Grading Rationale

Brickwork Ratings assigns “BWR TN 4 Star” for the Non- Governmental Organisation (NGO) Grading of Anbu Karangal Society (KAKS or “the Society”)

Brickwork Ratings Pvt Ltd (BWR) has assigned “BWR TN 4 Star”*# (Pronounced BWR Four Star) grade to Karur Anbu Karangal Society (KAKS), which indicates that the organisation has resources and processes that can deliver Above Average performance and sustainability. The grading assigned is valid for one year and is subject to an annual surveillance.

ORGANISATION BACKGROUND Karur Anbukarangal Society is a service minded, not for profit organization in Vennaimalai, Karur, Tamilnadu. The Society was registered in 1994 (Regn No.55/1994) under Tamil Nadu Societies Act 1975, KAKS is a Tamil Nadu State Government recognized society established for serving the underprivileged, especially orphans, destitute children, widows, mentally retarded people and senior citizens for the last 20 years. The society focuses on various social, environmental and health issues.

METHODOLOGY ADOPTED

BWR NGO Grade reflects BWR’s current opinion on the ability of the NGO to make the impact it aims to in a sustainable manner. BWR has drawn up several qualitative and quantitative parameters, based on its own research and in consultation with various experts in this field and in the “user industries”, to make an assessment of an NGO’s standing and capability. BWR has formulated its own criteria by broadly categorizing these assessment parameters into various distinct areas and developed “PROVEN” Methodology viz, People, Resources and asset quality, Organization structure, Value creation, Efficiency in operational and financial management and Nourishment for growth.

GRADING RATIONALE The grading assigned positively factors KAKS’ established track record of over two decades of service to the underprivileged and deserving sections of the society with dedicated and experienced management, with the continued patronage from Department of Social Welfare, Tamil Nadu Government, availability of necessary processes and infrastructure for attaining the stated objectives and ability to raise donations on an ongoing basis. BWR also notes KAKS’ efforts for putting in place adequate internal control and monitoring mechanisms and reasonable transparency and accountability norms.

*TN stands for “Tamil Nadu” State # Please refer to www.brickworkratings.com for definition of the Grading

www.brickworkratings.com 1 6 May 2015

However, the grading is constrained by the modest scale of operations of KAKS, small corpus of the Society, significant dependence on individual donors and the need for continuous funds for establishment and improvement of infrastructure facilities for delivery of services. KAKS does not have any specific fund raising activity for mobilisation of funds. However, KAKS is established and fairly reputed in Karur, Tamil Nadu and regular donations are received through word of mouth from the general public.

KARUR ANBU KARANGAL SOCIETY – PROFILE

Karur Anbukarangal Society is a service minded, not for profit organization registered 1994 (Regn No.55/1994) under Tamil Nadu Societies Act 1975, with its registered office at 25, Ganesh Nagar, Vennaimalai, Karur, Tamilnadu -639006. It is a Tamil Nadu State Government recognized society established for serving common people and the underprivileged with special reference to orphans, neglected and destitute children, widows, mentally retarded people and senior citizens for the last 20 years. The society focuses on various social, environmental and health issues.

The society handles three major activities under the name and style of Home for Destitute Children, Home for Senior Citizens (Integrated complex) and Home for Differently abled persons. Apart from these, the society also undertakes Family counselling programme, SUMIR (Service to the uncared Mentally ill and retarded people) programme etc.,

Under the activity - Home for Destitute Children, the society provides food, shelter and clothing to children who are dropouts from school and employed in garment, heavy body building vehicle factories etc in and nearby places. It also provides basic education by re-induction of the children into normal schools. At present the Home has 30 orphans and destitute children.

Under the activity – Home for Senior citizens, the Society started the Home with Mrs.Rengathal as its first inmate and at present the Home accepts senior citizens of all ages from not only Karur but also from other places. All the inmates are above 60 years of age and some are with disability.

The Society owns land measuring around 17000 sq ft in Karur. Presently, 4 buildings covering an area of around 12000 Sq ft have been constructed on this property. The existing buildings consist of meeting hall, entertainment hall, separate dormitories for elderly female members, mentally challenged boys and girls, kitchen, Library, office and playground etc. The society has been accredited with ISO 9001:2008 certification valid till Nov 10th 2017. Currently, KAKS is constructing an additional two buildings to house male and female senior citizens. At present the Society arranges free medical check - ups and medicines from nearby Hospitals and Doctors from the neighbourhood.

www.brickworkratings.com 2 6 May 2015

Over 20 years of existence, the society has served more than 400 people as inmates and thousands of people under its various activities. At present, KAKS has around 82 inmates. The society takes destitute children belonging to Karur District only as inmates and in case of senior citizens there is no restriction.

MANAGEMENT OF KAKS The Society was founded by Shri.K.P.Kanakaraj. Shri.S.Senthil Selvamurugan is the Present President and Shri.P.Sekar is the Secretary. Presently, there are 21 members in the Society. The members are devoted social workers and come from different professions and social classes.

FUND RAISING AND DONATIONS Department of Social welfare (DSW), Karur, Tamilnadu has been releasing grants to the Society regularly as it is recognised by the state government. DSW releases donations based on the number of inmates each year, subject to a maximum of Rs.10 lakhs per annum.

Apart from the grants from the state government, the society does not have any specific fund raising activity. The Society has been receiving donations in cash and kind from well - wishers and is creating awareness about functioning of the society.

OTHER ACTIVITIES KAKS has also established a counselling centre for counselling people affected by family and social problems. Last year, the centre counselled 86 clients including 31 people referred by the local Police station, voluntary health organisations and the Dept of Social welfare, Tamil Nadu. The secretary of the society Mr.P.Sekar has been nominated as Member in District Juvenile Justice Board, Karur by Social Defence Department, Government of Tamil Nadu.

FINANCIAL PERFORMANCE Net receipts of the Society have decreased marginally from Rs0.50 Cr in FY 13 to Rs0.49 Crores in FY 14, in view of slightly lower donations during FY14. Total corpus of the Trust stood at Rs1.23 Cr as on March 31, 2014. The Society has no debt on its books.

FUTURE GROWTH In view of the support from Department of Social Welfare, Tamil Nadu and regular donations in cash, kind and time from various sources, and taking into consideration the significant social causes served, BWR believes that KAKS’s activities are sustainable.

www.brickworkratings.com 3 6 May 2015

However, scalability and sustainability of operations is dependent upon availability of funds for growth. Enhancing people participation through specific fundraising efforts is essential for expansion of activities and ensuring that donor funding is most effectively utilized for the stated purposes.

Analyst Contact Relationship Contact

[email protected] [email protected]

Phone Media Contact

1-860-425-2742 [email protected]

Disclaimer: Brickwork Ratings (BWR) has assigned the rating based on the information obtained from the issuer and other reliable sources, which are deemed to be accurate. BWR has taken considerable steps to avoid any data distortion; however, it does not examine the precision or completeness of the information obtained. And hence, the information in this report is presented “as is” without any express or implied warranty of any kind. BWR does not make any representation in respect to the truth or accuracy of any such information. The rating assigned by BWR should be treated as an opinion rather than a recommendation to buy, sell or hold the rated instrument and BWR shall not be liable for any losses incurred by users from any use of this report or its contents. BWR has the right to change, suspend or withdraw the ratings at any time for any reasons.

www.brickworkratings.com 4 6 May 2015