ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(74)705
Vol.1974/0110

Disclaimer
Conformément aurèglement(CEE,Euratom)n°354/83duConseildu1erfévrier1983
concernantl'ouvertureaupublicdesarchiveshistoriquesdelaCommunauté économique
européenneetdelaCommunautéeuropéennedel'énergieatomique(JOL43du15.2.1983,
p.1),telquemodifiéparlerèglement(CE,Euratom)n°1700/2003du22septembre2003
(JOL243du27.9.2003,p.1),cedossierestouvertaupublic.Lecaséchéant,lesdocuments
classifiésprésentsdanscedossierontétédéclassifiésconformément àl'article5dudit
règlement.
InaccordancewithCouncilRegulation(EEC,Euratom)No354/83of1February1983
concerningtheopeningtothepublicofthehistoricalarchivesoftheEuropeanEconomic
CommunityandtheEuropeanAtomicEnergyCommunity(OJL43,15.2.1983,p.1),as
amendedbyRegulation(EC,Euratom)No1700/2003of22September2003(OJL243,
27.9.2003,p.1),thisfileisopentothepublic.Wherenecessary,classifieddocumentsinthis
filehavebeendeclassified inconformitywithArticle5oftheaforementioned regulation.
InÜbereinstimmung mitderVerordnung(EWG,Euratom)Nr.354/83desRatesvom1.
Februar1983überdieFreigabederhistorischen ArchivederEuropäischen
Wirtschaftsgemeinschaft undderEuropäischen Atomgemeinschaft (ABI.L43vom15.2.1983,
S.1),geändertdurchdieVerordnung(EG,Euratom)Nr.1700/2003vom22.September2003
(ABI.L243vom27.9.2003,S.1),istdieseDateiderÖffentlichkeitzugänglich.Soweit
erforderlich,wurdendieVerschlusssachen indieserDateiinÜbereinstimmung mitArtikel5
dergenanntenVerordnungfreigegeben.

COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(74)705 final
Brussels ,27May 1974
Draft
REGULATION OPTHE COMMISSION
introducing procedures forimplementing certain
provisions ofthefinancial regulation of25April 1973
CCM(74 )705final

XIX/173/74-E
RgGULATTOyr IITCftOBJCIMa PROCEDURES FORIMPLEMENTING CBRTAIlf
PROVISIONS OFTHEFINANCIAL REGULATION OP25APRIL1973
THECOMMISSION OPTHEEUROPEANCOIMJNITIES ,
HavingregardtotheTreatyestablishingtheEuropeanCoaland.Steel
Community,andinparticularArticles78(4)and;.(7)thereof,
HavingregardtotheTreatyestablishing theEuropeanEconomicCommunity,
andinparticularArticles205209thereof,
HavingregardtotheTreatyestablishing theEuropeanAtomicEnergy
Community,andinparticularArticles179f,nd183thereof,
HavingregardtotheFintCiialRegulationof25April1973applicable
tothegeneralbudgetoftheEuropeanCommunities ,andinparticular
Article118thereof,
WhereascertainprovisionsofArticles18,19, provide
explicitlythattheproceduresfortheirimplementation bedrawnupby
theCommission,
Whereasthedrawing-upofsuchproceduresshallnotpreventthedrawing-up
atalaterdateofotherproceduresforwhichnoformalprovisionismade
intheFinancialRegulationbutwhichmightsubsequently appearexpedient ,
HavingconsultedtheEuropeanParliament andtheCouncil,
HavingregardtotheOpinionoftheCourtofJusticeandoftheEconomic
andSocialCommittee ,
HASADOPTEDTHISREGULATION INTRODUCING PROCEDURES FORIMPLEMENTING CERTAIN
PROVISIONS OFTHEFINANCIAL REGULATION OF25APRIL1973:

^-2-
TITLE I-DELEGATIONS OPPOWERS (Article 18oftheFinancial Regulation )
Article 1Theacts bywhich powers shall "bedelegated pursuant tothe
provisions ofArticle 18oftheFinancial Regulation shall
contain nominations ofthose members ofstaff oftheInstitution
authorized tosign instead ofthedelegator .
Article 2"These acts shall becommunicated "bythedelegator tothe
delegatees ,theaccounting officer ,theFinancial Controller ,
theAudit Board and ,ifthey areinvolved ,theauthorizing
officers .These acts shall beaccompanied byaspecimen
signature ofthedelegatee .
Theacts terminating such delegation shall becommunicated
under the same conditions .
Article 3Inevery case theactofdelegation shall specify thelimits
within which thedelegatees areauthorized todraw upcollection
orders ,proposals forcommitment ofexpenditure andpayment
orders ,thenumbers oftheArticles andItems inrespect of
which thepowers have been delegated and ,where appropriate ,
thelength oftime forwhich such powers have been delegated .
Article 4Each institution shall adopt themeasures foradministering the
appropriations -itdeems necessary fortheproper implementation
ofthesection ofthebudget forwhich itisresponsible .
TITLE II-RULES APPLICABLE TOTHEFINANCIAL CONTROLLER ANDTOTHEASSISTANT
FINANCIAL CONTROLLERS (Article 19oftheFinancial Regulation )
Article 5TheInstitution shall appoint ,byadecision which gives thegrounds
therefor ,theFinancial Controller whoshall betheofficial incharge
ofthecontrol ofcommitments andauthorization ofall
expenditure andalsothecontrol ofallrevenue allocated ^
tothebudget oftheCommunities forhichtheinstitution
istheapproving authority .
Article 6TheInstitution mayappoint oneormoreassistant financial
controllers .Thelatter shall report totheFinancial
'Controller ,whoshall decide onthepowers tobedelegated
tothem .Theyshall beartheresponsibility fortheapprovals
granted bytheminpursuance ofthepowers delegated tothem
ortheinstructions which they have received .

