Sample Fund Utilisation Certificate by Chartered Accountant CA

A fund utilisation certificate is obtained by an entity from a Chartered Accountant (CA) for submission to the concerned statutory authority under the prescribed legal provisions.

In a fund utilisation certificate, the CA mainly certifies that the funds raised or taken by the entity from the lenders or investors is used for the intended purposes as indicated to the lenders or investors in a specific document shared with them before getting the funds.

Here are formats of such CA certificates.

SAMPLE #1

TO WHOMSOEVER IT MAY CONCERN

At the request of ............................ Limited (herein referred to as 'the company'), We, ................. & Associates, Chartered Accountants, have examined the books of accounts and relevant records and documents of the company produced for our verification in relation to utilisation of funds raised by issuance of (Number) Equity/Preference Shares/ Non-convertibles Debentures (NCDs) of Rs. ......................... (Rupees ............................... only).

On the basis of the verification conducted by us, we hereby confirm and certify that the company has utilised such funds only towards (purpose), the object of the issue as mentioned in the Information Memorandum dated ............................

For ..................... & Associates,

Chartered Accountants

(Firm Regn. No. .....................)

  (signature)    (seal/stamp)

(Name of the Chartered Accountant)

Partner

Membership No. ..............

Date: ................

Place: ...............

UDIN: ...............................

SAMPLE #2

TO WHOMSOEVER IT MAY CONCERN

We have undertaken the assignment of certifying the funds utilized for (Project Name) bearing RERA Registration Number ................

The Promoter(s) in compliance with section 4(2)(l)(D), of the Real Estate (Regulation and Development) Act, 2016 has deposited 70% of the amounts received from the allottees of this project in the following account:

Name of the Account Holder: ............................

Designated Account Number: ............................

Bank Name: ............................

IFSC Code: ............................

Branch Name: ............................

Sl. No. Particulars INR in Rs.

1. Opening Balance in the Designated Account

2. Total Amount collected from Allottees

3. Total Amount invested by Promoter (Own Fund)

4. Total Borrowings

5. Total Amount utilized  for Project till date

6. Closing Balance

We certify and confirm that out of the funds received i.e. Rs. ................, Rs. .............. has been utilized for construction purposes of the project i.e. (Project Name) and Rs. .............. remains unutilized. Expenditures incurred for the purpose for which the funds were received is verified with the documents produced before us.

We have exercised the following checks to see that the money was actually utilized for the purpose for which it was sanctioned.

Kinds of checks exercised:

1. Vouchers and Books of Account;

2. Measurement Books;

3. Grant-in-aid/ Loan Register;

4. Expenditure Register; and

5. Other relevant documents.

For ..................... & Associates,

Chartered Accountants

(Firm Regn. No. .....................)

  (signature)    (seal/stamp)

(Name of the Chartered Accountant)

Partner

Membership No. ..............

Date: ................

Place: ...............

UDIN: ...............................