2005/354/EC: Commission Decision of 29 April 2005 excluding from Community financing certain expenditure incurred by the Member States under the Guarantee Section of the European Agricultural Guidance and Guarantee Fund (EAGGF) (notified under document nu


Published: 2005-04-29

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L_2005112EN.01001401.xml

3.5.2005   

EN

Official Journal of the European Union

L 112/14

COMMISSION DECISION

of 29 April 2005
excluding from Community financing certain expenditure incurred by the Member States under the Guarantee Section of the European Agricultural Guidance and Guarantee Fund (EAGGF)
(notified under document number C(2005) 1307)
(Only the Spanish, Danish, German, Greek, English, French, Italian, Dutch and Portuguese texts are authentic)
(2005/354/EC)
THE COMMISSION OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Community,
Having regard to Regulation (EEC) No 729/70 of the Council of 21 April 1970 on the financing of the common agricultural policy (1), and in particular Article 5(2)(c) thereof,
Having regard to Council Regulation (EC) No 1258/1999 of 17 May 1999 on the financing of the common agricultural policy (2), and in particular Article 7(4) thereof,
Having consulted the Fund Committee,
Whereas:

(1)

Article 5 of Regulation (EEC) No 729/70, Article 7 of Regulation (EC) No 1258/1999, and Article 8(1) and (2) of Commission Regulation (EC) No 1663/95 of 7 July 1995 laying down detailed rules for the application of Council Regulation (EEC) No 729/70 regarding the procedure for the clearance of the accounts of the EAGGF Guarantee Section (3) provide that the Commission is to make the necessary verifications, inform the Member States of its findings, take account of the Member States’ comments, initiate bilateral discussions and then formally communicate its conclusions to the Member States, referring to Commission Decision 94/442/EC of 1 July 1994 setting up a conciliation procedure in the context of the clearance of the accounts of the European Agricultural Guidance and Guarantee Fund (EAGGF) Guarantee Section (4).

(2)

The Member States have had an opportunity to request that a conciliation procedure be initiated. That opportunity has been used in some cases and the report issued on the outcome has been examined by the Commission.

(3)

Under Articles 2 and 3 of Regulation (EEC) No 729/70 and Article 2 of Regulation (EC) No 1258/1999, only refunds on exports to third countries and intervention to stabilise agricultural markets, respectively granted and undertaken according to Community rules within the framework of the common organisation of the agricultural markets, may be financed.

(4)

In the light of the checks carried out, the outcome of the bilateral discussions and the conciliation procedures, part of the expenditure declared by the Member States does not fulfil these requirements and cannot, therefore, be financed under the EAGGF Guarantee Section.

(5)

The amounts that are not recognised as being chargeable to the EAGGF Guarantee Section should be indicated. Those amounts do not relate to expenditure incurred more than twenty-four months before the Commission’s written notification of the results of the checks to the Member States.

(6)

As regards the cases covered by this Decision, the assessment of the amounts to be excluded on grounds of non-compliance with Community rules was notified by the Commission to the Member States in a summary report on the subject.

(7)

This Decision is without prejudice to any financial conclusions that the Commission may draw from the judgments of the Court of Justice in cases pending on 31 October 2004 and relating to its content,
HAS ADOPTED THIS DECISION:
Article 1
The expenditure itemised in the Annex hereto that has been incurred by the Member States’ accredited paying agencies and declared under the EAGGF Guarantee Section shall be excluded from Community financing because it does not comply with Community rules.
Article 2
This Decision is addressed to the Kingdom of Belgium, the Kingdom of Denmark, the Federal Republic of Germany, the Hellenic Republic, the Kingdom of Spain, the French Republic, the Italian Republic, the Kingdom of the Netherlands, the Portuguese Republic, and the United Kingdom of Great Britain and Northern Ireland.

Done at Brussels, 29 April 2005.


