Charity Registration No. 1011397

THE ROMANIAN CHALLENGE APPEAL

TRUSTEES' REPORT AND UNAUDITED ACCOUNTS

FOR THE YEAR ENDED 30 JUNE 2012

jerromsSpecialists in Accounting,Tax and Business Planning

THE'RGlNANI@N CHALLlBNGE- APPEAL. ..LiEGALI Art4GEA658iNt STRATf ANNFORM ATI Gbl '

Trusteesr Mtf Kedh'VNightfd P "(Ghairr Personlktnhffgef. S Srfuittbu:kfd Saltyo6 SekkerfonRev Fr. VNtonei

Gliertty aurntren

Principal adltress

tOktSK:

32Qa StrattordiROadrStlirley

Sahhuft

t MfdTands.

BBQ 3Dhy. f

Ihdeftend ant eXwrdner: Jerrems LLP. "%ie I xcttangerHaeluok~reeniRoadfSter feySofihulf

West-ISIktlandau

B992EL

Bankersr '-Matfonat WestrrrinstertBank:Ptft,f St'Phiffps Phrase=

BirrnfnghetnWest fffiidfand s .B8 2PI-'I

flIOyda TSBr Baakrgtat Ig-1 lf Pdpfar RetkfrfSolihull

West Nfidfarrdad

Ttteetees' report

tndependenttexarniner's refteitn

Statrfrnenttrrttttnancrettaniivittrrs '

Batrrrree stieet:

Notte'erttr the'~te

THh ROhCAl4lAlVNClHALlLlKl)&lGF'A'PPldA4 a

TR Ulfsr TEKS~RFPGM'

FO~ THE YEAR ~r80!JMf)E:281i2'.

The Tfusfees presentithe&orepart srrd aectsants far the yearendecfb(H~M12.

The accounts have been prepared in aocordancew«h&the accounting policissset outi&n note i& la thtaaocaurrtsand comply. w&th the:Cttarrfy&trust deodffthe Chant)ear&&at 20'LIE sntttths Statement&al'Recammendecttpftsct&ce„"RccountrslTsnd Reporting by;f;hsnties'-'. issued &n &fr)srcftigf)QB.

Struoture governaeae and management.The charity wae~kshed by s&charitable trust d&asdrdatedt2P )itsy;1992

The 'Bustees who semed dur)ng the year were.Mr Ke)th»r&yi)ght tf. P {Cha&r Person)Qr hfigs)& J Squibbffhc Sexy. . E Gc&)amon

Rsv Fr& cr&&))tern

Recru&tn&ant&and appointing of"new T)&ustes=s is govemectib'y ftifcrt)cy, laid dtfwn-by the. Tyostea's:sind &s.avat&able"-for mspecttorr

Statement of tTrostasef reopens) b) fftftp.Tha Truateea are reapaftaibl&u fbr preparing the TruSteearn86)ferti Snd the aCCOunta in& aCCOrdanue Vethsppliostfftr Itrw and'i)nited Ktingddm Acdbontrng standards (t)hiked&K)hgdornr Senersfly A'ccepted Accounbng iPractioe)r

The law, sppbseblei ta'chant&es &n Engtftnd snd wales rerfuires&thtr, Trustees ta prepare accounts fdn each-ffrrsnuistiiyesr& which&giysm trirtb andt«b r viem of the state e&f tsffdira ofi lhe Charity and af& ttrs» &scorningresourcarr snd sppt&cation af resource~)'the Charity for thabyeac

Iti prepsrmcptbese accounts thtuTtustess are rsrtuired&to& -:

selectt

surtabfe sccountingfpat)ctss and«hue apply, thorn cons&stoutly;:

- observer the methods anrttttrnncfptes in tHe Chs n ties SDBR;

- make:judgements andlast&mates that are ressanabls and prudent; —.

- statib wheiltar applicable accauntingnstsndards have been&rf~, subject»toi auy materiat departures»disclosed)aod er&pla)nadfio the aosounts;:arrd:

- preparedhe acoountsran the.gp&ng concern basis unless:)trrs &nappropr)ate fo.prost&me fhattthe et&oofy wrllllcontinue in ofunsffon.

