ACCOUNT INFORMATION & RELATED CORRESPONDENCE
27/11/19 - Letter
to the director and committee delivered to the managing
Director and Committee,
Request to Inspect Account 2018/19
8/10/19 after the AGM had been held, I sent a list
of queries to the managing agent which needed to be
addressed relating to the 2018/19 Landlord's
Statement Account, it would appear this has been
ignored as there has been no response on the
matter. Under normal circumstances a statement on
the Account would be made to the residents on the
expenditure throughout the year at AGM but
unfortunately the contents of the Account itself was
not discussed, consequently the queries already
mentioned and in your possession were not aired or
officially put in a request to carry out an
Inspection of this 2018/19 Account when you are able
to arrange it, and hope permission will be given
without any objection.
forward to hearing from you hopefully with a date
when this would be convenient to you.
The Accounts for 2018/19 / The Landlord's Statement
This had been issued to the residents prior to the
recent AGM held on October 1, 2019, and had been
scheduled for discussion on the Agenda under item 4,
however as the meeting itself only lasted exactly 20
minutes, the matter of the current Accounts itself
was never discussed or even mentioned.
There follows some queries regarding items within
the Account which it is hoped the managing agent can
either answer or clarify - after all HPM Ltd have
been looking after the expenditure and handling the
day to day accounts during year 2018/19.
1) The Sinking Fund discrepancy of £680 -
already been queried on the website and is a
reminder to the managing agent that hopefully she will be able
to inform the residents as to the outcome of her
endeavours to recover the missing amount in the very
near future, and if not to explain why.
2) Insurance - It is notable that the estate
insurance had been reduced by £1036 from the
previous year, the managing agent stated at the 2018
AGM that she had managed to obtain a discount from
the insurance company understand this could be the
result. The query on this requiring clarification
is - unless the 'amount of cover' had been altered
and reduced, that would appear to be the only way
that the annual premium would be reduced.
Is the cover on the estate the same as in previous
3) Repairs & Maintenance - The General
repairs & maintence amount of £8,773 appears
exceptionally high in comparison to the previous
year, especially as it does not include the items
listed as Major works - Additional parking, Fire
risk assessment and emergency lighting which has
been shown seperately. Can the managing agent be
more specific as to exactly how this figure is made
up and what it does include?
4) Legal & Professional Fees - it would be
useful to have a breakdown of the amount £1027, i.e.
how much was spent on Legal Fee and how much on
Professional Fees and to whom the amounts were paid.
5) Management Fees - It is notable that these
have actually been reduced which is more than
surprising given that when HPM Ltd took over
managing the estate, the managing agent stated that
the fees would be exactly the same as the previous
managing agent received - would she clarify why
Due to the managing agent stating that she does not
read the website itself, a copy of this will be
forwarded via email to ensure she is fully aware of
these queries which will need to be addressed sooner
or later, perhaps these could be discussed at the
next committee meeting and reported back to the
residents in the subsequent minutes.
cc to the managing agent via email.
Something Stinks on the Sycamores
THE SMELL IS
time it's not the drains)
I keep banging on
about the Accounts, the Inspection of the Accounts,
the Service Charge, the refusal of the director to
allow access etc etc., and for very good reason if
visitors to the website have been following the
shenanigans of the
director and committee with regard to obtaining an
analysis of the Repairs & Renewal Expenses for year
In order to reach as
many people as possible i.e. residents who don't
have internet access, their families who visit them,
tradespeople, health care workers, even the bin men,
and anyone else who happens to wander onto the
estate, I have created a notice board of sorts in my
front window. The idea behind this is to inform as
many people as possible of how the director and
committee are handling the Accounts and the resident's Service Charge
Funds, or rather mishandling it.
Due to serious nature
of the misgivings regarding their competence,
accountability, honesty and integrity which are all
questionable, plus the fact that they have already
breached the Lease many times and committed an
offence under the Landlord & Tenants Act 1985, I
have stopped paying my Service Charge. I encourage
other residents to consider doing the same because
things won't change unless the residents raise their
voices, state their concerns and show their displeasure,
after all, it's your money they are spending and you
need to know that it is being spent wisely and
legitimately, and not on the whim of individuals
such as the director or committee members.
to the Director & Committee 13/2/19 'Without Prejudice'
Response to letter
of 31/1/19 from the managing agent.