-3- XIX/173/74-E
Article 7Because oftheir special responsibilities ,theFinancial Controller
andtheassistant financial controllers must bechosen bythe
Institution from among /nationals oftheMember States .
Article 8TheInstitution shall place atthedisposal oftheFinancial
Controller theservices necessary forthesuccess ofhischecking
work .
Article 9Alldecisions relating to-thedelegation andsubdelegation ofpowers
bytheFinancial Controller ortheassistant financial controllers
shall comply with theprovisions ofArticles 1to3.
Article 10Incarrying outhischecking ,theFinancial Controller shall be
completely independent andshall beresponsible only tothe
Institution .Hemay notreceive anyinstructions asregards the
execution oftheduties assigned tohim pursuant totheprovisions
oftheFinancial Regulation invirtue -ofhis appointment .
Subject totheprovisions ofArticle 6,theprovisions ofthe
preceding subparagraph shall also apply totheassistant financial
controllers .
Article 11'TheFinancial Controller maypresent reports totheInstitution ,at
anytime andonanysubject having financial implications ,especially
asregards sound financial management .
Article 12The Financial Controller and the assistant financial controllers shall
have access toallsupporting documents andtoallother documents
relating totheexpenditure andrevenue operations which require to
1bechecked .They may carry outon-the-spot checks .
Article 13Theliability oftheFinancial Controller andoftheassistant financial
controllers todisciplinary action and ,where appropriate ,topayment
ofcompensation ,canbeinvoked only bytheInstitution itself ,in
thefollowing circumstances :

-ч- AlA/'l/J//4-jj
TheInstitution shall take adecision which gives the grounds tnerefor
toconduct aninquiry .This decision shall "becommunicated tothe
person concerned and ,ifheisanassistant financial controller ,to
theFinancial Controller .TheInstitution may ,onitsownresponsibility ,
instruct one ormore officials ofagrade not lower than that ofthe
member ofstaff concerned andnot carrying outtheduties ofa
Financial Controller ,authorizing officer oraccounting officer ,
toconduct theinquiry .During theinquiry theperson concerned and ,
ifheisanassistant financial controller ,theFinancial Controller ,
must ofnecessity "begiven ahearing .
Thereport ontheinquiry shall betransmitted totheperson concerned
and ,ifheisanassistant financial controller ,totheFinancial '•
Controller .Theperson concerned shall then begiven ahearing by
theInstitution with regard tothat report .
Onthebasis ofthereport ofthehearing ,theInstitution shall
take either adecision which gives thegrounds therefor togive
discharge totheperson concerned orasimilar decision inaccordance
with theprovisions ofArticles 22and86to89oftheStaff Regulations .
Decisions involving disciplinary action and/orpecuniary penalties
shall becommunicated totheperson concerned and ,forinformation
purposes ,totheother institutions ,theAudit Board and ,ifthe
person concerned isanassistant financial controller ,tothe
Financial Controller .
Theperson concerned may lodge anappeal with theCourt ofJustice ,in
accordance with theprovisions ofthe Staff Regulations ,inrespect •
ofsuch decisions .
Article 14Without prejudice tothegrounds forappeal setoutintheStaff
Regulations andtheConditions ofEmployment ofOther Servants ,the
Financial Controller andtheassistant financial controllers may lodge
anappeal with the Court ofJustice with regard toanyactrelating to
their checking work .Such appeals must belodged within three months
from thedate ofnotification ofthe act inquestion *
Theprovisions ofthepreceding' subparagraph shall apply only toappeals
filed bytheInstitution against itsFinancial Controller prits
assistant financial controllers .
Appeals shall beinvestigated andheard asprovided forinArtiole 91(5/
oftheStaff Regulations .

-5-XIX/173/74-E
TITLE III-REGISTRATION OPCOLLECTION ORDERS (Article 23oftheFinancial
Regulation )
Article 15Acollection order must bedrawn upforevery document substantiating
adebt andmust besubmitted totheFinancial Controller forapproval
and totheaccounting officer forregistration before being
communicated tothe debtor .
Article 16Ifadocument ordecision giving rise toadebt cannot beaccompanied
byasubstantiation ofthedebt because itisimpossible todetermine
theamount immediately ,ihat document ordecision shall besubmitted
totheFinancial Controller forprior approval andcommunicated to
the accounting officer .
Article 17The authorizing officer andtheFinancial Controller must beinformed
assoon aspossible ofeach payment received .
Article 1bTheregistration inthebudgetary accounts ofthecorresponding
collection orders andordeisfor therecovery offunds shall becarried
outbythecentral accounts department oftheInstitution soasto
guarantee full supervision ofallthe sums due TOtheInstitution ,
thus enabling thefollowing facts ,inparticular ,tobeascertained :
-what measures liable togive rise toadebt have been taken ;
-theamounts ofthedebts toberecovered ;
-thedate bywhich thedebts must berepaid ;
-which debts have been repaid ;
-which debts have notbeen repaid despite thefact that they
have fallen due . '" '
Thecentral accounts department must besoorganized asto
guarantee that theFinancial Controller isable tocheck ,atany
given moment ,that proceedings forrecovery andthecollection
orders have been registered accurately ,andisthus able tomake
thesubstantiations required ofhimbyArticle Zj>ofthe
Financial Regulation .Article 19

XIX/17V74-B
-6-
TITLE IV-COMMITMENT OPEXPENDITURE (Article 40of"theFinancial Regulation )
Article 20Before taking anymeasure which mayinvolve expenditure ,te
competent authorizing officer mustpresent theFinancial Controller
withaproposal foracommitment ofexpenditure .Suchproposals
aregenerally drawn uponthebasis ofasetofrules tobeadopted
byunanimous agreement bytheauthorizing officer ,theaccounting
officer andtheFinancial Controller .Suchproposals forcommitments
ofexpenditure mustgivetheinformation referred toinArticle 41
oftheFinancial Regulation.'
Article 21Draft decisions ofageneral nature *issued'bytheInstitution and
containing anobligation toincur expenditure shall beconsidered
tobemeasures which mayinvolve expenditure .
Article 22Ifadecision ofprinciple issued bytheInstitution precedes a
decision onexpenditure ,thedraft decision ofprinciple shall be
transmitted totheFinancial Controller forprior approval and ,
following adecision .bythecompetent authority ,theamount of
appropriations corresponding totheexpenditure tobeincurred
shall beblocked . . '
Thedraft commitment document ,drawn upinaccordance with the
decision onexpenditure ,shall bethesubject ofaproposal for
acommitment ofexpenditure which issubmitted totheFinancial
Controller forprior approval andsubsequently registered as
appropriations committed anddeducted from theappropriations
previously blocked . –
*Thisexpression should beinterpreted asfollows :"Every measure which ,y
itsverynature ,mayinvolve expenditure ,without anyfur ereci
being required ".

