1999/186/EC: Commission Decision of 3 February 1999 excluding from Community financing certain expenditure incurred by the Member States under the Guarantee Section of the European Agricultural Guidance and Guarantee Fund (EAGGF) (notified under document number C(1999) 208)
Date: 1999-02-03
Institutions: European Commission
Subjects: EAGGF Guarantee Section, EU financing, agricultural expenditure, budgetary control

L 61/34

EN

Official Journal of the European Communities

10. 3. 1999

II

(Acts whose publication is not obligatory)

COMMISSION

COMMISSION DECISION

of 3 February 1999

excluding from Community financing certain expenditure incurred by the
Member States under the Guarantee Section of the European Agricultural
Guidance and Guarantee Fund (EAGGF)

(notified under document number C(1999) 208)

(1999/186/EC)

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European
Community,

Having regard to Council Regulation (EEC) No 729/70 of
21 April 1970 on the financing of the common agricul-
tural policy (1), as last amended by Regulation (EC) No
1287/95 (2), and in particular Article 5(2)(c) thereof,

After consulting the Fund Committee,

Whereas, under Article 5(2)(c) of Regulation (EEC) No
729/70,
the Commission, after consulting the Fund
Committee, decides on the expenditure to be excluded
from Community financing where it establishes that it
has not been effected according to Community rules;

Whereas, under Article 5(2)(c) of Regulation (EEC) No
729/70 and Article 8(1) and (2) of Commission Regulation
(EC) No 1663/95 of 7 July 1995 laying down detailed
rules for the application of Council Regulation (EEC) No
729/70 regarding the procedure for the clearance of the
the EAGGF Guarantee Section (3), as last
accounts of
amended by Regulation (EC) No 896/97 (4), the Commis-
sion has made the necessary inspections, notified its find-
ings to the Member States, taken note of the latter’s

(1) OJ L 94, 28. 4. 1970, p. 13.
(2) OJ L 125, 8. 6. 1995, p. 1.
(3) OJ L 158, 8. 7. 1995, p. 6.
(4) OJ L 128, 21. 5. 1997, p. 8.

comments, initiated bilateral discussions in an effort to
come to an agreement with the Member States concerned
and formally communicated its findings to them, refer-
ring to Commission Decision 94/442/EC setting up a
conciliation procedure in the context of the clearance of
the accounts of the European Agricultural Guidance and
Guarantee Fund (EAGGF), Guarantee Section (5);

Whereas the Member States were able to make a request
for conciliation; whereas they did so in a number of cases
and the report delivered on completion of the concilia-
tion procedure was examined by the Commission;

Whereas, under Articles 2 and 3 of Regulation (EEC) No
729/70,
financing may be provided only for export
refunds on products exported to third countries and
action designed to stabilise the agricultural markets,
granted or undertaken respectively in accordance with the
Community rules on the common organisation of the
agricultural markets;

Whereas, in the light of the inspections carried out, the
outcome of the bilateral discussions and the conciliation
procedures, part of
the expenditure declared by the
Member States does not fulfil these requirements and
cannot be financed under the EAGGF Guarantee Section;

(5) OJ L 182, 16. 7. 1994, p. 145.

10. 3. 1999

EN

Official Journal of the European Communities

L 61/35

Whereas the amounts found not to be chargeable to the
EAGGF Guarantee Section are shown in the Annex to
this Decision; whereas they do not concern expenditure
incurred prior to the 24-month period preceding the
Commission’s written notification to the Member States
of the findings of the inspections;

Whereas, in the cases covered by this Decision, the evalu-
ation of the amounts to be excluded from Community
financing on grounds of non-compliance with the
Community rules was communicated by the Commission
to the Member States in the context of the summary
reports for 1994 and 1995;

Whereas this Decision is without prejudice to any finan-
cial consequences drawn by the Commission from judg-
ments of the Court of Justice in cases pending on the
date of this Decision and relating to matters covered by
this Decision,

HAS ADOPTED THIS DECISION:

Article 1

The expenditure of the paying agencies accredited by the
Member States declared under the EAGGF Guarantee
Section, shown in the Annex hereto, is excluded by this
Decision from Community financing,
failure to
comply with the Community rules.

for

Article 2

This Decision is addressed to the Member States.

Done at Brussels, 3 February 1999.

For the Commission

Franz FISCHLER

Member of the Commission

Sector

Member State

Budget item

Arable crops
Tobacco

Germany
Germany

Oils and fats

Milk
Milk
Beef/Veal
Beef/Veal
Arable crops

Spain
Spain

France
France
France
France
France

1060
1710

1210
1211

2065
2065
2120
2125
5011

ANNEX

Grounds

Final product ineligible (set-aside for industrial purposes)
Inadequate checks — 1995 harvest

Shortcomings in scrutiny of expenditure
Olive tree register

1996: buy-back programme — non-fulfilment of requirement
1997: buy-back programme — non-fulfilment of requirement
Inadequate checks
Inadequate checks
Shortcomings in system of management for agri-environmental measures

Oils and fats

Greece

1210

Shortcomings in scrutiny of expenditure

Fruit and vegetables
Fruit and vegetables
Fruit and vegetables

Italy
Italy
Italy

1511
1511
1511

Liquid added to preserved tomatoes
Ineligible finished products
Liquid added to preserved tomatoes

Beef/Veal

Beef/Veal

United
Kingdom
United
Kingdom

2220

Inadequate checks

3805

Inadequate checks

Amount in national currency

Financial year

Total DEM

Total ESP

Total FRF

Total GRD

Total ITL

–1 992 915,00
–1 379 220,00
–3 372 135,00

–5 478 058 789,00
–276 691 426,00
–5 754 750 215,00

–21 634 680,00
–21 634 680,00
–171 835,00
–70 835,00
–16 023 981,00
–59 536 011,00

–7 815 108 329,00
–7 815 108 329,00

–4 533 168 771,00
–9 671 715,00
–7 421 939 820,00
–11 964 780 306,00

1996
1996

1996
1996

1996
1997
1996
1996
1996

1996

1996
1996
1997

–8 741 304,00

1996

–938 603,00

1996

Total GBP

–9 679 907,00

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