Tfie Trastf es.are:.responsrbtrs fcfr tteepintf sufticient accounting:reoordfsthat'd&sekose. wrttt remonabitr acourasy„,at any time. the finance« position~ t tie &hsr&ty snd: enable«hdfn &tb-ensere thai 'ihc accounts ocstrpty wiN; tfie',chsrtttos Act 20fdi tits cbsnty (r&cccounts:and Reports), Regutst)eas PDf)s andttbe provraians of the trust deedThey are aiso responsible-for soft&en&ardffKt itis assets-of the charily& end hence for& tetr)ng reasonable steps fon»the preventioomrdidetsction offfrsud and&other irregubrnties;

The Ttur«sea srrr responsrblerffyr& the-oratoter&ance sncf rstegnty, &off ihe--chsnty snd finana&af mfomration»&nctudtfftion ttte. ctaste:.'t egistatian &n&ftttr Uhited Kingdom goyennngittie preparation andi dissemnrsiian ofi»assountsmsy Nebr fram«egrsfat&on in othbf jurisdictions.

The Trdstees«tatcasssssed the:ma)ar r)t«te ta which. the charttyds&s&rposed, snd are satisfied that systems ars»&in&place to m&ligate esprsrurs to&thramaforfdstcs

THE ROMANIAN CHALLENGE APPEAL

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 30 JUNE 2012

Objectives and activitiesThe Charity was founded in 1991 to work towards the relief of poverty and mental or physical sicknessamongst people in Romania and in particular the children by all charitable means including the provision ofmedical assistance and education.

Plans for Next Year 2012-2013

To:

Undertake strategic review of 0 Nova Viata during the coming year in order to focus more clearly on thecurrent needs.

Strengthen the ONV Board of Trustees by recruiting new members and outline the responsibilties ofundertaking the role of a Trustee.

Develop Fund Raising strategies for 0 Noua Viata in Romania whilst initiaiting a Fund Raising campaign forONV in the UK.

Open an ONV office in Bucharest.

Research the possibilities of an amalgamation/partnership with other Charities working in Romania and in asimilar field of work as ONV.

Continue with the ongoing work on developing Life Plans for the disabled in the care of 0 Noua Vista.

Plan a program of refurbishment of some of the properties of 0 Nous Viata.

The plans set out in 2011-2012 to support the transition of young people from Casa de Copii to newaccomodation is still ongoing. Although one of the buildings is complete, the second building has not beenquite finished and the authorities do not wish to move them into the new accommodation until both buildingsare ready. However, all the furnishings and bedding etc has been secured and is now Siret.

The program of Palliative Care was researched but the expenditure outlay is such, that it is beyond thereaches of 0 Nova Viata. There is much legislation to be complied with and a great deal of red tapepreventing the Charity from embarking on this project. Palliative Care, however was provided for Save whoeventually died in the care of the Charity last November.

The RCA has now employed a transitional CEO and Fund Raiser to help in the hand over of its work toRomania.

The situation for 0 Noua Viata is similar to 2011 and financial support for its work is still difficult to obtain. Wehave not reached the stage where 0 Noua Viata can stand independently. However, it is hoped our new FundRaiser will help us through this dificult time.

The RCA charity will continue throughout 2012 to strive forward in supporting the work of 0 Noua Viata.

Achievements and performance

The Charity has remained on task and continues to be an advocate in Romania for young people withdisabilities.

More young people in the care of 0 Nova Viata have found employment. Two of those living in the care ofONV have entered into marriage and are living independent lives outside the care of the Charity.

THE ROMANIAN CHALLENGE APPEAL

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 30 JUNE 2012

Financial reviewIt is the policy of the Charity that unrestricted funds which have not been designated for a specific use shouldbe maintained at a level equivalent to between three and six month's expenditure. The Trustees considers thatreserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continuethe Charity's current activities while consideration is given to ways in which additional funds may be raised.This level of reserves has been maintained throughout the year.

The Trustees have the powers to invest as they see fit and they also have the power to appoint investmentmanagers. At the present time there are no investments held by or on behalf of the Chadity.

On behalf of the board of Truste

Mr Keith Wright. J. (Chair Person)TrusteeDated: 19 October 2012

THE ROMANIAN CHALLENGE APPEAL

INDEPENDENT EXAMINER'S REPORT

TO THE TRUSTEES OF THE ROMANIAN CHALLENGE APPEAL

We report on the accounts of the Charity for the year ended 30 June 2012, which are set out on pages 5 to 11.

Respective responsibilities of Trustees and examinerThe charity's Trustees are responsible for the preparation of the accounts. The charity's Trustees consider thatan audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that anindependent examination is needed.

It is our responsibility to:(i) examine the accounts under section 145 of the 2011 Act;(ii) to follow the procedures laid down in the general Directions given by the Charity Commission under

section 145(5)(b) of the 2011 Act; and(iii) to state whether particular matters have come to my attention.