XIX/173/74-E
-7-
Article23Provisional commitments ,withinthemeaningofArticle40(1)of
theFinancialRegulation ,arestrictlylimitedtocurrent
expenditure .Individual commitments coveredTbysuchprovisional
commitments donotrequireto"besubmittedseparatelyforapproval
bytheFinancialController.
Inthecaseofprovisional commitments ,theauthorizingofficeris
boundtocheck,onhisownresponsibility ,thattheindividual
commitments donotexceedtheprovisional commitmentbywhich-
theyarecovered.
Theexistenceofsuchprovisional commitments doesnotimplythat
appropriations canbecarried 'forwardautomatically inthesenseof
Article6oftheFinancialRegulation ,unlesstheycorrespondatthe
endofthefinancialyeartofinancialcommitmentsactuallyentered
intobeforethedeadlineslaiddownintheFinancialRegulation .
Article24Ifinthecaseofcertainmeasureswhichmayinvolveexpenditure ,
noexactfigures begivenfortheexpenditure whentherelevant
proposalforacommitmentispresentedtotheFinancialController
andcommunicated totheaccountingofficer,theauthorizingofficer'
mustestimatetheexpectedexpenditure .
Article25Allproposalsforcommitments ofexpenditure mustbesubmittedto
theFinancialControllersufficiently earlytoenableanycomments
whichhemightwishtomaketobetakenintoconsideration ,especially
insuchcaseswherethecommitments tobeenteredintohavetobe
negotiatedwiththecontractingpartiesorhavetobesubmittedto
consultative bodies.
Article26Proposalsforcommitments ofexpenditure mustbeaccompanied
byallthesupportingdocumentsand,whereappropriate ,byany-
otherdocuments XirhicharenecessarytoenabletheFinancial
Controllertomaketherequiredsubstantiations aswellas
byanyotherinformation whichmightenabletheFinancial ,
Controllertoassessthetransaction fromthepointofview
ofsoundfinancialmanagement .

a±AV I/V
-8-
^V_REGISTRATION OPPROPOSALS FORCOMMITMENT OPEXPENDITURE AFTER APPROVAL
~–BYTHEFINANCIAL CONTROLLER (Article 41oftheFinancial Regulation )
Article 27Proposals forcommitments shall heregistered bytheInstitution 's
central accounts department .Itmust hepossible toascertain at
anygiven moment which budgetary items orheadings contain the
blocked appropriations ,theamounts committed ,thepayments already
made inthat connection ,thepayments still tobemade andthe
available .appropriations .
Article 28Thecentral accounts department must besoorganized astoguarantee
that theFinancial Controller isable tocheck that thecommitments
andpayments have been registered accurately sothat hecan ,atany
given moment ,ascertain theextent towhich theappropriations
;have been utilized andinform theauthorizing officers ofhis
findings .
TITLE VI-APPROVAL OFPROPOSALS FORCOMMITMENT OFEXPENDITURE
(Article 42oftheFinancial Regulation )
Article 29Subject totheprovisions ofArticle 30below ,approval shall
begiven byplacing thesignature oftheFinancial Controller
orofanassistant financial controller ontheproposal for a
commitment ofexpenditure .Inaddition thewords "Approved
bytheFinancial Controller "shall bestamped ontheproposal ,
andthedate onwhich approval wasgiven shall beindicated .
Article 30Inurgent cases such approval maybegiven inanote ,telex message
orbyanyother means which leaves nodoubt astothefact that the
proposal foracommitment ofexpenditure inquestion hasbeen approved .
Article 31Theapproval given shall bedeemed tobeproof ofallthepoints
listed under (a)to(d)ofArticle 42oftheFinancial Regulation .

-9-XIX/173/74-E
Article 32If,pursuant toArticle 43oftheFinancial Regulation ,the
higher authority oftheInstitution overrides theFinancial
Controller 'srefusal togive his approval ,thedecision shall he
transmitted totheauthorizing officer who shall send theproposal
foracommitment ofexpenditure together .with that decision tothe
Financial Controller .The proposal forcommitment ,together with
the :decision tooverride ,shall "beregistered inaccordance with
theprovisions ofArticle 41oftheFinancial Regulation .
Article 33IftheFinancial Controller considers inadequate orincomplete
thesupporting documents provided forinArticles 45an<i49of
theFinancial Regulation anddefined inArticles 34to40 "below ,
heshall postpone his approval andreturn theproposal tothe
authorizing officer ,specifying thenature ofthe evidence
required .
TITLE VII-SUPPORTING DOCUMENTS (Articles 45and49oftheFinancial Regulation )
Article 34Asregards supplies ingeneral ,thefollowing inparticular
shall beconsidered tobeavalid supporting document :
"-theinvoice drawn upbythesupplier ,accompanied ,where
necessary ,byoneofthecopies ofthedocument indicating
theCommunity 'scommitment (e.g. order form orcontract ). '
Inevery case thedocument drawn upbythe supplier must indicate :
-thenature andquantity ofthesupplies or,ifappropriate ,a
description oftheservices rendered inthat connection ,
-tneunit price andtotal price ,
-mention oftheir exemption from charges andtaxes ;where appropriate ,
anindication oftheamount ofthechanges ,taxes andcustoms
duties connected with thesupply ofthe goods andincluded in
theprice .