For the Commission

Mariann FISCHER BOEL


Member of the Commission




(1)  OJ L 94, 28.4.1970, p. 13. Regulation as last amended by Regulation (EC) No 1287/95 (OJ L 125, 8.6.1995, p. 1).

(2)  OJ L 160, 26.6.1999, p. 103.

(3)  OJ L 158, 8.7.1995, p. 6. Regulation as last amended by Regulation (EC) No 465/2005 (OJ L 77, 23.3.2005, p. 6).

(4)  OJ L 182, 16.7.1994, p. 45. Decision as last amended by Decision 2001/535/EC (OJ L 193, 17.7.2001, p. 25).

ANNEX

Sector
Member State
Budget item
Reason
National Currency
Expenditure to exclude from financing
Deductions already made
Financial impact of this decision
Financial year
Financial audit
BE
Various
Flat-rate corrections 2 % — Failure to comply with approval criterion laid down in Regulation (EC) No 1663/95
EUR
– 354 172,05
0,00
– 354 172,05
2000-2001
 
Total BE
 
 
 
– 354 172,05
0,00
– 354 172,05
 
Export refunds
DE
2100-013 to 2100-016
Disallow all expenditure on export refunds of live cattle for rail transport and flat-rate correction of 5 % to exports for road transport — failure to comply with Directive 91/628/EEC and Regulation (EC) No 615/98
EUR
– 13 823 822,23
0,00
– 13 823 822,23
1999-2001
Public storage
DE
2111, 2112, 2113
Shortcomings in tendering procedure + delivery of consignments less than the 10 tonnes required by Article 17(1) of Regulation (EC) No 562/2000
EUR
– 3 860 285,14
0,00
– 3 860 285,14
2001-2002
 
Total DE
 
 
 
– 17 684 107,37
0,00
– 17 684 107,37
 
Financial audit
DK
Various
Correction — Application of Regulation (EC) No 1258/99 — Failure to comply with payment deadlines
DKK
– 4 910,60
– 346 907,17
341 996,57
2002
 
Total DK
 
 
 
– 4 910,60
– 346 907,17
341 996,57
 
Livestock premiums
GR
2129
Flat-rate corrections of 2 % — absence of identification and registration system
EUR
– 33 809,35
0,00
– 33 809,35
2001-2002
Arable crops
GR
1041-1060, 1310, 1858
Flat-rate corrections of 5 % — insufficient assurance provided that claims are regular
EUR
– 25 361 283,00
0,00
– 25 361 283,00
2002
Olive oil
GR
1220
Delays withdrawing accreditation and imposing quality penalties
EUR
– 200 146,68
0,00
– 200 146,68
1996-1998
Financial audit
GR
Various
Correction — application of Regulation (EC) No 1258/99 — failure to comply with payment deadlines
EUR
– 875 706,08
– 1 083 685,95
207 979,87
2001
 
Total GR
 
 
 
– 26 470 945,11
– 1 083 685,95
– 25 387 259,16
 
Fruit and vegetables
ES
1508
Flat-rate corrections of 5 % for shortcomings in the key checks/compensation in the banana sector
EUR
– 348 947,00
0,00
– 348 947,00
2000
Flax and hemp
ES
1400, 1402
Flat-rate corrections of 25 % for flax and 10 % and 25 % for hemp — major shortcomings in the control system
EUR
– 21 077 981,00
0,00
– 21 077 981,00
1996-2000
Flax
ES
1400
Flat-rate corrections of 100 % — major shortcomings in the control system + general fraud
EUR
– 113 399 346,00
0,00
– 113 399 346,00
1999-2004
Rural development
ES
4051-4072
Flat-rate corrections of 2 % — Shortcomings in the application of the management and control system — Agri and forestry measures — national level
EUR
– 71 222,00
0,00
– 71 222,00
2001-2002
Rural development
ES
4051
Flat-rate corrections of 2 % and 5 % — Shortcomings in the application of the management and control system — Agri measures (Andalusia)
EUR
– 8 067,00
0,00
– 8 067,00
2001-2002
Rural development
ES
4051
Flat-rate corrections of 5 % — Shortcomings in the application of the management and control system — Agri measures (Castille-La Mancha)
EUR
– 1 186,00
0,00
– 1 186,00
2001-2002
 
