Keywords

Summary



Keywords

1 . OFFICIALS - BUILDING LOANS - AMOUNT EXPRESSED IN BELGIAN FRANCS - REPAYMENT IN THE CURRENCY OF THE COUNTRY WHERE THE PROPERTY TO BE FINANCED IS SITUATED - EXCHANGE RATE APPLICABLE - EXCHANGE RATE DEFINED IN ARTICLE 63 OF THE STAFF REGULATIONS - TRANSFERS MADE PURSUANT TO ARTICLE 17 OF ANNEX VII TO THE STAFF REGULATIONS - UPDATING OF THE EXCHANGE RATE DURING THE TERM OF THE LOAN AGREEMENT - APPLICATION OF THE NEW EXCHANGE RATE TO THE SUBSEQUENT MONTHLY REPAYMENT INSTALMENTS

( STAFF REGULATIONS , ART . 63 ANNEX VII , ART . 17 ; COUNCIL REGULATIONS NOS 3085/78 AND 3086/78 )

2 . OFFICIALS - BUILDING LOANS - AMOUNT EXPRESSED IN BELGIAN FRANCS - REPAYMENT IN THE CURRENCY OF THE COUNTRY WHERE THE PROPERTY TO BE FINANCED IS SITUATED - EXCHANGE RATE APPLICABLE - EXCHANGE RATE DEFINED IN ARTICLE 63 OF THE STAFF REGULATIONS - ADJUSTMENT OF REMUNERATION DURING THE TERM OF THE LOAN AGREEMENT - REPLACEMENT OF UPDATING OF THE EXCHANGE RATE BY ADJUSTMENT OF THE WEIGHTING - APPLICATION OF THE NEW EXCHANGE RATE TO THE SUBSEQUENT MONTHLY REPAYMENT INSTALMENTS - CANCELLATION OF THE AGREEMENT NOT JUSTIFIED THEREBY

( STAFF REGULATIONS , ARTS 63 AND 65 ; COUNCIL REGULATIONS NOS 3085/78 AND 3086/78 )

Summary

1 . WHERE IN A BUILDING LOAN AGREEMENT ENTERED INTO BETWEEN AN OFFICIAL OF THE EUROPEAN COMMUNITIES AND THE COMMISSION THE AMOUNT OF THE LOAN IS EXPRESSED IN BELGIAN FRANCS AND WHERE THE MONTHLY REPAYMENTS ARE MADE IN THE CURRENCY OF THE COUNTRY WHERE THE PROPERTY TO BE FINANCED IS SITUATED , THE AMOUNTS IN FOREIGN CURRENCY TRANSFERRED IN ORDER TO REPAY THE LOAN MUST BE CONVERTED INTO BELGIAN FRANCS ON THE BASIS OF THE PARITY RULING ON THE DATE OF THE TRANSFER , IT IS CONSONANT , ON THE ONE HAND , WITH THE PROVISIONS OF THE AGREEMENT , WHICH DOES NOT PROVIDE FOR A FIXED PARITY THROUGHOUT THE PERFORMANCE THEREOF BUT FOR THE VARIOUS PARITIES WHICH MIGHT APPLY SUCCESSIVELY AND , ON THE OTHER HAND , WITH THE FACT THAT THE BENEFICIARY OF THE LOAN IS AN OFFICIAL , FOR THE EXCHANGE RATE TO BE THE RATE FIXED AS A REFERENCE PARITY IN ARTICLE 63 OF THE STAFF REGULATIONS AND FOR THE MONTHLY TRANSFERS TO BE MADE IN ACCORDANCE WITH THE PROVISIONS OF ARTICLE 17 OF ANNEX VII THERETO . IN THE PERFORMANCE OF A LOAN AGREEMENT CONCLUDED BEFORE THE ENTRY INTO FORCE OF REGULATIONS NOS 3085/78 AND 3086/78 AMENDING INTER ALIA THE PROVISIONS OF ARTICLE 63 OF THE STAFF REGULATIONS AND OF ARTICLE 17 OF ANNEX VII THERETO , THE COMMISSION IS THEREFORE CORRECT TO APPLY TO THE MONTHLY REPAYMENTS FALLING DUE AFTER THE ENTRY INTO FORCE OF THE REGULATIONS IN QUESTION THE EXCHANGE RATE RESULTING FROM APPLICATION OF THE UPDATED PARITIES AND OF THE NEW VERSION OF ARTICLE 17 .

2 . THE STAFF REGULATIONS MAKE PROVISION FOR THE ADAPTATION OF THE REMUNERATION OF OFFICIALS IN THE VARIOUS PLACES OF EMPLOYMENT BY ADJUSTMENT OF THE WEIGHTING IN ORDER TO TAKE INTO ACCOUNT CHANGES IN THE COST OF LIVING IN THOSE VARIOUS PLACES ON THE ONE HAND AND , ON THE OTHER , BY ALTERATION OF THE PARITIES UNDER ARTICLE 63 OF THE STAFF REGULATIONS IN ORDER TO TAKE INTO ACCOUNT FLUCTUATIONS OF EXCHANGE RATES .

THE FACT THAT IT IS SUBSEQUENTLY SOUGHT TO ACHIEVE THAT ADAPTION , WHICH WAS PREVIOUSLY EFFECTED BY MEANS OF ADJUSTMENT OF THE WEIGHTING , BY THE UPDATING OT THE PARITIES REFERRED TO IN ARTICLE 63 OF THE STAFF REGULATIONS , DOES NOT JUSTIFY CANCELLATION OF A BUILDING-LOAN AGREEMENT PURSUANT TO WHICH THE OFFICIAL PREVIOUSLY HAD THE BENEFIT OF AN ADVANTAGEOUS EXCHANGE RATE , AS A RESULT OF THE PROCEDURE FOR ADJUSTING THE WEIGHTING . IN FACT , THE OFFICIAL SUFFERS NO LOSS IN TERMS OF EXCHANGE RATES FROM THE UPDATING OF THE PARITIES REFERRED TO IN THE STAFF REGULATIONS WHICH IS NOT OFFSET BY AN INCREASE IN HIS REMUNERATION EXPRESSED IN NATIONAL CURRENCY .