STATEMENT TO MEMBERS YEAR ENDED 31 OCTOBER 2011
EXECUTIVE COMMITTEE RESPONSIBILITY FOR THE FINANCIAL STATEMENTS Trade Union rules require the Executive Committee to prepare Financial Statements for each financial year which give a true and fair view of the state of affairs of the Association and of the surplus or deficit of the Association for that period. In preparing those Financial Statements the Executive Committee are required to: 1 Select suitable accounting policies and apply them consistently; 2 Make judgements and estimates that are reasonable and prudent; 3 Prepare Financial Statements on the going concern basis unless it is inappropriate to presume that the Association will continue to operate. The Executive Committee is also responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Association and to enable them to ensure that the Financial Statements comply with the Trade Union and Labour Relations (Consolidation) Act 1992. They are also responsible for safeguarding the assets of the Association and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
INDEPENDENT AUDITORS REPORT TO THE MEMBERS OF THE PROFESSIONAL CRICKETERS ASSOCIATION FOR THE YEAR ENDED 31 OCTOBER 2011 We have audited the Financial Statements of the Professional Cricketers Association ( PCA ) for the year ended 31 October 2011 which comprise the Income and Expenditure Account, the Balance Sheet and the related notes, numbered 1 to 6. These Financial Statements have been prepared under the accounting policies set out therein. This report is made solely to PCA s members as a body. Our work has been undertaken so that we might state to PCA s members 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 PCA and PCA s members as a body, for our audit work, or for the opinion we have formed. Respective Responsibility of Officers and Auditors The responsibilities of the Officers of the Association for preparing the Statement to Members and the Financial Statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) are set out in the Statement of the Executive Committee s Responsibilities. Our responsibility is to audit the Financial Statements in accordance with the relevant legal and regulatory requirements and International Standards on Auditing (UK and Ireland). We report to you our opinion as to whether the Financial Statements give a true and fair view and are properly prepared in accordance with the Trade Union and Labour Relations (Consolidation) Act 1992. We also report to you if, in our opinion, the Association has not kept proper accounting records, or if we have not received all the information and explanations we require for our audit. We read the other information contained in the Statement to Members and consider whether it is consistent with the audited Financial Statements. We consider the implications for our report if we become aware of any apparent misstatements or material inconsistencies with the Financial Statements. Our responsibilities do not extend to any other information. Basis of Audit Opinion We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) issued by the Auditing Practices Board. An audit includes examination, on a test basis, of evidence relevant to the amounts and disclosures in the Financial Statements. It also includes an assessment of the significant estimates and judgements made by the Officers in the preparation of the Financial Statements, and of whether the accounting policies are appropriate to the Association s circumstances, consistently applied and adequately disclosed. We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to give reasonable assurance that the Financial Statements are free from material misstatement, whether caused by fraud or other irregularity or error. In forming our opinion we also evaluated the overall adequacy of the presentation of information in the Financial Statements. Opinion In our opinion the Financial Statements give a true and fair view of the state of the Association s affairs as at 31 October 2011 and of its surplus for the year then ended and have been properly prepared in accordance with the Trade Union and Labour Relations (Consolidation) Act 1992. Moore Stephens LLP Statutory Auditors Chartered Accountants 150 Aldersgate Street London EC1A 4AB January 2012
The following statement to members conforms with the Trade Union and Labour Regulations (Consolidation) Act 1992. The information is consistent with the Association s Annual Return to the Certification Office. INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 OCTOBER 2011 2011 2010 Income Subscriptions 40,734 40,321 Donations 846,967 833,204 Interest 258 - Dividends 4,711 4,816 892,670 878,341 Expenditure Meeting Costs 32,994 35,125 Service Delivery Costs 232,985 224,148 Audit and Accountancy Fees 23,735 18,247 Literature and Communication Costs 85,578 47,622 Incidental Expenses 2,148 1,142 Bank Charges 597 658 378,037 326,942 (Less) Corporation Tax (45) - Operating Surplus 514,588 551,399 Annual Payments for the Benefit of the Membership Education and Training 82,608 81,657 Personal Development and Welfare Officer 72,026 40,261 Rookie Camp 15,896 - Temporary Accident and Sickness Payments 65,000 44,020 Travel and Permanent Insurance Premium 104,298 129,258 Legal and Advisory Fees 55,324 46,201 Confidential Helpline 13,855 12,867 Critical Illness Cover 54,739 60,609 Cancer Screening - Skin - 5,875 Cancer Screening Prostate - 292 Beneficiary Support Programme 3,560 1,874 467,306 422,914 Surplus of Income over Expenditure 47,282 128,485 Accumulated Surplus as at 1 November 2010 104,881 126,396 Transfer to Insurance Fund (see Note 6) (150,000) (150,000) Accumulated Surplus as at 31 October 2011 2,163 104,881