_10-XIX/173/74-E
Inaddition,theauthorizingofficer,ortheofficialtowhom
hehasdelegatedauthority,mustindicatethefollowingpoints
onthatdocument:
-thatthesupplieshavebeenproperlyreceived,indicatingthe
dateandplace,
-thatthesupplieshavebeenenteredintheinventorywhenever
thisisrequired,
-thatallpartsoftheinvoicehave"beenchecked,
-theopinionoftheAdvisoryCommitteeonPurchasesandContracts.
Thesameinformationcouldbegivenonacertificateofreceipt.
Article35Inthecaseofservices,theinvoice(orbill)drawnupbythe
personprovidingtheservicesshallbeconsideredtobeavalid
supportingdocument.
Thatdocumentmust:■
-indicatethenatureoftheservice,andpossiblyitsunitprice,
itstotalprice,referencetoitsexemptionfromchargesajadtaxes
and,asfaraspossible,theamountofthechargesandtaxes
connectedwiththeserviceandincludedintheprice,
-bearthewords"passedforpayment"placedonitbytheauthorizing
officerorbytheofficialtowhomhehasdelegatedauthority,
certifyingthattheservicewasrenderedproperlyandthatallthe
partsoftheinvoiceorbillhavebeenchecked.
Article36Inthecaseofstudyandresearchcontracts,thefollowingshall
beconsideredtobevalidsupportingdocuments:

-11-
(a)acopy of "thecontract and .ofanyadditional clauses ,
tobeattached tothe first order forpayment ;
(t>)anydocument which ,pursuant tothefinancial provisions
inthecontracts ,substantiates thecorresponding payments
(request from thecontractant ,invoices ,particulars
furnished "bythemanagement committees incases ofcontracts
ofassociation andanyother document substantiating expenditure ).
Thefinal payment must ofnecessity heaccompanied bya
document drawn upbytheauthorizing officer andcertifying
that the service hasbeen rendered .
Article 37Inthecase ofexpenditure onstaff ,thefollowing shall be
considered tobesupporting documents :
(a)inrespect ofthemonthly sala.ry :
-thecomplete list ofstaff ,giving allthecomponents ofthe
remuneration .This list shall beattached tothepayment
voucher ;
<
-aform (personal information sheet )indicating ,whenever
necessary ,anychanges inanycomponent oftheremuneration .
This form shall bedrawn uponthebasis ofdecisions taken
ineach specific case ;
-inthecase ofrecruitments orappointments ,acertified true
copy ofthedecision inrespect ofrecruitment orappointment
shall accompany the first salary payment .
(b)inrespect ofother remunerations :
(staff paid onanhourly ordaily basis )
-astatement dram upbytheauthorizing officer indicating
the days andhours ofattendance .
(c)inrespect ofovertime :
-astatement certifying that themember ofstaff hasworked
overtime .

-12-
inrespect ofmission expenses ;
■thetravel order duly signed bythecompetent authority ;
i
-the"detailed account ofmission expenses "indicating ,m |
particular ,theplace ofmission ,thedateandtimeofdeparture |
from andarrivals attheplace ofmission ,travel expenses , !
subsistence expenses ,andother expenses dulyauthorized on j
theproduction ofsupporting documents ;thisdetailed account j
shall besigned bytheofficial onmission andbythe i
administrative superior towhompowers havebeendelegated .
(e)respect ofother expenditu reonstaff :
-thesupporting documents referring tothedecision
onwhich theexpenditure ishased andgiving allthe
components oftheexpenditure .
Article 38Inthecaseofallcommitments which involve payments minstalments
acertified true'copy ofthecontract shall beattached tothe
first payment voucher .Reference tothatdocument andtothe
preceding payment (s)shall bemadeontheother payment vouchers .
Article 39Ifonlyonesupporting document covers several payments ,allthe
payment vouchers shallbearareference totheoriginal document .
Article 40Except inthecasesreferred toabove ,ifanoriginal supporting
document cannot beproduced ,acertified truecopymaybe
substituted foritbytheauthorizing -officer whomustexplain
whytheoriginal could notbeproduced andmustcertify that
thepayment hasnotbeen made .

-13- ΧΙΧ/173/74-Ξ
TITLiSVIII–BAlWCORPOSTOFFICEGIROACCOUNTS(Article56of"theFinancial
Regulation)
Article41Whencarryingoutfinancialtransactions theInstitution mayopen
bankand/orpostofficegiroaccountsintheCommunitycountries
and.possiblyinnon-membercountries.
Article42TheInstitution mayalsoholdaccountswiththebankofissuein
everyMemberStateorwiththeapprovedfinancialinstitution .
Article43TheInstitutionshallcommunicatetoallthefinancialinstitutions
withwhichitholdsaccountsthenamesandspecimensignaturesof
thestaffappointedbyitand•authorizedtoopenaccountsandto
usesuchaccounts.,
Article44Useofsuchaccountsrequiresthesignaturesoftwodulyauthorized
officials,onesignatureofnecessitybeingthatoftheaccounting
officer,anassistantaccountingofficeroranadministrator of
advancefunds.
Article45Asagénéralrule,paymentsî
-ofthemonthlyremuneration ofofficialsandotherstaff;
-ofexpenditurerelatingtosuppliesorservicesexceeding100u.,
shouldbemadebychequeorbypostalorbanktransferorder.
TITLEIX-ADVANCEFUEDS(Article57oftheFinancialRegulation)
Article46Thesettingupofadvancefundsshallbesubjecttoadecisionby
theauthoritiessetoutinArticle18oftheFinancialRegulation,
onaproposalfromtheauthorizingofficer,afterafavourable
opinionhasbeengivenbytheaccountingofficerandtheFinancial
Controller .