Total ES
 
 
 
– 134 906 749,00
0,00
– 134 906 749,00
 
Export refunds
FR
2100-013 to 2100-016
Flat-rate corrections of 5 % — inadequate controls — and 10 % — weaknesses detected in how the controls laid down by Article 4 of Regulation (EC) No 615/98 are organised
EUR
– 1 649 755,75
0,00
– 1 649 755,75
1999-2001
Livestock premiums
FR
2120, 2122, 2124, 2125, 2128
Flat-rate corrections of 2 % — correction at national level —, 5 % — national database not operational and cross-checks not performed and 10 % — absence of checks despite high level of anomalies noted
EUR
– 293 300,82
0,00
– 293 300,82
2001-2003
Fruit and vegetables
FR
1508
Flat-rate corrections of 10 % (Guadeloupe) and 5 % (Martinique) for shortcomings in key checks/ compensation in banana sector
EUR
– 14 216 626,64
0,00
– 14 216 626,64
2001-2003
Financial audit
FR
Various
Certification of 2001 accounts — anomalies and shortcomings in the management of the aid by several paying agencies under various budget lines
EUR
– 1 234 211,49
0,00
– 1 234 211,49
2001
Financial audit
FR
4040-4051
Certification of 2001 accounts — anomalies and shortcomings in the management of the aid by several paying agencies under various budget lines
EUR
– 1 058 464,21
0,00
– 1 058 464,21
2001
 
Total FR
 
 
 
– 18 452 358,91
0,00
– 18 452 358,91
 
Olive oil
IT
1210
Ceiling for maximum actual production of olive oil exceeded in marketing years 1998/1999 and 1999/2000
EUR
– 68 708 032,11
0,00
– 68 708 032,11
2000-2003
 
Total IT
 
 
 
– 68 708 032,11
0,00
– 68 708 032,11
 
Fruit and vegetables
NL
1502
Correction for expenditure exceeding the flat rate of 2 %
EUR
– 68 812,25
0,00
– 68 812,25
2003
 
Total NL
 
 
 
– 68 812,25
0,00
– 68 812,25
 
Fruit and vegetables
PT
1502
Correction — operational programmes — application of Article 4 of Regulation (EC) No 296/96 — payment deadlines
EUR
– 78 935,21
0,00
– 78 935,21
2002
 
Total PT
 
 
 
– 78 935,21
0,00
– 78 935,21
 
Milk
UK
2071
Corrigendum to financial correction in the 1994 Clearance of Accounts Decision 98/358/EC
GBP
76 152,65
0,00
76 152,65
1991-1993
Rural development
UK
40
Correction — error in the application of exchange rate in calculating the advance
GBP
– 151 106,80
0,00
– 151 106,80
2000
Livestock premiums
UK
2120, 2122, 2124, 2125, 2128
Flat-rate correction 2 % and 5 % — weaknesses as regards identification and registration, minimum level of on-site audits provided for in Article 6(3) of Regulation (EEC) No 3887/92 not achieved for claim year 2000
GBP
– 6 822 958,75
0,00
– 6 822 958,75
2000-2001
Livestock Premiums
UK
2126
Flat-rate corrections of 5 % and 10 % — control weaknesses in the initial period of operation
GBP
– 566 921,00
0,00
– 566 921,00
1998
Livestock Premiums
UK
3700
Correction of an amount already reimbursed: irregularity — Decision 2003/481/EC of 27 June 2003
GBP
43 474,18
0,00
43 474,18
1995
 
Total UK
 
 
 
– 7 421 359,72
0,00
– 7 421 359,72