TRC Final Report

Volume 6

Section 6

Part Appendices

Subsection 3

TRUTH AND RECONCILIATION COMMISSION

NOTES TO THE FINANCIAL STATEMENTS

1 . Formation and primary objectives

1.1 The Truth and Reconciliation Commission was established in terms of section 2(1) of the Promotion of National Unity and Reconciliation Act, 1995 (Act No. 34 of 1995). The Commissioners were appointed by the President in terms of section 7(2)(a) of the Act on 15 December 1995.

1.2 The objectives of the Commission are to promote national unity and reconciliation in a spirit of understanding which transcends the conflicts and divisions of the past by establishing a complete picture of the causes, nature and extent of gross violations of human rights by conducting investigations and holding hearings; facilitating the granting of amnesty to persons who make full disclosure of all the relevant facts relating to these acts; establishing and making known the fate or whereabouts of victims and recommending reparation measures in respect of them; and compiling a report providing a comprehensive account of the activities and findings of the Commission.

2. Accounting policy

The annual financial statements have been prepared in accordance with generally accepted accounting practice. The principal accounting policy is as follows:

2.1 Basis of presentation The annual financial statements are prepared on the historical cost basis.

2.2. Fixed assets and depreciation Fixed assets are stated at cost price less accumulated depreciation. Leasehold improvements are written off over the expected life-span of the Commission. All other assets are depreciated over their useful lives on the straight line method.

2.3 Income and expenditure Income and expenditure is recognised on the accrual basis.

2.4 Donations Donations and interest earned on donations are recognised in full in the year in which the donations are authorised. However, unspent donor funds and interest earned thereon will be refunded to the donor at the end of the project. The refund of donor funds and interest will be accounted for in the year in which the transfer takes place.