1999/352/EC, ECSC, Euratom: Commission Decision of 28 April 1999 establishing the European Anti-fraud Office (OLAF) (notified under document number SEC(1999) 802)
Date: 1999-04-28
Institutions: European Commission
Subjects: EU office or agency, fraud, operation of the Institutions

L 136/20

EN

Official Journal of the European Communities

31. 5. 1999

COMMISSION

COMMISSION DECISION

of 28 April 1999

establishing the European Anti-fraud Office (OLAF)

(notified under document number SEC(1999) 802)

(1999/352/EC, ECSC, Euratom)

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

the Unit for the Coordination of Fraud Prevention
(UCLAF);

Having regard to the Treaty establishing the European
Community, and in particular Article 162 thereof,

Having regard to the Treaty establishing the European
Coal and Steel Community, and in particular Article 16
thereof,

Having regard to the Treaty establishing the European
Atomic Energy Community, and in particular Article 131
thereof,

(1) Whereas the institutions and the Member States
attach great importance to the protection of the
Communities’ financial interests and to the fight
against fraud and any other illegal activities to the
detriment of the Communities’ financial interests;
whereas the importance of action to that end is
confirmed by Article 209a of the EC Treaty, Article
the
78i of
Euratom Treaty as well as by Article 280 of the EC
Treaty as formulated by the Treaty of Amsterdam;

the ECSC Treaty, Article 183a of

(2) Whereas all available means need to be deployed to
fully attain this objective, notably in terms of
investigation functions devolved to the Community
level, while the current allocation and balance of
and
responsibilities
Community levels should be maintained;

as between the national

(3) Whereas the task of carrying out administrative
investigations for the purpose of protecting the
financial interests of the Communities has until
now been conferred on the Task Force for Co-
ordination of Fraud Prevention, which succeeded

(4) Whereas the need to increase the effectiveness of
the fight against fraud and other illegal activities
detrimental
the
Communities requires the establishment of a Euro-
pean Anti-fraud Office (OLAF), hereinafter referred
to as ‘the Office' which must exercise its invest-
igation powers in full independence;

interests of

financial

to the

(5) Whereas the independence of the Director of the
Office and the role of the Surveillance Committee
arising from this Decision, and from the EC and
Euratom Regulations concerning the investigations
conducted by the Office, seek to guarantee the
Office’s proper conduct of investigations without
interfering with its other tasks, such as those which
are the prerogative of the Commission,
in par-
ticular in matters of legislation;

(6) Whereas the responsibility of the Office should
involve, over and above the protection of financial
interests, all the activities linked with the protec-
tion of Community interests from irregular acts
likely to lead to administrative or penal proceed-
ings;

(7) Whereas the definition of

the functions of

the
Office should include the tasks carried out up to
now by the Task Force for Coordination of Fraud
Prevention, in particular those tasks concerning the
preparation of legislative and regulatory provisions
in the areas of activity of this Office, including
instruments which fall under Title VI of the Treaty
on European Union,

31. 5. 1999

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Official Journal of the European Communities

L 136/21

HAS DECIDED AS FOLLOWS:

Article 1

Establishment of the Office

(OLAF), hereinafter
A European Anti-fraud Office
is hereby established. The
referred to as ‘the Office',
Office shall replace the Task Force for Coordination of
Fraud Prevention and take over all its tasks.

Article 2

Tasks of the Office

The Office shall exercise the Commission’s powers
1.
to carry out external administrative investigations for the
purpose of strengthening the fight against fraud, corrup-
tion and any other illegal activity adversely affecting the
Community’s financial interests, as well as any other act
or activity by operators in breach of Community provi-
sions.

with the objective of fraud prevention as referred to in
paragraph 1.

5.
The Office shall be responsible for any other opera-
tional activity of the Commission in relation to the fight
against fraud as referred to in paragraph 1, and in par-
ticular:

(a) developing the necessary infrastructure;

(b) ensuring the collection and analysis of information;

(c) giving technical support, in particular in the area of
training, to the other institutions or bodies as well as
to the competent national authorities.

The Office shall be in direct contact with the police

6.
and judicial authorities.