The following statement to members conforms with the Trade Union and Labour Regulations (Consolidation) Act 1992. The information is consistent with the Association s Annual Return to the Certification Office. Fixed Assets BALANCE SHEET AS AT 31 OCTOBER 2011 Notes 2011 2010 Quoted Investments at Cost Brought Forward 54,515 Plus Additions 130,731 6 185,246 54,515 Long Term Investments 4 4 4 Current Assets 185,250 54,519 Debtors and Prepayments 421,964 451,236 Cash at Bank and in Hand 6 138,919 198,382 Current Liabilities 560,883 649,618 Creditors and Accruals 493,970 449,256 66,913 200,362 252,163 254,881 General Fund 6 2,163 104,881 Insurance Fund 6 150,000 150,000 Reserve Fund 6 100,000-252,163 254,881 The Financial Statements were approved by the Executive Committee on January 2012. A Porter Chief Executive Officer
NOTES TO THE ACCOUNTS 1 ACCOUNTING POLICIES The Financial Statements have been prepared in accordance with applicable UK accounting standards and the following accounting policies: a b c d Basis of Accounting The Financial Statements have been prepared under the historical cost convention. Fixed Asset Investments Quoted fixed asset investments are stated at cost at the Balance Sheet date, unless there has been a permanent diminution in value, in which case open market value is used. General Fund The Association operates a general fund which reflects the annual surplus for the year. Insurance Fund and Reserve Fund The Association maintains an insurance fund for the purpose of meeting members claims under limits specified in certain insurance policies taken out by the Association. Any surplus, above any claims settled, remaining at the completion of the annual insurance cover period is transferred to the reserve fund. 2 POLITICAL FUND None of the income or expenditure above related to any political fund. 3 OFFICER REMUNERATION With effect from 1 April 2006 staff costs formed an integral part of a service delivery charge from PCA Management Limited to the Professional Cricketers Association. Total remuneration paid by PCA Management Limited, relating to members of the Executive Committee, to the Chairman and Chief Executive, was as follows: V Solanki Chairman A Porter Chief Executive Gross Salary 5,000 118,208 Social Security Costs 579 14,828 Healthcare - 2,564 The Chairman s and Chief Executive s salary and benefits are associated with all aspects of the Professional Cricketers Association and not just the trade union. Payments made to the Chairman relate to his role as acting Chief Executive.
NOTES TO THE ACCOUNTS 4 INVESTMENTS Long term investments is represented by a holding of 4 ordinary shares of 1 each held in PCA Management Limited Quoted investments are as follows: Number of Shares Held Market Valuation as at 31 October 2011 BP Plc 1,400 6,216 Royal Dutch Shell Plc 1,006 22,439 Unilever Plc 450 9,315 GlaxoSmithkline Plc 430 5,928 Tesco Plc 1,700 6,766 Standard Chartered Plc 2,587 37,214 Prudential Corp Plc 1,283 7,878 Ishares 56 6,778 Edinburgh Investment Trust 1,500 6,828 Jupiter 1,100 4,449 United Utilities Group Plc 900 5,346 Old Mutual 2,750 4,876 Goldman Sachs 4,000 3,472 M&G Investment Management Limited 4,000 4,920 UK Government 2.5% Index Linked 1,375 4,931 Bankers Investment Trust 1,250 4,800 Quoted investments held in the name of the PCA Insurance Fund: RSA Insurance Group Plc 6,000 5,940 Alliance Trust Asset Management Limited 13,000 12,277 Traditional Funds Plc 350 5,859 M&G Investment Management Limited 4,950 6,089 Cazenove Investment Fund 6,250 5,979 Schroder Unit Trusts 13,000 6,006 Henderson Global Investors 19,500 4,017 Mellon Investment Funds Limited 2,725 5,864 UK Government 1.25% Index Linked 4,200 5,930 UK Government 1.875% Index Linked 4,200 6,044 UK Government 4.125% Index Linked 2,000 6,080 UK Government 2.5% Index Linked 1,650 5,917 UK Government 2.5% Index Linked 1,800 5,772 UK Government 2.5% Index Linked 1,700 5,848 Aviva 6,000 6,315 Places for People Homes Limited 5,600 5,846 London and Stamford Property Plc 4,950 5,524 UK Government 1.25% Index Linked 5,000 7,258 The market value of the quoted investments above as at the Balance Sheet date is 254,721 (2010: 130,194).
NOTES TO THE ACCOUNTS 5 RELATED PARTY TRANSACTIONS At the year end, debtors include amounts due from related parties as follows: 2011 2010 PCA Management Limited 331,698 387,207 6 MOVEMENTS ON FUNDS General Fund Insurance Fund Reserve Fund At 1 November 2010 104,881 150,000 - Surplus of Income over Expenditure 47,282 - - Transfer from general fund (150,000) 150,000 - Insurance claim paid - (50,000) - Transfer from insurance fund - (100,000) 100,000 At 31 October 2011 2,163 150,000 100,000 In April 2010, the Association entered into a stop loss arrangement for its personal accident insurance policy for its members. This is an annual agreement and the Association has set aside 150,000 in relation to the aggregate deductible under this policy which, with the Reserve Fund, is included in cash at bank and quoted investments in the Balance Sheet as at 31 October 2011.
A member who is concerned that some irregularity may be occurring, or have occurred, in the conduct of the financial affairs of the Union may take steps with a view to investigating further, obtaining clarification and, if necessary, securing regularisation of that conduct. The member may raise any such concern with one or more of the following as it seems appropriate to raise it with; the officials of the Union, the Trustees of the Property of the Union, the Auditor or Auditors of the Union, the Certification Officer (who is an independent Officer appointed by the Secretary of State) and the Police. Where a member believes that the financial affairs of the Union have been or are being conducted in breach of the law or in breach of rules of the Union and contemplates bringing civil proceedings against the Union or Responsible Officials or Trustees, he should consider obtaining independent legal advice.