WRITTEN QUESTION P-0355/01

by Carlos Carnero González (PSE) to the Commission

(6 February 2001)

Subject: Important new information on the misuse of Community funding for training and employment managed by Madrid City Council's IMEFE

Following on from what they published on 29 January, the Spanish media have today reported that Ricardo Peydró, the director of the Madrid City Council's Instituto Municipal de Empleo (IMEFE Municipal Employment Institute) yesterday announced that the IMEFE would be bringing criminal charges against the Ifomar company for alleged fraud and falsification of documents, and further claimed that there was sufficient evidence that the company had simulated courses in prisons which it did not actually hold, but for which it received municipal and European funding.

These statements confirm the seriousness of the news published this week, which led me to table a priority written question on Monday, 29 January.

The Commission must take effective action with all possible speed to ensure that the criminal actions of certain, unscrupulous operators do not prejudice companies making proper use of funds managed by the IMEFE (and thus performing a social task of the first importance as regards training and employment) or their students.

In view of the facts, what measures does the Commission intend to take under current Union legislation to investigate the full scope of the alleged crimes and fully guarantee the proper use of European taxpayers' money, thus ensuring that the training and employment programmes can continue, despite whatever acts of fraud may have been committed? Has the Commission already approached the appropriate Spanish authorities, i.e. the Madrid City Council, or has it been contacted by that body?

Joint answer to Written Questions P-0303/01 and P-0355/01 given by Mrs Diamantopoulou on behalf of the Commission

(26 March 2001)

In accordance with the sixth recital of Council Regulation (EEC) No 2082/93 of 20 July 1993 amending Regulation (EEC) No 4253/88 laying down provisions for implementing Regulation (EEC) No 2052/88 as regards coordination of the activities of the different Structural Funds between themselves and with the operations of the European Investment Bank and the other existing financial instruments(1) and Article 8(3) of Council Regulation (EC) No 1260/1999 of 21 June 1999 laying down general provisions on the Structural Funds(2) for the 2000-2006 programming period, the implementation of assistance is the responsibility of the Member States.

For this reason the Commission, which does not manage the Fund directly, wrote to the Spanish authority responsible for implementing the European Social Fund on 1 February 2001, asking it to carry out the necessary investigations concerning information published in the Spanish daily newspaper El País on 29, 30 and 31 January.

By fax dated 1 February 2001, the Spanish Ministry of Employment informed the Commission that on 31 January 2001 its services had asked the Instituto Municipal de Empleo de Madrid for information concerning any cofinancing by the European Social Fund of training courses related to the information published in the press.

Once the Ministry of Employment has officially submitted its conclusions to the Commission, and in the event of any apparent irregularity in the use of the European Social Fund, the Member State and the Commission will make the appropriate financial corrections in accordance with the procedures provided for by Community and national standards.

The European Anti-Fraud Office (OLAF) has indicated that it is aware of the articles published in the press and that it is in contact with the national authorities responsible for communications under Commission Regulation (EC) No 1681/94 of 11 July 1994 concerning irregularities and the recovery of sums wrongly paid in connection with the financing of the structural policies and the organisation of an information system in this field(3).

(1) OJ L 193, 31.7.1993.

(2) OJ L 161, 21.6.1999.

(3) OJ L 178, 12.7.1994.