Basis of independent examiner's reportOur examination was carried out in accordance with the general Directions given by the Charity Commission.An examination includes a review of the accounting records kept by the charity and a comparison of theaccounts presented with those records. It also includes consideration of any unusual items or disclosures inthe accounts, and seeking explanations from you as trustees concerning any such matters. The proceduresundertaken do not provide all the evidence that would be required in an audit and consequently no opinion isgiven as to whether the accounts present a 'true and fair view'and the report is limited to those matters set outin the statement below.

Independent examiner's statementIn connection with our examination, no matter has come to our attention:(a) which gives us reasonable cause to believe that in any material respect the requirements:

(i) to keep accounting records in accordance with section 130 of the 2011 Act; and(ii) to prepare accounts which accord with the accounting records and comply with the accounting

requirements of the 2011 Act;have not been met; or

(b) to which, in my opinion, attention should be drawn in order to enable a proper understanding of theaccounts to be reached.

J orna LLP

artered Certified Accountantshe Exchange

Haslucks Green RoadShirleySolihull

West MidlandsB90 2EL

Dated; 19 October 2012

THE RG5hACCIAH CSA4 LEDGE AP fIlIEA'L. .

SFAVEINENT OF RNAHCIAL A6TIItfI'IB-II9CIRJDING INCLINE A@I EXOEMDITUREA4gCQUtttIIl

PGRI T86,YEAR BVfr328 30UCF535 Bkf2!'.

Ih m'

Donations and legacresiinvestment income

Notez

91,4M2:

125,i9983

ihconung iresourcas troth charitsttte ecttv&ee0thentncornlsg. resouraes „

Total iih taming resonrcss-

41

5

9'1,47?'385i

11,560i

109422!

125t93Stl 040i,

1318199

140,396"

Gouernance costs

Total resonrcescexpenthrd

128,333 i 155;T51r

128,333 'IISSr751r

Fttlt. sxpenditriitr furr ttta yean/h

htttt movementtln FUnds; (2tt, 9ttt) (15 383 I

FunathsisFness at 1I Juitr20tni

ftttnd bsWmcesrst, 30 Jgner209t0

83,K3'2;

59,021 83,933'-

THE ROMANIAN CHALLENGE APPEAL

BALANCE SHEET

AS AT 30 JUNE 2012

Notes2012

f2011

5

Fixed assetsTangible assets

Current assetsDebtorsCash at bank and in hand

10 8,24653,586

726

10,79974,511

2,033

Creditors: amounts falling due withinone year

61,832

(3,537)

85,310

(3,411)

Net current assets

Total assets less current liabilities

58,295

59,021

81,899

83,932

Income funds

Unrestricted funds 59,021

59,021

83,932

83,932

The acco nts were approved by the Trustees on 19 October 2012

Mr K ith Wright. J. (Chair Person)Trust

7iH8 ItCMANAWlCNALLENGE'AI)PEAR, I

ftfotf )ED TQ' %HE O'CCOUf4TSr ~ ru

FOR!FHP I %FAR HVCE8 30lUEJÃE'2012-

t ittCCOunbngipeilclsa.

1.1 &Sfs'of prsparatiomThe accounts have:beenftrepnrod: under' the historicat costrconvanhon

1Trs aOOSuntS haue. been PreParedlin aCCOrdanCe, Wdh aPPlicable aCCOuntinglatandardar theifttatanrent OiReoomnrended ffrscbcar "Accounttng andtReportingrbyrcdarrties", issued imMarch 2005.and the:ftharitirfsAotr2011.

112 fhcomingrresourcesllegacies. ts whictr the charity is entitled are included tn the statement of flnanolal acttvitressrntdss they areincapable ofimeasurernenti

ciash cottsctedttd whist' tits charity is legally entitled buttwhrctt iias nol been received st ths year end i»included as, inccme

1l3 ftesourcstuerrpendedExpenditure which ischarged onrtm accruats. basis, is altrfcated. between

i)Tthtncosts, of generatrngtfunds Tliese;include:a) Goats of:generatirrg votuntatynncorneib) costs of fundratsing tradlngiii) The, costs of charttable~ttvrttes'these cornpnseratl the resources applied byrihe charity inrunderlahingitsrworrt to meelhts charitable ob~iii) iThe costs of governance. Thesertncttrde'the costs ef'gdvsrrrattce arrangements which reiata to thengeneral Irunning ofithe energy andhfhe compliance with censdttttronat andrstatutrrry rerturrements

