments
2016Note f
1,308,697
194,101
28,960
1,531,758
2015f
1,111,016
103,50919,908
1,234,433
Working capital adjustments
Increase in stocks
Decrease in debtors
Increase/(decrease) in creditors
910
12
(491)273,499
7,731
(27)116,222
(45)
Net cash flows from operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
1,812,497 1,350,583
8 (3,206,988) (1,515,070)
Cash flows from financing activities
Repayment of loans and borrowings
Net (decrease)/increase in cash and cash equivalents
Cash and cash equivalents at I January
Cash and cash equivalents at 31 December
12, 13 1,076,771
(317,720)
359,700
41,980
447,501
283,014
76,686
359,700
Afl of the cash flows are derived &om continuing operations during the above two periods.
Page 10
Lakshmi Narayana Trust
Notes to the Financial Statements for the Year Ended 31 December 2016
1 Accounting policies
Statement of complianceThe financial statements have been prepared in accordance with Accounting and Reporting by Charities:
Statement of Reconuuended 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 I January
2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the VK and Republic ofIreland (FRS 102) and the Charities Act 2011.
Basis of preparationLakstuni Narayaua Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are
initially recognised at historical cost or transaction value unless othetwise stated in the relevant accountiug
policy notes.
Going concernThe trustees are concerned about the net assets position of the charity. The trustees and private individuals have
been given assurances to provide cash flow if the trust needs it in term of loans. The charity has agreed a long
term loan of 63,222,069 afler the year end, this should pay-off the old bank loan and private loans. The trustees
feel that income generated on a monthly basis is sufficient to pay the current liabilities, as per cash flow
forecasts and management account.
Transition to FRS 102Iu preparing the accounts, the trustees have considered whether in applying the accounting policies required by
FRS 102 and the Charities SORP FRS 102 a restatement of comparative items was required. No restatements
are required as a result of the transition to FRS 102.
Income and endowments
Voluntary income including donations, gifls, legacies and grants that provide core funding or are of a general
nature is recognised when the charity has entitlement to the income, it is probable that the income will be
received and the amount can be measured with sufficient reliability.
Dottatiotts and legacies
Donations and legacies are recognised on a receivable basis when receipt is probable and the amount can be
reliably measured.
ExpenditureAfl expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable
settlement is required and the amount can be measured reliably. All costs are allocated to the applicable
expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to
particular headings they have been allocated on a basis consistent with the use of resources, with central staff
costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset's use.
Other support costs are allocated based on the spread of staff costs.
Cbantable activities
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.
Page 11
Lakshmi Narayana Trust
Notes to the Financial Statements for the Year Ended 31 December 2016
Governance costsThese include the costs attributable to the charity's compliance with constitutional and statutory requirements,
including audit, strategic management and trustees' meetings and reimbursed expenses.
Tangible fixed assets
Individual fixed assets costing f250,000.00 or more are initially recorded at cost, less any subsequent
accumulated depreciation and subsequent accumulated impairment losses.
Depreciation and amortisation
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated
residual value, over their expected useful economic life as follows.
Current asset investments
Current asset investments are included at the lower of cost and net realisable value / market value.
StockStock is valued at the lower of cost and estimated sefiing price less costs to complete and sell, after due regard
for obsolete and slow moving stocks. Cost is determined using the first-in, first-out (FIFO),
Trade debtorsTrade debtors are amounts due fiom HMRC for giA aid donations submitted during the year.
They are recognised initially at the transaction price. They are subsequently measured at amortised cost using
the effective interest method, less provision for impairment. No impairment provision was needed during the
year as the receivables were received aAer the yearend.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid
investments that are readily convertible to a known amount of cash and are subject to an insignificant risk ofchange in value.
BorrowingsInterest-bearing borrowings are initially recorded at fair value, net of transaction cost". Interest-bearing
borrowings are subsequently canied at amortised cost, with the difference between the proceeds, net oftransaction costs, and the amouut due on redemption being recognised as a charge to the Statement of Financial
Activities over the period of the relevant bonowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable
and similar charges.
