# EUR-Lex - C2004/293/ - EN

Important legal notice

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# C2004/293/

**Notice to readers **

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Official Journal C 293 , 30/11/2004 P. s002 - s002 *

FOREWORD

1. The Court of Auditors, the independent external auditor of the European Union, publishes each year an Annual Report. This report is a component of the discharge procedure (Article 276 of the EC Treaty and Article 143 of the Financial Regulation). Discharge is the decision by which the European Parliament, after having received recommendations from the Council, releases the Commission, as the body responsible for the implementation of the budget, from any further liability in respect of its budget management, and brings the annual budgetary process to an end.

2. Article 274 of the EC Treaty assigns to the Commission the competence and accountability for implementation of the budget, in conformity with the provisions of the regulations [0] and having regard to the principles of sound financial management. Member States cooperate with the Commission to ensure that appropriations are used in accordance with the principles of sound financial management. Community expenditure is subject to various levels of control within the Commission and by Member State and beneficiary State administrations. The role of the Court is to assess financial management in the system as a whole, and in so doing to contribute to improvements in the way the European Union budget is managed.

3. From the 1994 financial year the Court has been required by the EC Treaty to provide the European Parliament and the Council with a statement of assurance on the reliability of the annual accounts of the European Communities prepared by, and under the responsibility of, the Commission, and on the legality and regularity of the underlying transactions. This statement, which is based on specific assessments for each major area of Community activity, forms the central part of the Annual Report of the Court.

4. In addition to the Annual Report, the Court publishes Special Reports on specific subjects, and presents Opinions on proposals for EU legislation of a financial nature. These reports and opinions are published in the Official Journal of the European Union, and on the Court's web-site www.eca.eu.int. Annex II of this report contains a list of the reports and opinions adopted by the Court during the last five years.

5. The financial statements of the Court for the year ended 31 December 2003, together with the external auditor's report, are published in the Official Journal of the European Union. The report certifies whether the financial statements show a true and fair view of the financial position and results, and reports on the administrative and accounting procedures, the soundness of financial management and the internal control system.

[0] Apart from the Decisions, Council Regulations and Directives concerning revenue ("own resources"), and the Financial Regulation applicable to the general budget of the European Union, there are specific regulations for the implementation of the various policies and instruments of the Union. The European Development Funds has its own body of regulations.

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