The Office shall

7.
service level,
covered by this Article.

represent
in the forums concerned,

the Commission, at
in the fields

Article 3

The Office shall be responsible for carrying out internal
administrative investigations intended:

Independence of the investigative function

(a) to combat

fraud, corruption and any other illegal
activity adversely affecting the Community’s financial
interests,

(b) to investigate serious facts linked to the performance
of professional activities which may constitute a
breach of obligations by officials and servants of the
Communities likely to lead to disciplinary and, in
appropriate cases, criminal proceedings or an ana-
logous breach of obligations by Members of the insti-
tutions and bodies, heads of the bodies or members of
staff of the institutions and bodies not subject to the
Staff Regulations of Officials of
the European
Communities and the Conditions of Employment of
Other Servants of the Communities.

The Office shall exercise the Commission’s powers as
they are defined in the provisions established in the
framework of the Treaties, and subject to the limits and
conditions laid down therein.

The Office may be entrusted with investigations in other
areas by the Commission or by the other institutions or
bodies.

2.
The Office shall be responsible for providing the
Commission’s support in cooperating with the Member
States in the area of the fight against fraud.

The Office shall be responsible for the activity of
fraud as

the fight against

3.
developing a concept
for
referred to in paragraph 1.

The Office shall exercise the powers of
investigation
referred to in Article 2(1) in complete independence. In
exercising these powers, the Director of the Office shall
neither seek nor take instructions from the Commission,
any government or any other institution or body.

Article 4

Surveillance Committee

A Surveillance Committee shall be established,
the
composition and powers of which shall be laid down by
the Community legislature. This Committee shall be
responsible for the regular monitoring of the discharge by
the Office of its investigative function.

Article 5

Director

The Office shall be headed by a Director, nominated
1.
by the Commission, after consulting in European Parlia-
ment and the Council, for a term of five years, which may
be renewed once. With a view to nominating the
favourable
the Commission shall, once a
Director,
opinion has been given by the Surveillance Committee,
draw up a list of several suitably qualified candidates,
following a call for applications which shall, if appro-
priate, be published in the Official Journal of the Euro-
pean Communities.

4.
The Office shall be responsible for the preparation
of legislative and regulatory initiatives of the Commission

The Director shall be responsible for the carrying out of
investigations.

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Official Journal of the European Communities

31. 5. 1999

the powers

conferred to the

The Commission shall exercise, with regard to the
2.
Director,
appointing
authority. Any measure under Articles 87, 88 and 90 of
the Staff Regulations of Officials of
the European
Communities shall be taken, after consulting the Surveil-
lance Committee, by reasoned decision of the Commis-
sion. The decision shall be communicated for informa-
tion to the European Parliament and the Council.

anti-fraud headings of part B. He shall be permitted to
delegate his powers.

concerning

Commission decisions

4.
internal
organisation shall apply to the Office in so far as they are
compatible with the provisions concerning the Office
adopted by the Community legislator, with this Decision
and with the detailed rules implementing it.

its

Article 6

Operation of the Office

1.
The Director of the Office shall exercise, with regard
to the staff of the Office, the powers conferred by the Staff
Regulations of Officials of the European Communities on
the appointing authority and by the Conditions of
Employment of Other Servants of the Communities on
the authority authorised to conclude contracts of employ-
ment. He shall be permitted to delegate those powers. In
accordance with the Staff Regulations and the Conditions
of Employment of Other Servants, he shall lay down the
conditions and detailed arrangements for recruitment, in
particular as to the length of contracts and their renewal.

After consulting the Surveillance Committee, the
2.
Director shall send the Director-General for Budgets a
preliminary draft budget to be entered in the special
heading for the Office in the annual general budget.

The Director shall act as authorising officer for
3.
implementation of the special budget heading for part A
of the budget, concerning the Office, and the specific

Article 7

Effective date

This Decision shall take effect on the date of the entry
into force of the European Parliament and Council Regu-
lation (EC) concerning investigations carried out by the
European Anti-fraud Office. Up to the first day of the
month following the appointment of the Director of the
Office, the current business of the Office shall be dealt
with by the Director of the Task Force for Coordination
of Fraud Prevention.

Done at Brussels, 28 April 1999.

For the Commission

The President

Jacques SANTER