!ΊiXIX/173/74-E
14
J
Article47Theappointmentofanadministrator ofadvancefundsshall"be
subjecttoadecisionbytheauthoritiessetoutinArticle18
oftheFinancialRegulation,onaproposalfromtheauthorizing
officer,afterafavourableopinionhas"beengivenbythe
accountingofficer.Suchdecisionshallindicatetherespon­
sibilitiesoftheadministrator ofadvancefunds.
Article48ThedecisionsreferredtoinArticles46and47aboveshallbe
communicated totheauthorizingofficers,theFinancial
Controller,th*accountingofficerandtheAuditBoard.
Article49Thedecisionsettingupanadvancefundshalllaydown,in
particularî
(a)themaximumamountoftheadvancewhichcanbegranted;
(b)whetherabankorpostofficegiroaccountistobe
openedinthenameoftheCommunityconcerned;
(c)thenatureandmaximumamountofeverypaymentwhich
maybemadewithoutpriorauthorization ;
(d)thetimewithinwhichsupportingdocumentsmustbe
producedandtheprocedureforproducingthem;
(e)theproceduretobeappliedinthecaseofapossible
reconstitution ofanadvance;
(f)thetimeTfithinwhichtheformalrequirementsregarding
theoperationsoftheadvancefundbecompliedwith.
Article50Everyadministrator ofanadvancefundshallberesponsibleto
theauthorizingofficerforthepaymentofdebts,andtothe
accountingofficerforthemakingofpayments.
Article51Heshallkeepaccountsofthefundsathisdisposalandof
paymentsmade,inaccordancewiththeinstructions ofthe
accountingofficer.

XIX/173/74-E
-15-
Article52Theadministratorofadvancefundsshallmakeallthenecessary -
provisionstosafeguardthefundsathisdisposal.
Article53WithoutprejudicetothecontrolcarriedoutbytheFinancial
Controller,theaccountingofficermusthimself,orthroughan
assistantaccountingofficer,asageneralruleonthespotand
withoutwarning,auditthefundsallocatedtotheadministrators
ofadvancefundsandthemanagementoftheaccountingrecords.
Article54TheaccountingofficerandtheFinancialControllershallinform
eachotheroftheresultsoftheirauditsandshallcommunicate
themtotheauthorizingofficer.
TITLEX-IMITATIONTOCOMPETITIVETENDER(SELECTIONANDCALLFORTENDERS)
'(Article59oftheFinancialRegulation)
Article55Invitationstocompetitivetendershall,asfaraspossible,
haveastandardformorastandardtext.
Article56Callsfortendershallcontain,inparticular,informationon:
(a)theprocedure'forsubmittingtenders,andparticularlythe
possibleneedtouseastandardreplyform;
(b)theapplicationoftheprotocolonprivilegesandimmunities,
andreferencestothegeneralconditionsapplicabletothe
contractconcerned(supplies,work,servicesorpublications)
and,possibly,tothedocumentindicatingthespecific
conditionsapplicabletothecontract;
(c)aclauseindicatingthatthesubmissionofatenderimplies
acceptanceoftheconditionsenumerated;
(d)thetermsunderwhichaninspectionmaybemade,tobeset
outindetailinthecaseofon–the–spotinspections ;
(e)theperiodofvalidityoftendersduringwhichthesuccessful
tenderermaynotchangethetermsofhistender;
(f)thepenaltiesprovidedforbywayofsanctionsforfailureto
observetheclausesofthecontract;Article52
Article53
Article54

ÀlA/I(V74–i!»
16-
(g)thedetailswhichmust"becontainedintheinvoices(or
inthesupportingdocumentsthereto)inaccordancewith
theprovisionsofTITLEVII;
(h)theprohibitionofanycontactbetweentheInstitution
andtendererssave,"bywayofexception,underthe
followingconditions :
1.Beforeclosingdateforthesubmissionoftenders:
-attheinstanceoftenderers :
Additionalinformationsolelyforthepurposeof
explainingthenatureofthecallfortendermay
■becommunicated totenderers.
-attheinstanceoftheInstitutions :
Ifthedepartments oftheInstitutionnoticean
error,alackofprecision,anommissionorany
othertypeofmaterialdefectinthetextofthe
callfortendertheymayinformthepersons
concernedundertheverysameconditionsasthose
applicabletothecallfortender.
2.Aftertheclosingdateforthesubmissionoftenders
andattheinstanceofthedepartments ofthe
Institutions :
Ifanexplanationisrequiredinconnectionwitha
tender,orifobviousmaterialerrorscontainedin
thetendermustbecorrected,theInstitution may
contactatenderer.
Article57Ineverycasewherecontacthasbeenmadeundertheconditions
providedforabove(Article56(h))»a"noteforthefile"shall
bedrawnupandsuchcontactshallbementionedinthereport
whichshallsubsequently besubmittedtotheAdvisoryCommittee
onPurchasesandContracts.

XIX/173/74-E
-17-
Article58Thegeneralconditionsapplicabletotheproposedcontractshall
lieattachedtothecallfortender.Whereappropriate ,adocu­
mentcontainingthespecificconditionsapplicabletothecon­
tractshallalsobeattached.
Article59Thedeadlineforthesubmissionoftendersshallbefixed
accordingtothenatureofthecontract,andshallbedependent
onthelengthoftimenecessaryforthepreparationofthereply-
tothecallfortender.
Article60Tenderersmaysubmittenders
–eitherbypost
Thecallfortendermustthenspecifythatitshallbethe
dateonwhichatenderisposted,asindicatedbythepost­
mark,whichshallbeproofofdueposting.Tenderssubmitted
bypostmustberegistered.
-orbydelivering themtotheInstitution
Thecallfortendermustthenindicatethedateandtime
bywhichtendersmustbesubmittedandspecifythedepart­
menttowhichtheymustbesubmittedagainstasignedand
datedreceipt.
Inbothcasesthesamedateshallapply.
Inordertomaintainsecrecyandtoavoidanydifficulties ,the
followingwordsshallappearinthecallfortender:
"Tendersmustbesubmittedinaclosedandsealedenvelope
containedinasecondclosedandsealedenvelope.Theinside
envelopeshallbear,inadditiontothenameofthedepartment
towhichitisaddressed,asindicatedinthecallfortender,
thewords"Callfortender-Hottobeopenedbytheregistry".
Ifself-adhesive envelopesareusedtheyshallbesealedwith
adhesivetapeacrosswhichthesendershallplacehis
signature."