acknowledge receipt of your hand delivered letter
today and note that my request for a meeting to
inspect the invoices and receipts for Annual Account
2017/18 has been declined on behalf of the director
and committee, I can assure you that this matter is
attached a copy of clause 3.6 of the Lease Document
– please read, digest and ultimately consult with
the director and committee that they are required to
allow inspection of the invoices and receipts
relating to the Service Charge, and by refusal to do
so they are actually breaking the law of the land as
outlined in the Landlord and Tenant Act 1985 and am
surprised that in your line of business you are not
aware of it.
await your response on behalf of the director and
A reminder to the
Managing Agent, the director and committee
by hand today from the Management Company
Further message sent to the managing agent
has been no communication from the managing agent on
the email below, a further message was sent to her asking what was
the outcome of her discussion with the committee, to
date there has been no further response from her.
accountant Mr. E......... the accountant had choosen not to respond
to my request for a meeting to inspect the 2017/18
Account, I forwarded the request to the Managing
Agent on 11/1/19 for her attention. A response
was received back on 16/1/19:
"Apologises for my delay in responding to you.
I have just returned from Holiday. I
will have to discuss this matter with the
committee Members, at my next visit with the
said members. This meeting is scheduled
for next week."
Further email sent to the Accountant 7/1/19
you to my email dated 6th December, 2018 when an
appointment was requested to inspect the invoices
and receipts for the 2017/18 Account, as it is now
exactly 1 month since the request, I wonder if you
are now in a position to grant a meeting?
6/12/18 Request for Appointment
the above account, I would like to make an appointment for
myself and another resident to inspect the invoices and
receipts for the account, in particular the Repairs &
Maintenance Expenses and the Legal and Professional
being requested due to the fact that although you had given
an undertaking during the last meeting held at your office
on 15/2/18 that you would provide an breakdown/analysis of
the Repairs & Maintenance Expenses when the account was
issued, you did not follow through and provide the
breakdown/analysis and can only assume this was was a
decision made by the director and committee because when I
broached the subject at the recent AGM, the director
responded with: ‘because we don’t have to’.
in advance and look forward to receiving an appointment date
when it is convenient for you.
A timely request was previously emailed to the current managing
agent/accountant with regard to issuing a full breakdown of the
of the Repairs & Maintenance Expenses included in the 2017/18
year end account.
Should a breakdown not be made available and attached to the
year end account when the AGM is held, a meeting will be
requested (as outlined in the Lease Document - relevant clause
below) of the Managing Agent/Accountant during the AGM so that
the account can be inspected by a number of residents and a
breakdown extracted from the Repairs & Maintenance expenses.
It has become even more important
that the director and committee are totally transparent and
accountable where the finances of the company is concerned, due
to the number of anomalies which have shown up and although
brought to their attention, have not been properly addressed to
£600 which was unaccounted for in 2012
paid out on the
of interest earned on monies in the bank account which was
put down to the fact that it was in a 'trust account' and
therefore didn't earn interest.
judgement shown by the director and committee when making
decision as to how the residents monies are spent i.e.
sending unnecessary threatening
solicitors letters when a different approach would have
been more productive.
of the new managing agent/accountant not being on the ball
where the legal requirements of Companies House are
concerned which has resulted in a penalty charge for late
filing of the
Further email sent to the
managing agent referring to their previous
reply of 3/9/18:
your email below 3/9/18 - was this matter discussed at the
last meeting held on 4/9/18? I ask as there was no
mention of the breakdown in the minutes or a response back
from you to confirm any outcome to the query.
Thank you in
following reply received to my last email below:
discuss this at the next minutes. With all committee
members and back to you in due course.
Response sent back to the managing agent:
End Account for 2017/18
Many thanks for your response
and appreciate the information, however my query has not
been addressed i.e.
"Would you now kindly confirm that a full breakdown of the
Repairs & Maintenance Expenses for that year will be
provided when the actual account is issued to all residents
prior to the AGM."
This is an important matter especially as other residents on
the estate have expressed a wish to be able to see a full
breakdown of the Repairs & Maintenance Expenses. I
also appreciate that the previous managing agent/accountant
is the one responsible for issuing the 2017/18 account but
in your capacity as the new managing agent/accountant,
perhaps you could have some influence on not only him but on
the director and committee in relation to this matter.
Thank you once again and look forward to hearing from you.
received to the email below:
End Account for 2017/18
relation to you email. I am awaiting 2017/18,
Year End Accounts to be returned from the Accountant.
Once in receipt of this. We will duly submit to the
Committee for their approval. In turn, they will be
distributed for all residents to see.
give a timescale for the above, but, I can confirm that the
accounts are in processing
Year End Account for 2017/18
The following email was sent to the Managing Agent today with
regard to them providing a breakdown of the Repairs &
Maintenance Expenses incurred during that year.
