CPA Annual Report : CPA Annual report 2012
(v) At 30 June 2011, included in "Receivables" was an amount of HK$223,000 due from Ernst & Young ("EY") for its share of contribution for the professional liability reform project which had been fully settled during the current year. In the current and prior years, certain council members are partners of DTT, EY, KPMG and PwC and senior management of UIC. e amounts outstanding are unsecured and will be settled in cash. No guarantees have been given or received and no expense has been recognized for bad or doubtful debts in respect of the above amounts due from the related parties. In addition, the Group and the Institute received income in the ordinary course of business, such as sponsorship, disciplinary and litigation costs recovery, accreditation, subscriptions and fees from council members or parties related to council members. e Group and the Institute also paid honoraria to recipients, some of whom are council members or parties related to council members, for various services provided to the Group and the Institute such as giving lectures and providing venues for training courses, marking of examination scripts, monitors' fees, accreditation and re-accreditation fees, contributing articles to the Group's and the Institute's publications and reviewing of listed companies' annual reports. e total amount paid to council members or parties related to council members in this relation was not significant. b. Subsidiaries of the Institute (i) HKICPA Beijing During the current year, the Institute paid service fees of HK$2,635,000 (2011: HK$2,526,000) to HKICPA Beijing for the promotion of the Institute's qualification programme and the provision of services to members in mainland China. (ii) e HKICPA Charitable Fund During the current year, the Institute donated HK$50,000 (2011: HK$550,000) to e HKICPA Charitable Fund. At 30 June 2012, included in "Payables and accruals" of the Institute is an amount of HK$50,000 (2011: HK$554,000) due to e HKICPA Charitable Fund. (iii) HKIAAT During the current year, the Institute charged service fees of HK$2,308,000 (2011: HK$2,308,000) to HKIAAT for management, rental and other services provided to HKIAAT at agreed terms. Total staff employment costs of HK$6,485,000 (2011: HK$5,781,000) was also recharged to HKIAAT for the human resources support on a cost recovery basis. In addition, HKIAAT organized the professional bridging examination on behalf of the Institute. Income of HK$987,000 (2011: HK$1,338,000) generated from and related expenses of HK$108,000 (2011: HK$425,000) incurred for the professional bridging examination were included in the amount due from HKIAAT. At 30 June 2012, included in "Receivables" of the Institute is an amount of HK$1,711,000 (2011: HK$1,422,000) due from HKIAAT arising from the services provided. (iv) e HKICPA Trust Fund At 30 June 2012, included in "Receivables" of the Institute is an amount of HK$45,000 (2011:Nil) due from e HKICPA Trust Fund.