XIX/173/74-E
-18-
Article61Everytendermustbeopened.
Tenderswhichdonotsatisfytheconditionslaiddowninthecall
fortendershallbeeliminated.
Article62Alltenderersshallbeinformedofthedecisiontakenwithregard
totheirtenders.
TITLEXI-RULESOPPROCEDURE FORTHEADVISORY COMMITTEE OK"PURCHASES AND
CONTRATS(ACPC)(Articles62et103oftheFinancialRegulation)
Article63InaccordancewiththeprovisionsofArticles62,63and103of
theFinancialRegulation,theACPCshallberequiredtogiveits
opinion,inanadvisorycapacity,on:
(a)allproposedcontractsforwork,suppliesorservices
involvingamountsexceedingthoseindicatedinArticles62
and103oftheFinancialRegulationandonproposed
purchasesofimmovables,irrespective oftheamountinvolved;
(b)theproposedadditionalclausesreferredtointheabove
paragraphwheneversuchadditionalclauseschangetheamount
involvedintheoriginalcontract;
(c)proposedadditionalclauseswhichraisethetotalamount
involvedincontractsalreadyconcluded,andwhichwas
originallybelowthelimitsreferredtoinparagraph(a)of
thisArticle,beyondthoselimits;
(d)thestandardformsandtextsforinvitationstocompetitive
tenderandthoseproposalswhichwillinvolveanappreciable
deviationfromsuchstandardtexts;
(e)proposedinvitationstocompetitivetenderwhichare
particularly importantorareofaspecialnature;
(f)questionsraisedwhencontractsareconcludedorperformed
(cancellationoforders,requestsforpaymentoflate
executionpenalties,waiverstotheprovisionsofthe
specification andthegeneralconditionsofcontract...),
shouldthematterbesufficiently serioustogiverisetoa
requestforanopinion;

XIX/173/74-E
-19-
(g)attherequestofthecompetentauthorizingofficerorof
amemberoftheAdvisoryCommitteeonPurchasesand
Contracts,proposedcontractsinvolvinganamountwhich
islowerthanthatfixedinparagraph(a)ofthisArticle,
shouldheconsiderthatsuchcontractsinvolvequestions
ofprincipleorareofaspecialnature.
Article64TheAdvisoryCommitteeonPurchasesandContractsshalldrawup:
(a)recommendations withregardtothegeneralsupplypolicy
bothwithinandoutsidetheCommunityandshall,where
appropriate ,carryout,orhavecarriedout,thenecessary
investigations andstudies;
(b)recommendations withregardtothelayingdownofthe
generalconditionsforpurchasesandcontracts.
Article65ThefilessubmittedtotheAdvisoryCommitteeonPurchasesand
Contractsforanopinionshall"beaccompanied "byareportdrawn
upandpresentedbythecompetentofficialor"byanalternate
appointedbytheauthorizingofficer.
Article66Ineverycaseanopinionshallbegivenandshallbesignedby
theChairman.Suchopinionsshallbecommunicated tothe
departments concerned.
Article67EveryAdvisoryCommitteeonPurchasesandContractsshalldraw
upitsownrulesofprocedurewhichshallbecommunicated to
theAdvisoryCommitteeonPurchasesandContractsintheother
Institutions .
TITLEXII-PRELIMINARY DEPOSITBYWAYOPGUARANTEE OFEXECUTION OPTHE
CONTRACTS(Article64oftheFinancialRegulation)
Article68When,bywayofguaranteeofexecutionofthecontracts,the
suppliersorcontractorsarerequiredtoprovideapreliminary
deposit,suchdepositmust,asarule,consistofapaymentmade
totheInstitutioninthesamecurrencyasthatprescribedfor
thepaymenttobemadeforthesuppliesorwork.

XIX/v/v74-m
_20_
Article69Suchpreliminarydepositcouldbereplacedby
apersonal,jointsuretygiven"byathirdpartyapproved "by
theInstitution .
Article70Theusualsupportingdocumentsaccompanying thefirstpayment
orderdrawnuppursuanttoacontractrequiringtheprovision
ofapreliminarydeposit,shallbesupplemented byacopy,
certifiedtruebytheaccountingofficer,ofthereceiptissued
whenthepreliminarydepositwaspaid,orbyacopy,certified
truebytheaccountingofficer,ofthedeclarationreceivedfrom
theestablishment orthirdpartyprovidingthesurety.
Article71Preliminarydepositsshallberepaid,orthesecuritiesgivenin
placeofthemdischarged,undertheconditionslaiddowninthe
provisionsrelatingtothecontracts,exceptincasesofnon-
executionorlate^executionasprovidedinthefinalparagraph
ofArticle64oftheFinancialRegulation.
TITLEXIII-DETERMINATION OPTHEVALUEABOVEWHICHMOViffiLEPROPERTYMUSTBE
ENTEREDINTHEINVENTORY(Article67oftheFinancialRegulation)
Article72.Entriesmustbemadeintheinventoryforallmovableproperty:
–withanoriginalvalueofnotlessthan30u.a.
(100u.a.inthecaseofmovablepropertyofascientific
ortechnicalnature)and
-whichcanbeusedformorethanoneyear
(twoyearsinthecaseofmovablepropertyofascientific
*ortechnicalnature)and
-whicharenotconsumergoods.
DefinedinconnectionwiththeJointResearchCentreinthe"recueildes
instructionsrelativesauxinventaires"(doc.13.131/XV/l968-F)andthe
"nomenclaturedesmatériels–canevasgénéral"(doc.EUR/c/5115/65~Fand
updatings).

