WRITTEN QUESTION E-3333/00

by Esko Seppänen (GUE/NGL) to the Commission

(25 October 2000)

Subject: Covert investigation of science funding

According to an article in the German magazine Stern of 21 September 2000, a covert investigation has been ordered by Commissioner Schreyer into the disbursement to various projects of funds from the EU's Fifth Framework Programme for Research and Technological Development, and into the use of the consultancy firm of Wang for project evaluations costing DEM 10 million. The investigation showed that the Commission's action was extremely inefficient and the services provided by the consultancy firm inadequate. Is this investigation a public document, and is there any truth in the statements concerning the inefficient handling of the projects and the low quality of the Wang consultancy firm's services?

Answer given by Mr Busquin on behalf of the Commission

(19 December 2000)

The report mentioned by Stern concerns a special financial audit of a contract for the provision of administrative support to the process of receiving and evaluating proposals for research and technological development (RTD) contracts. The audit was programmed and carried out by Directorate general for financial control following problems identified during the control of financial transactions. It examined the execution of the external service provider (ESP) contract from the time that the Commission's advisory committee on procurement and contracts (ACPC) had given a positive opinion. It sought to identify the problems experienced by the Commission in the execution of this contract.

This was not a covert investigation, but part of the normal processes of examining internal management. For the same reason, it is not intended for external publication. The version of the audit report seen by Stern was a draft which is still under discussion and does not contain either the final comments of the audited Commission Directorates general Information society (INFSO) and RTD or the adaptations introduced by the Directorate general for financial control.

The draft audit report concerns the first contractual period of the contract with Wang (now Getronics) and the difficulties encountered following the launch of the fifth RTD framework programme (FP5). These difficulties were largely caused by the late adoption of FP5 and the specific programmes implementing it, and by the circumstances surrounding the resignation of the Commission, which left very little time to prepare the evaluation sessions.

The audit report identifies several weaknesses in the management and monitoring systems of the audited services and in the operations of the contractor, especially during the initial period of the contract. However, the report also concludes that the evaluations were able to take place and provided meaningful and positive results, a fact also confirmed by reports of independent observers.

The lead services took action to improve the evaluation management of the ESP. The contract was then renewed at the end of 1999 for a period of one year.

Getronics, the ESP, has been certified to International organisation for standardisation (ISO) 9002 standards in respect of this specific service contract since May 2000. This certification involves a demanding process, and is not given lightly.