DONACO INTERNATIONAL LIMITED 2018 ANNUAL REPORT 68 69 DONACO INTERNATIONAL LIMITED 2018 ANNUAL REPORT 69 68 NOTES TO THE FINANCIAL STATEMENTS for the year ended 30 June 2018 NOTES TO THE FINANCIAL STATEMENTS for the year ended 30 June 2018 NOTE 32. RELATED PARTY TRANSACTIONS PARENT ENTITY Donaco International Limited is the legal parent entity. Donaco International Limited is listed on the Australian Securities Exchange (ASX: DNA). Interests in subsidiaries are set out in note 34. KEY MANAGEMENT PERSONNEL Disclosures relating to key management personnel are set out in note 29 and the remuneration report included in the directors’ report. TRANSACTIONS WITH RELATED PARTIES The following transactions occurred with related parties during 2018. NOTE 30. REMUNERATION OF AUDITORS During the financial year the following fees were paid or payable for services provided by Crowe Horwath the auditor of the company, and unrelated firms. CONSOLIDATED 2018 2017 $ $ Audit services – Crowe Horwath Sydney Audit or review of the financial statements 97,500 97,500 97,500 97,500 Audit services – related firms Audit or review of the financial statements 206,044 239,202 Preparation of the tax return 984 1,022 207,028 240,224 Audit services – unrelated firms Audit or review of the financial statements 72,660 74,135 Other services – unrelated firms Preparation of the tax return 1,803 5,019 74,463 79,154 NOTE 31. COMMITMENTS CONSOLIDATED 2018 2017 $ $ Capital commitments Committed at the reporting date but not recognised as liabilities, payable: Property construction works 599,871 637,089 Property, plant and equipment 37,914 – Car – 44,028 637,785 681,117 Lease commitments – operating Committed at the reporting date but not recognised as liabilities, payable: Within one year 311,063 371,396 One to five years 659,182 792,453 More than five years 7,580,362 7,443,115 8,550,607 8,606,964 Operating lease commitments includes contracted amounts for various offices and sites within Australia and South-East Asia under non-cancellable operating leases. The leases have varying terms, escalation clauses and renewal rights. On renewal, the terms of the leases are renegotiated CONSOLIDATED 2018 2017 $ $ Leasing fees paid to Lee Hoe Property Co., Ltd – a director-related entity 77,382 156,012 Rental received from director’s immediate family 58,332 111,734 Technical support fees paid by Lao Cai JVC to iSentric Limited – a director-related entity 139,243 187,214 Management fees received for Star Paradise Casino property from MMD Travel Co Ltd – a director-related entity 477,992 2,338,782 Disposal of property, plant and equipment to previous owner of DNA Star Vegas Co, Ltd – a director-related entity 141,351 586,237 The above transactions occurred at commercial rates. In 2017, the following transactions occurred with parties who ceased to be related parties during 2018: Labour hire fee paid to Star Vegas Resort & Club Co, Ltd – a director-related entity – 11,959,472 Licence agreement for occupation of office space paid to Infinite Capital Co., Ltd – a director-related entity – 45,840 Management fees accrued to previous owner of DNA Star Vegas Co, Ltd – a director-related entity – 19,045,688 There were no other payables or receivables from related parties at the current or previous reporting date. Loans to/from related parties There were no loans to or from related parties at the current and previous reporting date. Terms and conditions All transactions were made on normal commercial terms and conditions and at market rates.