Xia/173/74-E
_21_
TITLEXIV-ADVERTISEMENT OPSALESOPMOVABLEPROPERTY
(Article68oftheFinancialRegulation)
Article73Thesaleofmovablepropertyshallhe:
(a)suitablyadvertisedlocallyiftheorignalunitprice
exceeds2000u.a.
Hoadvertisement shallbenecessaryifthatpriceis
below2000u.a.
(b)advertisedbyanoticeofsalepublishedintheOfficial
JournaloftheEuropeanCommunitiesiftheoriginalunit'
priceisnotlessthan100000u.a.Suchsalesmay,of
course,besuitablyadvertisedinthepressoftheMember
States.
Advertisements inthepressshallnotbenecessaryifthecost
involvedwouldpreventanyparticularadvantages frombeing
gained.
TITLEXV-METHODFORDRAWING-UP ANDOPERATING THEACCOUNTING SYSTEM
(Article74oftheFinancialRegulation)
Article74Dramii.q-irooftheaccounting :system
Theaccountingsystemshallbedividedintotwoseparateparts:
-budgetaryaccounts,
-generalaccounts.
Article75Budgetaryaccounts
1.Thebudgetaryaccountsshallindicate,foreverysubdivision
ofthebudget:
–thedutiesrecordedandthefundsrecoveredduringthe
financialyear,
-thecommitments andpaymentsmadeduringthefinancial
year.
2.Separateaccountsshallbeopenedsothattheuseofappro­
priationscarriedoverandthecollectionofoutstanding
debtscanbewatchedseparately.
3.Theaccountsmaybeitemizedinordertoprovideabasisfor
ananalysisoftheresults.

XIX/1T3/74-E
-22-
4.Theaccountsshallbekeptin"books,oronsheets,ormay­
bestoredinacomputer.
Article76Generalaccounts
1.ThegeneralaccountsshallenabletheInstitution's
situationinrespectofassetsand.liabilitiestobe
ascertained .
2.Theaccountingsystemtobeusedforthegeneralaccounts
shallbedrawnuponthebasisofadecimalsystemof
classification .
3*Thefollowingtypesofaccount,atleast,shallbekept:
Type1
Type2
Type3
Type4
Type5
Type6
Type7
Type8fixedcapitalaccounts
fixedassetaccounts
stockaccounts
sundrydebitorsandcreditorsaccounts
accountsforcashinhandandatbank
revenuea/cexpenditureaccounts
revenuea/cincomeaccounts
outturnaccounts.
4.Eachofthesetypesofaccountshallcomprisegroups(with
atwo-digitcode)which,intheirturn,shallbesubdivided
intosub-groups(withathree-digitcode),andthelatter
shallbedividedintoaccounts(withafive-digitcode).
5.Type4"sundrydebitorsandcreditorsaccounts"shallcontain
alloperationsrelatingtorelationswiththirdpartiesand
associated documents.
Type4shallcomprisethefollowingprincipalgroups:
-Advancestostaff
-Accountswiththeotherinstitutions
-Sundrydebtorsandcreditors
-Fundstobetransferred
-Revenueandexpendituretobechargedtoaccounts ,

axa/Iil/14-&
-23_
-Adjustmentaccountsforre-use
-Reconciliation accounts
-Departmentswithseparateaccounts(sicknessfund)
-Adjustmentaccountsfortransfersofscientificand
technicalequipmentbetweenvariousresearchand
investmentobjectives.
6.T^rpe5"accountsforcashinhandandatbank"shallindicate
thetransactions insecurities,transactions bythecash
offices,banksandpostalchequeoffices,operationscarried
outbytheassistantaccountingofficersandtheadministrators
ofadvancefn^ds.
Type5shallcomprisethefollowingprincipalgroups:
-Sharesandsecurities ondeposit
-Cashoffices
-Bankaccounts
-Postalchequeaccounts
-Assistantaccountingoffiers
-Administrators ofadvancefunds.
7.Type6"revenuea/cexpenditureaccounts"shallindicatethe
grossamountofexpenditure enteredinthebudget.
Separateaccountsshallbeopenedforexpenditurerelatingto:
-appropriations forthecurrentfinancialyear
-appropriations carriedoverpursuanttoArticle6(1)(b)of
theFinancialRegulation
-appropriations carriedoverpursuanttoArticle6(l)(c)of
theFinancialRegulation.
8.Type7"revenuea/cincomeaccounts"shallindicatethegross
amountofrecordeddutiesenteredinthebudgetaryaccounts.
Separateaccountsshallbeopenedfortherecordedduties:
-ofthecurrentfinancialyear
-stilltobecollectedforpreviousfinancialyears.

XIX/173/74-E
-24-
9«Type8"outturnaccounts"shallindicatetheoutturnofthe
financialyear:
-outstanding sumsorsumsreceivedinexcess
-debtororcreditorMemberStates
-surplusforthefinancialyear.
10.Eachinstitutionshalldrawupanaccountingsystemalong
thelinessetoutabove.Itshallcreategroups,sub-groups
andindividualaccountsdependentonitsparticularneeds.
Article77Operationoftheaccountingsystem
1.Thegeneralaccountsshallbekeptforeachcalendaryear
usingthedoubleentrymethod.
2.Theaccountsshallbekeptinbooks,oronsheets,ormaybe
storedinacomputer.
3.Theaccountingsystemshallenabletheoverallbalanceof
theaccountstobedrawnup,i.e.thestatementofallthe
institution'sassetsandliabilitiesaccounts,includingthe
balancedaccountswith,ineachcase:
-theaccountnumber
-theheading
-thetotaldebits
–totalcrédits
-balance.
4.Theaccountingsystemshallenableadetailedanalysisof
thebalancesofsundrydebitorsandcreditorsaccountsto
bemade.
5.Thecurrentaccountsoftheotherinstitutions shallbe
auditedperiodically .
6.Thesuspenseaccountsshallbeunderconstantexaminationand
shallbesettledassoonaspossible,andatthelatestbythe
deadlinelaiddowninArticle73oftheFinancialRegulation.