Borrowings are classified as current liabilities unless the charity has an unconditional right to defer seitlement of
the liability for at least twelve months aAer the reporting date.
Fund structureUnrestricted income funds are general funds that are available for use at the trustees' discretion in furtherance ofthe objectives of the charity.
Page 12
Lakshmi Narayana Trust
Notes to the Financial Statements for the Year Ended 31 December 2016
2 Income from donations and legacies
Donations and legacies;
General Donation and congregational activities
Gin aid reclaimed
Unrestrictedfunds
General
1,979,743
229,218
Total2016
1,979,743
229,218
Total2015f
1,438,006165,483
2,208,961 2,208,961 1,603,489
3 Expenditure on charitable activities
Pooja & religious activities
Food for congregation
Management & admin of charity
Staff costs
Governance costs
Note
Unrestrictedfunds
General
143,961
57,057
204,593
285,224
209,429
Total2016
143,961
57,057
204,593
285,224
209,429
Total2015f66,846
37,494
102,394
172,507113,232
900,264 900,264 492,473
4 Analysis of governance and support costs
Governance costs
Audit and accountancy fees
Accountancy fees
Audit fees
Legal fees
Depreciation, amortisation and other similar costs
Uarestrictedfunds
General
1,100
3,500
10,728
194,101
Total2016
1,100
3,500
10,728
194,101
Total2015f
1,100
3,500
5, 123
103,509
209,429 209,429 113,232
Page 13
Lakshmi Narayaua Trust
Notes to the Financial Statements for the Year Ended 31 December 2016
5 Analysis of management & adruin of charity
Management and admin costs
Rent, rates & insurance
Light, heat and power
Repairs and maintenauce
Telephone and fax
Computer software and maintenance
Printing, postage and stationery
Sundry expenses
Cleaning'
Travel and subsistence
Advertising
Bank charges
Bank loan interest
2016
33,364
15,624
32,639
4,741
3,480
10,033
587
5,829
5,074
10,152
8,793
74,276
2015f
12,958
10,930
7,145
1,571
9,340
441
1,899
303
2, 182
9,43846, 187
204,592 102,394
6 Staff costs
The aggregate payroll costs were as follows:
Staff costs during the year were:
Wages and salaries
Social security costs
Pension costs
Other staff costs
2016
266, 146
16,037
4912,550
2015f
165,460
7,047
285,224 172,507
No employee received emoluments of more than f60,000 during the year
Page 14
Lakshmi Narayana Trust
Notes to the Financial Statements for the Year Ended 31 December 2016
7 Taxation
The charity is a registered charity and is therefore exempt from taxation.
8 Tangible fixed assets
Land audbuildings
Furniture andequipment Total
Cost
At I January 2016
Revaluations
Additions
5,066,418
(1,605,797)2,983,043
136,652 5,203,070
(1,605,797)223,945 3,206,988
At 31 December 2016 6,443,664 360,597 6,804,261
Depreciation
At I January 2016
Charge for the year
217,015156,649
110,914 327,929
37,452 194,101
At 31 December 2016
Net book value
At 31 December 2016
At 31 December 2015
373,664 148,366 522,030
6,070,000 212,231 6,282,231
4,849,403 25,738 4,875,141
Included within the market value of land and buildings above is 66,070,000 (2015 - f4,849,403) in respect of
Ireehoid land and buildings.
Details of Freehold Properties
1. 272 High Street, Loudon E12 6SA2. 168 Browning Road, London E12 PB3. 241 High Street North, London E12 6SJ
Page 15
Lakshmi Narayana Trust
Notes to the Financial Statements for the Year Ended 31 December 2016
RevaluationThe fair value of the company's Land and buildings was revalued on 24 March 2017 by an independent valuer.
The properties at 168 Brovming Road & 272 High Street North have been valued by Mr Stuart Jefcoate
(MRICS) of B Bailey & Co Ltd on 9th Januaiy 2017. The properties have been valued by using the comparative
method of valuation. As the two properties are noimal properties, thc recent sale prices of similar properties
nearby have been compared and adjusted to reflect the particular circumstances of thc above properties, The
above properties have been valued at f500,000 and 61,070,000 respectively by the valuers.
