RUSSELL_COURT_(BLOOMSBURY - Accounts

The principal activity of the company continued to be the collection of ground rents and store room rents in relation to the property known as Russell Court, Woburn Place, London, WC1. As explained in note 1.5, the service charge activity has been separated from the company accounts and is shown separately in service charge accounts. The comparative figures have been restated for this.the collection of ground rents and store room rents in relation to the property known as Russell Court, Woburn Place, London, WC1.

As explained in note 1.5, the service charge activity has been separated from the company accounts and is shown separately in service charge accounts. The comparative figures have been restated for this.

We have audited the financial statements of Russell Court (Bloomsbury) Management Limited for the year ended 24 March 2015 set out on pages 5 to 12. The financial reporting framework that has been applied in their preparation is applicable law and the Financial Reporting Standard for Smaller Entities (effective April 2008) (United Kingdom Generally Accepted Accounting Practice applicable to Smaller Entities).

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’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 the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

As explained more fully in the Directors' Responsibilities Statement set out on pages 1 - 2, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. 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.

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 company's circumstances and have been consistently applied and adequately disclosed; the reasonableness of significant accounting estimates made by the directors; and the overall presentation of the financial statements. In addition, we read all the financial and non-financial information in the Annual 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.

In our opinion the financial statements: give a true and fair view of the state of the company's affairs as at 24 March 2015 and of its profit 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 prepared in accordance with the requirements of the Companies Act 2006. In our opinion the information given in the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements.

give a true and fair view of the state of the company's affairs as at 24 March 2015 and of its profit 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 prepared in accordance with the requirements of the Companies Act 2006.

In our opinion the information given in the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements.

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

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

certain disclosures of directors' remuneration specified by law are not made; or

the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption in preparing the directors' report and from preparing a strategic report.

The financial statements are prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008).

Turnover represents ground rents and store room rents receivable . ground rents and store room rents receivable.

Presentation

The service charge accounts have been separated from the company accounts for the year ended 24 March 2015. The comparatives have been re-instated excluding service charges for the year ended 24 March 2014.

The directors revalued the lease of Flat 36 at 25 March 1987 on an open market basis. The original cost of the lease of this flat was £Nil.

The valuation of the store rooms was increased by £60,858 in 2012, due to additional storage rooms acquired. The store rooms were acquired from RESSA in return for completing the negotiations for the conversion of the lease on Flat 36a on the ground floor. There was no financial transaction.

During the year there were two prior adjustments undertaken.

Firstly, the directors agreed that the activities in relation to the maintenance of the properties for which service charges are collected should be held in trust rather than reported in the company's accounts. This is in accordance with ICAEW guidance.

Consequently the financial statements for the year ended 24 March 2015 have been prepared to report those financial items which solely relate to Russell Court (Bloomsbury) Management Limited as a company. In accordance with accounting standards, the comparative figures for the year ended 24 March 2014 have been restated to follow this policy.

The result of the prior year adjustment has the following impact on the financial statements:

- The other reserves brought forward as at 25 March 2014 have been reduced by £230,000 to give a restated value of £nil;

- Retained profits brought forward as at 25 March 2014 have been reduced by £891,620 such that the reinstated balance is now £89,031; and

- A creditor for amounts due to the service charge entity as at 24 March 2014 of £100,135 has been created which allows for the transfer of assets and liabilities into the service charge entity.

The profit and loss account reserves retained in the company have been calculated by a back dated review and calculation of profits arising from company activities as agreed by the directors.

The second adjustment relates to the write back of depreciation on the revalued asset, where the depreciation for the year should have been transferred in prior years from the revaluation reserves to the profit and loss to release the reserve over the period of the lease on the property in question.

The resulting impact of the adjustment has:

- Reduced the revaluation reserve brought forward by £8,997 to £91,861 which accounts for depreciation suffered up to 24 March 2014; and

- Increase the retained reserves brought forward by £8,997 to give a reinstated value of £98,028 (inclusive of the first adjustment).

Deferred Taxation

No provision has been made for the potential tax liability of £8,000 (2014: £8,000) which may arise if the leasehold Flat 36 was sold at its revalued amount, as the directors do not intend to sell the property in the foreseeable future.

There is no controlling party.

In line with the prior year adjustment, as at 24 March 2014 an inter-entity loan with the service charge entity which maintains the property in relation to the freehold owned by Russell Court (Bloomsbury) Management Limited was created amounting to £100,135.

As at 24 March 2015, the balance had reduced to £73,718.