Dear Managing Agent,
I refer you to an email I sent on 20/5/18 which contained a
number of queries, and your subsequent response on 30/5/18
when you confirmed that all documentation relating to
the 2017/18 account had been passed over and was in your
possession. Would you now kindly confirm that a full
breakdown of the Repairs & Maintenance Expenses for that
year will be provided when the actual account is issued to
all residents prior to the AGM – date still to be set.
Thanking you in advance.
Year End Account for 2016/17
Update 15/7/18 - to date there has been no response from any
of the parties the email had been sent to.
following email has been sent to the managing agent/accountant,
director & committee of the SRA:
With regard to the estate's 2016/17 Year end
Accounts, I am attaching the ‘breakdown’
supplied by the Accountant in 2017 in response
to the request for a complete breakdown of the Repairs &
Maintenance Expenses. You will notice there is a distinct
lack of information and in some cases no explanation
at all. I am also attaching a catergorised
version so that it can be seen at a glance what has been
spent on each category and relevant queries on each item.
I am hoping that you will be
able to provide this information given that you do have the
data as you have already confirmed that all account
information was passed over to you.
You will appreciate that the
devil is always in the detail and to ensure not only
transparency, but also to inform the residents in a format
which is easy to read, where their monies are being spent
and that it is being spent properly and wisely. This
is the kind of information which hopefully you will provide
in future when it comes to the annual account.
I look forward to hearing back
from you and thank you in advance.
breakdown referred to in the above email can be
Year End Account for 2016/17
4/7/18 - an email
has been sent to ........Ltd regarding this account -
please see here.
Queries regarding the
30/5/18 - response received from
the Managing Agent regarding Account queries:
documents have been received from the Accountant
the managing agent
will be carrying this out
will be checked off by an independent FSA Registered
A request was
sent to the Managing Agent on 20/5/18 with a number of
queries for clarification relating to the Sycamores
Accounts, a copy of the request was cc'd to the director and
committee for their information.
When the new managing agent took over the management of the
were all the account records and paperwork for the year
2017/18 handed over to your company by the previous
managing agent/accountant, or for any previous years?
Can you clarify if you will be producing the actual end
of year Account for 2018/19?
Will the end of year account for 2018/19 be audited by
an external auditor, or will you be having only a
Landlords Statement produced as was the case in previous
years by the managing agent/accountant?
Information on the Annual Accounts
Throughout 2017/18 attempts were made to the
director, committee and the accountant to obtain a breakdown of the Repairs &
Maintence Expenses for the year 2016/17 and were obstructed
at every turn - this had been fully documented,
to view the history of those events.
residents had been notified and confirmed that ... Ltd were
taking over all of the accounting duties of the Estate,
an email was sent to them asking for confirmation that they
would provide this breakdown,
to date this email has neither been
acknowledged or responded to.
As the AGM
is only a few months away when the account for 2017/18 will
be issued, it is hoped that .... Ltd have taken notice of the
request above and a complete breakdown of these expenses
will be included in the 2017/18 account. ..... Ltd did
not compile the account for 2017/18, however they have
confirmed that all the relevant documentation for that year
had been handed over to them on their commencement as
managing agent on 1/4/18, therefore the information is
available and they are in a position to issue the breakdown.
point of asking for this information is to ensure there is
transparency and accountability with regard to the
expenditure of the residents service charge.
Useful Information to be aware of with regard to the SRA Ltd
Annual Account Information - The Law
.................. Residents Association Ltd is classed as a
Micro-entity company – an explanation from companies house
Micro-entities are very small companies and will be a
micro-entity if it has any 2 of the following:
turnover of £632,000 or less
or less on its balance sheet
employees or less
If a company is a micro-entity, it can:
Audit exemption statement
You must include the following statement on the balance
sheet of your accounts if you’re using an audit exemption.
For the year ending [your company’s year end date], the
company was entitled to exemption from audit under section
477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit
of its accounts for the year in question in accordance with
The directors acknowledge their responsibilities for
complying with the requirements of the Act with respect to
accounting records and the preparation of accounts.
These accounts have been prepared in accordance with the
provisions applicable to companies subject to the small
If shareholders ask for an audit
Even if your company’s usually exempt from an audit, you
must get your accounts audited if shareholders who own at
least 10% of shares (by number or value) ask you to. This
can be an individual shareholder or a group of shareholders.
They must make the request in writing and send it to the
company’s registered office address.
The request must arrive at least one month before the end of
the financial year that the audit is being asked for.