Regarding 241 High Street north, the property have been valued by Mr Daniel Sununers (MRICS) of Castles
Surveyors Ltd on 24th March 2017. As this property is the maiu worshipping temple for the devotees, the
property is considered a unique property as very few buildings of this type exist in this area and those that do
will be rarely sold. Hence a different approach to valuation (from the normal market approach using comparable
evidence) needed applying. The most usual method of valuation when dealing with this type of property is to
apply the Depreciated Replacement Cost (DRC) and as per this method of valuation, this property has been
valued at f7,000,000. However if the building were to be sold to an alteniative user, not within the Hindu
community to be used as a place of worship, then it would need to be considered that the prospective buyer
would want to allow for substantial conversion costs and would require a significant discount, possibly aware
that there could be limited competition from other users. As a result, a "Forced Sale Value" needs assessing and
the property has been valued at f4,500,000 under this method. The trustee have taken the view to revalue the
property under the "Forced Sale Value" method and has been revalued at f4,500,000
Had this class of asset been measured on a historical cost basis, their carrying amount would have been
I7,675,797 (2015 - 64,849,403).
9 Stock
Stocks
2016
1,503
2015
1,012
10 Debtors
Trade debtors
Prepayments
VAT recoverable
Other debtors
2016
32,615
8, 189
7,318
2015'E
63,753
4,634
3,234
250,000
48, 122 321,621
Included in the figures of other debtors of f. 250,000 in 2015 was the deposit paid to an Escrow Account of
Ratna and Co solicitors relating to building works cerned out in the consnuction of new temple. The deposit has
since been used to pay for the construction and nothing is receivable.
Page 16
Lakshmi Narayana Trust
Notes to the Financial Statements for the Year Ended 31 December 2016
11 Current asset investments
Gold
All Current assets investments were held in the UK
2016
36,039
2015
64,999
The investment includes donations received from devotees by way of precious metals and jewellery. The
jewellery has been valued by an independent valuer at the year end,
12 Creditors: amounts falling due within one year
Bank loans
Other loans
Other taxation and social security
Other creditors
Accruals
2016f654,462
915,801
1,829
9,384
6,000
2015
527, 192
7,000
(483)
5,565
4,400
1,587,476 543,674
The figures in Bank loans includes f650,000 of flexible loan from Barclays which can be paid as and when
funds are available. The figures in other loans of f915,801 relates to the interest free loans provided by the
donors for the construction of new temple.
The charity has arranged a loan of 63,222,069 from the charity bank Ltd afler the year end, this has paid off the
Barclays bank loan of f2 065 990 and individual interest fiee loans of f915 801.
13 Creditors: amounts falling due after one year
Bank loans
2016
1,411,528
2015f
1,370,828
Creditors amounts falling due afler more than one year has been secured by the charity on the following
properties:
l. 272 High Street, Loudon E12 6SA2. 168 Browning Road, London E12 6PB3. 241 High Street North, East Ham, London E12 6S1
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Lakshmi Narayana Trust
Notes to the Financial Statements for the Year Ended 31 December 2016
2016
14 Funds
Balance at IJanuary 2016
f
Incomingresources
Balance at 31December
2016f
Unrestricted funds
Geueral ~4820090) ~(,308,697) ~6, (28,787
Balance at IJanuary 2015
Incomingresources
f
Balance at 31December
2015f
Unrestricted funds
General ~3,709,074 ~(.308.697 ~(5,0(7,77(
15 Analysis of net assets between funds
Tangible fixed assets
Current assets
Current liabilities
Creditors over I year
Unrestrictedfunds
General
7,888,028
127,645
(1,5 87,476)(1.411.5281
Total fundsf
7,888,028
127,645
(1,5 87,476)
~((.4(1.528
Total net assets 5,016,669 5,016,669
16 Analysis of net funds
At I January2016
f
At 31 DecemberCash flow 2016
f
Cash at bank and in hand
Current asset investments
Net debt
359,700
64,999
(317,719)
(28,960)
41,981
36,039
424,699 (346,679) 78,020
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