XIX/H3/74-E
-25-
' 7*-Theadjustmentaccountsforre-useshallmakeitpossibleto
monitorthere-useofthereceiptscoveredbyArticle22(b)
oftheFinancialRegulationandenabletherequisitestate­
mentattheendofArticle82(l)and(2)tobedrawnup.
8.Thecash(bankandpostalcheque)accountsshallbekeptin
foreigncurrencyandinthecurrencyinwhichtheaccounts
arekept.
9.TheaccountsoftheJointResearchCentreshallbeincluded
intheCommission'sgeneralaccounts.
TITLEXVI-INSURANCEOPACCOUNTING OFFICERS,ASSISTANTACCOUNTING OFFICERSAND
-•ADMINISTRATORS OFADVANCEEUNDS-SPECIALINDEMNITY.
-DETERMINING THECATEGORIES OFOFFICIALS OROTHERSTAFFQUALIFIED TOBE
APPOINTEDACCOUNTINGOFFICERSORADMINISTRATORS OFADVANCEIUKDS*
Article78TheaccountingofficershallbeappointedbyeachInstitution from
officialsofCategoryAorCategoryBwhoarenationalsofthe
MemberStates.
Theassistantaccountingofficersshallbeappointedbyeach
Institution from.officialsofCategories AandB.
CategoryCofficialsmaybeappointedassistantaccountingofficers
iftheyareregularlycalledupontohandle-funds.However,these
officialsshallnotbeempoweredtosign,inthesenseofArticle56
oftheFinancialRegulation,intheircapacityasassistant
accountingofficers.
Theadministrators ofadvancemds"iallbechosenfromofficials
ofCategories ...fBorC,or,shouldweneedarise,fromotherstaff
havingastatusequivalenttoth,eCategories.
Article79Theaccountingofficer,assistantaccountingofficersand
administrators ofadvancefundsshallinsurethemselves,through
theInstitution ,againstthefinancialrisksinherentintheir
duties.
*(Article78oftheFinancialRegulation)TITLEXVI-
Article7o

XIX/173/74-E
-26-
Article80Thepremiumsforthisinsuranceshallbepaiddirectlytothe
insurer "bytheInstitution .
Article81ïïotwithstanding :
-Articles86-89oftheStaffRegulationsoftheEuropean
Communities andConditionsofEmploymentofOtherServantsof
theCommunities ,
-Article73oftheFinancialRegulationapplicabletothe
GeneralBudgetoftheEuropeanCommunities ,
-theInstitution'srightofrecoveryvis-i-visthirdparties,
theInstitutionshallcoverrisksanddeficitsnotcoveredbythe
insurers,insofarastheamountscreditedtotheguarantee
accountopenedinthenameoftheofficialwhoseliabilityis
involvedarenotsufficient tocoverthedeficit.
Article82Themonthlyamountofthespecialindemnityreferredto
inArticle "JQshallbe:
-60.00u.a.fortheaccountingofficer
-40.00u.a.forassistantaccountingofficers
-20.00u.a.foradministrators ofadvancefunds,wherethe
amountthattheyadministerisatleastequal
toorgreaterthan1000.00u.a.andwherethe
periodofadministration isatleastequalto
orgreaterthanthirtyconsecutive days.
Thedateonwhichtheallocationofthisindemnityshalltake
effectshallbethedateofentryintoforceofthenewFinancial
Regulation,i.e.1May1973*
Article83AguaranteeaccountatabankshallbeopenedbytheInstitution
inthenameofeachbeneficiaryintheplacewheretheaccounting
officerperformshisduties.Thisaccountshallbecreditedwith
themonthlyindemnityreferredtoinArticle82anddebitedby
theamountofthedeficitforwhichthepersonconcernedis
declaredliablebytheInstitutionwhichappointedhim,insofar
asthesedeficitsarenotcoveredbyreimbursements fromthe
insurancecompanies.

^S/173/74-3
-27-
Article£4–ecredit"balanceoftheguaranteeaccountsnaxlDepaidtothe
personconcernedortohisdependentsonterminationofhisduties
asaccountingofficer,assistantaccountingofficeroradministrator
ofad.vsn.cefunds,afteradecisionhas"beentakenbytheauthorities
referred ,toinArticle "53ofthefinancialRegulationandthefall
dischargereferredtoinArticle80oftheFinancialRegulationhas
"beengranted,andaftertheendorsementoftheaccountingofficer,
save-wherehehimselfisconcerned,andthatoftheFinancial
Controllerhave"beengiven.
Therequisitemeasuresshall"betakentoensurethattheguarantee
accountofther-°rscnconcernedcan"bedebitedonlyiftwo
signaturesaregiven,includingthatoftheaccountingofficer.
Innocasemaythesignatureofthepartyconcerned "beusedfor
thepurposesofdebitingtheaccount.
-rrrrrr^yi;|r»~" FZZTA1PP0YTSTC33
Article£5Thelump-sumamountsprovidedforinArticles45>72,73and82
shall"beadjustedinaccordancevithvariationsintheBelgian
consumerpriceindex,theindezforreference "beingthatof1571
(ICO),everytinethatthemagnitudeofthe-variationreaches:
inthecaseoftheamountsreferredtoin
Articles45>72and73
10^inthecaseoftheamountsreferredtoinArticle82.
TheCommissionshalldeterminethenewamounts,roundedoffto
thenearestunitofaccountaboveor"below,andshallcommunica-e
themtotheotherinstitutions .
ArticlecoTheaboveproceduresshallnotprejudicetheapplicationofthe
specialprovisionsoftheFinancialRegulationviiichare
applicabletotheEuropeanSocialFund(TitleYIXIofthe
FinancialRegulation),theEuropeanAgricultural Guidanceand
GuaranteeFund(TitleIXoftheFinancialRegulation),FoodAid

XIX/173/74-E
-28-
(TitleXof"theFinancialRegulation)and."theOfficefor
OfficialPublicationsoftheEuropeanCommunities (AnnexI
tothe'FinancialRégulation).
Article87Withinsixmonthsofthedateofentryintoforceofthis
Regulation,theinstitutionsshallinformtheAuditBoard,
oftheprovisionsthattheyhaveadapted,inordertoapply
theseproceduresforimplementation .
Article88TheseproceduresforimplementingtheFinancialRegulation
shalltakeeffectfrom 1974.Régulation
"1974.
FortheCommission,
ThePresident