UnrestrtctM funds are donations, and other incomrnguessurces. recetved or gerauated fon errpendifure:ontile genarai ob)ectlves of fhe charity„'

tits Ttrngittttf fitted assets, andrdeprvrciattoniTangible firredtasssts;arerstated:@truest tees- depreciatiorr: Deprecratiunis provided trt'rates calcul'ated towr &to off l fhe cost less estimatediresidu el value of each assshoven its expected useful Ql. , as follows'

Pianl and machinery 33rlo stntrght;rhsi«

1.5 Fbreignicucrenc)trtransttttioniTransaattons denominatedi in foison currencnrs are recorded' ai ihe rate ruiing at the datdl off thetransaction '

THE HKNHANlAhl CHALLENGE A'PPEAL

NGTES TG THE ACCGUttfTS {CGNTlf4UEB)'

FtiTft THE YEA'R ENDED: 30' JUPE 2072

2.' Obnations. and le9raoles

20.'I 2'

8:2011'

Donatisss and grftsLe~recer~leGrants receivable far core actnrrtres

3&j08928100228I434

61,790I 3,86549.889.

99,078

3: Inuestmentincome

2011'

Interest recenrable

4 Incommg resources from charftable activities

2012. 2011

income'from Raffle TtbketsTicket sales interest

1,038

1,040

8 Other fncomin9 resources

201l

Grft Arel.1tl, 588r 13,8 19

'WHY RGQN;hAAN cHALLEIQGKApPEAL

NQ'TiEK TO THE:A C(u OUNt t)S (CCPCTINUEI3)',

FOR THE VEER ENDEB 38 SUhfE 28f2-

&. Total, ~es sxpaodediStaff' Other Total Total

costs costs 2012 20116 6 C F

Governance costs. 76,429 155,751',

Staff wages costs include natieset insurance contributions of E1,975 (2010 E2,598)

Other coster

Insurance.6' ftoua Viata expensesTelephone. and faxMotor expensesTraveging

P're(cot cOnsultancy, feesBookkeeping expenseAccounlancy,Sundry expenses.Bank chargesDepreciationIncidentat expensesOffice andistatssseryRent and ratesReunioni expensesMbdical fund expenditureExchange rate gain

9924r000't, 342

6904,948

14,672.3,6001,Bgfy

55IE2.406'

488PA7'T

tF488

1,00074

P'ayments to O'Neua Vista (a chantable foondatisai established in Romania) consists of day to day.activity, costs;

7 Thnrtaes

Nbne of the Trustees (or any persons connected wdh them} received any remuneratierr during the year

TkE fRQSIAIrI IAI4 CHALLENGE APPEAL

NGTES TG THE ACCGUffTS (tCGtkTTINUED);

F6P. THE YEAR ENDElE M JlJNE. 24M

8' Bnptbyees

Number of employees-The average weekly number of employees during the year waa.

20it2Number

2011'tsumber

Site woitrer irr Ftkmrania

Fundraising &Adnnnistration1

2

Emptoyxnent costa 20115

Wages and salaries 74t,429:

There were: no employees whose annual remuneration was 860i 000 or more.

Tangible fixed assets

CostiAt 1 tutti 2011Additions

Fixtures,

fttffn

ge &-'

eqntprnent5

7,550999

At:30 June 2tyt2

DepreciaffonAt tl JUly. 2011ttevatuation

5,51 72,306:

At 30 tune 2042

Net book valueAt 30 tune:2012

At:30 June 2011 2;033

TIHIE: RQINAhQAbl CHALLEItIGIEAPPEAL

N(rrES TG 7HE rt(CCGUNT!8 ICGNTIMJH9 I;

FGfrf' TFIE FEAR EAfOE& 20rJANE 24fP

.01'1

6

Gift Afd

Prepayments and:accmadnncome7,3993,406

10,799

11 Cimlitorscamountaftritfhgrchanwtttrin one year 20126

Trade croctrtorsAccruata

2:31I:1,42tr

N. 986.'

1j428:

112. Itetatetf parties

Romarnan chatlarjgeAppeafhas set!up a Rornanran, charny called 0 Mouavlata (AvNew Life) anrcnorv,work. ctosety with local gavernmentanrhthe Romantan|Chtfd protection Department. Theuam iato provide-trainrng to locatlRomaniaas to run 0 Nous@fata and or9anrsrrrcnfund!ngs from wtthtniirfonrarsa sathaaoneday, the charity. will run independentiy of intern aticma! aid. Burmg the year E4;000 (201 I - 636,609) wasspent omdtry, to day runnin@of Cr!Nona tant&

13 Ger!trot!

There is.no ultimate controtknrpparty. .