A4-0145/96

Proposal for a Council Regulation concerning on-the-spot checks and inspections by the Commission for the detection of frauds and irregularities detrimental to the financial interests of the European Communities (COM(95)0690 - C4-0115/96 - 95/0358(CNS))

The proposal was approved with the following amendments:

(Amendment 1)

Recital 1a (new)

>Text following EP vote>

Whereas the fight against fraud and irregularities detrimental to the financial interests of the European Communities is vital for the effectiveness of the single market and the credibility of the Union;

(Amendment 2)

Recital 6

>Original text>

Whereas, however, in order to step up action to combat organized fraud it is necessary, in dealing with irregularities committed deliberately or through gross negligence and having an impact on the Community budget, to lay down additional common provisions relating to on-the-spot inspections and checks by Commission officials;

>Text following EP vote>

Whereas, however, in order to step up action to combat fraud it is necessary, in dealing with irregularities committed deliberately or through gross negligence, and having an impact on the Community budget, to lay down additional common provisions relating to on-the-spot inspections and checks by Commission officials;

(Amendment 3)

Recital 6a (new)

>Text following EP vote>

Whereas fraud detrimental to the financial interests of the European Communities is not confined to one country and is often committed by organized criminal networks;

(Amendment 4)

Recital 7

>Original text>

Whereas Article 1(2) of Regulation (EC, Euratom) No 2988/95 contains a definition of the term 'irregularity';

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Whereas Article 1(2) of Regulation (EC, Euratom) No 2988/95 defines the term 'irregularity' as any infringement of a provision of Community law resulting from an act or omission by an economic operator, which has, or would have, the effect of prejudicing the general budget of the Communities or budgets managed by them, either by reducing or losing revenue accruing from own resources collected directly on behalf of the Communities, or by an unjustified item of expenditure;

(Amendment 5)

Recital 7a (new)

>Text following EP vote>

Whereas the nature of on-the-spot inspections and checks, and the way they are carried out, are designed to ensure that the law is uniformly and effectively applied and to detect irregularities damaging the European Communities' financial interests;

(Amendment 6)

Recital 10

>Original text>

Whereas, if action to combat fraud and irregularities is to be effective, it should be possible for the Commission to carry out inspections on the premises of government authorities and, if need be, those economic operators who may have been involved in the fraud in question, due regard being had to the fundamental rights of the persons concerned;

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Whereas, if action to combat fraud and irregularities is to be effective, the Commission must carry out inspections on the premises of government authorities and those economic operators who may have been involved in the fraud in question, due regard being had to the fundamental rights of the persons concerned;

(Amendment 7)

Recital 11

>Original text>

Whereas Member States can make a substantial contribution to inspections by the Commission's officials, whereas national officials should therefore be asked to take part in the inspections; whereas in its role as coordinator under the second paragraph of Article 209a of the EC Treaty the Commission may ask officials from other Member States to take part in inspections; whereas the Member States concerned should be informed;

>Text following EP vote>

Whereas Member States can make a substantial contribution to inspections by the Commission's officials, whereas national officials may therefore be asked to take part in the inspections; whereas in its role as coordinator under the second paragraph of Article 209a of the EC Treaty the Commission may ask officials from other Member States to take part in inspections; whereas the Member States concerned should be informed;

(Amendment 8)

Article 1

>Original text>

Without prejudice to any other provisions laid down pursuant to rules governing particular sectors, the provisions of this Regulation shall apply to on-the-spot inspections and checks performed by the Commission as part of its action to combat fraud and for the purpose of detecting any irregularity as defined in Article 1(2) of Regulation (EC, Euratom) No 2988/95.

>Text following EP vote>

The provisions of this Regulation shall apply to on-the-spot inspections and checks performed by the Commission as part of its action to combat fraud and for the purpose of detecting any irregularity as defined in Article 1(2) of Regulation (EC, Euratom) No 2988/95. They shall be without prejudice to sectoral rules, in so far as the latter implement or reinforce them.

(Amendment 9)

Article 3(2)

>Original text>

2. Officials of the Member State concerned may take part in the inspections.

>Text following EP vote>

2. Officials of the Member State concerned may, on request of the Commission's inspectors, take part in the inspections.

(Amendment 10)

Article 4(1), 3rd subparagraph

>Original text>

The Commission's inspectors shall produce their written authorization in which their identity and position shall be stated. They shall, when performing on-the- spot inspections and checks, conduct themselves in accordance with the rules and usages observed by officials of the Member States.

>Text following EP vote>

The Commission's inspectors shall produce their written authorization in which their identity and position shall be stated. Without prejudice to these provisions, they shall, when performing on-the-spot inspections and checks, conduct themselves in accordance with the rules and usages observed by officials of the Member States.

(Amendment 11)

Article 5(1), second subparagraph, indent 9a (new)

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- any other logical operations which might be necessary to carry out the investigation in a proper way.

(Amendment 12)

Article 6(4a) (new)

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4a. The European Information System and Europol shall be able to provide information on international fraud networks, which shall be passed on to the Commission.

(Amendment 13)

Article 7

>Original text>

Where the persons referred to in Article 2 resist an on-the-spot inspection or check, the Member State concerned shall give the Commission's inspectors such assistance as they need to enable them to take the appropriate steps to discharge their duty to carry out such on-the-spot inspection or check, in accordance with the Member State's rules of procedure.

>Text following EP vote>

Where the persons referred to in Article 2 resist an on-the-spot inspection or check a statement recording such refusal shall be drawn up and signed by the Commission inspectors, the persons referred to in Article 2 and the representatives of the Member State concerned. Furthermore, the Member State concerned shall give the Commission's inspectors such assistance as they need to enable them to take the appropriate steps to discharge their duty to carry out such on-the-spot inspection or check, in accordance with the Member State's rules of procedure. Sectoral rules may provide for the penalties referred to in Article 5(1) of Council Regulation (EC/Euratom) No 2988/95 to be imposed on persons who resist an inspection or check.

Legislative resolution embodying Parliament's opinion on the proposal for a Council Regulation concerning on-the-spot checks and inspections by the Commission for the detection of frauds and irregularities detrimental to the financial interests of the European Communities (COM(95)0690 - C4-0115/96 - 95/0358(CNS))

(Consultation procedure)

The European Parliament,

- having regard to the Commission proposal to the Council, (COM(95)0690 - 95/0358(CNS) ((OJ C 84, 21.3.1996, p. 10.)),

- having been consulted by the Council pursuant to Article 235 of the EC Treaty and Article 203 of the EAEC Treaty (C4-0115/96),

- having regard to Rule 58 of its Rules of Procedure,

- having regard to the report of the Committee on Budgetary Control and the opinion of the Committee on Civil Liberties and Internal Affairs (A4-0145/96),

1. Approves the Commission proposal, subject to Parliament's amendments;

2. Calls on the Commission to alter its proposal accordingly, pursuant to Article 189a(2) of the EC Treaty, and Article 119, second subparagraph, of the Euratom Treaty;

3. Asks to be consulted again should the Council intend to make substantial modifications to the Commission proposal;

4. Instructs its President to forward this opinion to the Council and Commission.