WRITTEN QUESTION E-2923/01 by Antonios Trakatellis (PPE-DE) and Ioannis Averoff (PPE-DE) to the Commission. Infringements of Community law through the illegal withholding of Community aid, practices pursued by the Agricultural Bank of Greece, and late payment of Community aid.
Date: 2001-10-17
Institutions: European Parliament, Provisional data
Subjects: EU aid, Greece, agricultural bank, agricultural credit, aid to agriculture, bank charges, deadline for payment, fraud, infringement of EU law, power of attorney, producer organisation, restriction on competition

C 115 E/194

Official Journal of the European Communities

EN

16.5.2002

Following a favourable opinion by Parliament’s Committee on Regional Policy, Transport and Tourism, at
its meeting on 9, 10 and 11 October 2001, regarding the common position of the Council of 7 August
2001, the new regulation should be formally adopted by the end of the year.

Given the global dimension of shipping, the Union is endeavouring to align its regulations with those of
the IMO. However, it is possible that it will adopt, if necessary, provisions which go beyond those of the
IMO, in accordance with the legal bases conferred by the Treaty.

(1) COM(2000) 848 final.

(2002/C 115 E/205)

WRITTEN QUESTION E-2923/01

by Antonios Trakatellis (PPE-DE) and Ioannis Averoff (PPE-DE) to the Commission

(17 October 2001)

Subject: Infringements of Community law through the illegal withholding of Community aid, practices

pursued by the Agricultural Bank of Greece, and late payment of Community aid

The practice applied by certain agricultural cooperatives of illegally withholding Community aid and
making late payments to beneficiaries is a chronic problem severely affecting Greek farmers. The
Agricultural Bank of Greece (ATE) sustains and shields these practices with its new interventionist system
of managing and paying out Community aid,
illegally and unduly profiting from Community funds
intended for third parties. In addition, the bank is creating unfair competition, distortion of competition
thereby perpetuating the outmoded structures of Greek
and illegal monopolistic credit practices,
agriculture. An example of this policy is the following power of attorney which farmers are required to
sign:

The Producer …: being aware of
Community legislation, authorises:

the procedures and consequences under current national and

1. The OP-EAS Mesolongi-Navpaktos, of which he is a member:

(a)

(b)

to take all necessary measures to pay, by crediting to his account by magnetic means, the
advances and subsidies payable under the relevant EEC Regulations and decisions of the
Ministry for Agriculture, and

to take all necessary measures to debit from his account, through the ATE, his liabilities to
third parties, in particular:
(i)
(ii)
(iii)
(iv)

ELGA (Greek agricultural insurance),
to the Directorate for Finance, any tax due,
to third parties, any unduly paid amounts, and
to OP-EAS Mesolongi-Navpaktos, any commission it may be entitled to for the above
work, as set out in each case by decision of the General Assembly or the Executive
Committee, and to pay them to the relevant agencies (Directorate for Finance,
Directorate for the Administration of Agricultural Produce, etc.).

2. The ATE to proceed:

(a)

to credit the account as set out in paragraph (1a) above, and

(b)

to debit the account as set out in paragraph (1b) above, and to credit and debit those
amounts to or from the relevant accounts, the relevant agencies or third parties,

3. Confers on OP-EAS Mesolongi-Navpaktos the right, after payment of the above amounts, to

withhold his liabilities towards it by debiting his account through the ATE.

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Official Journal of the European Communities

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4. Authorises the ATE to grant him the more favourable terms granted to those beneficiaries to
whom the subsidy is paid by mechanical means, automatically (e.g. by way of interest) or at his
request (e.g. by way of credit card) according to the service provided, whenever he should need.

Is the system of payment of Community aid under the above power of attorney in breach of
1.
Community provisions, and what measures will the Commission take to bring the ATE’s operating
procedures into line with Community rules?

Is it consistent with Regulation 1259/1999/EC (1)

2.
for the organisations which are to pay out
Community aid to withhold amounts on the grounds of performing administrative services at the time of
payment, and what action will the Commission take to ensure that Community aid is paid in full to the
beneficiaries without any amount being withheld in Greece?

3. What is the total financial loss (reductions) of Community funds from the EAGGF to Greece in the
last three years (1999-2000) as a result of the failure to pay Community aid to beneficiaries within the
prescribed time pursuant to Regulation 296/96/EC (2)?

(1) OJ L 160, 26.6.1999, p. 113.
(2) OJ L 39, 17.2.1996, p. 5.

Answer given by Mr Fischler on behalf of the Commission

(4 December 2001)

As regards the questions posed by the Honourable Members the Commission is aware of the Greek
arrangements to which they refer.

Several complaints have been lodged with the Commission in respect of the deductions from Community
payments pursuant to Council Regulation (EC) No 1259/1999 of 17 May 1999 establishing common rules
for direct support schemes under the common agricultural policy, operated by producer groups and
assocations of producer groups in Greece.

The Commission is looking into this matter within the scope of the infringement procedure laid down in
Article 226 (ex Article 169) of the EC Treaty.

In addition, the question of the full payment of Community aid in Greece has been subject to financial
corrections in the framework of the European Agricultural Guidance and Guarantee Fund (EAGGF)
clearance of accounts procedure. Les corrections effectuées dans le cadre des décisions d’apurement des
comptes adoptées en 1999, 2000 et 2001 en ce qui concerne le non-respect en Grèce des délais de
paiement des aides communautaires sont de: € 7 850 119,24.

Furthermore, the Court of Justice is to take a position in respect of the ELGA premiums issued in case
C-355/00 currently pending before it.

(2002/C 115 E/206)

WRITTEN QUESTION E-2928/01

by Hiltrud Breyer (Verts/ALE) to the Commission

(24 October 2001)

Subject: Infringement of FFH directive and nature conservation directive by works on the Danube at

Thundorf and between Staubingen and Vilshofen (Bavaria)

The construction of one or more barrages on the Danube between Straubing and Vilshofen would severely
damage the wetland at the mouth of the Isar, the only one of its kind in Europe. The area concerned is a
protected area within the meaning of the European nature conservation directives. Similarly, dyke-building
in the Thurndorf area (nature conservation area of Staatshaufen at kilometre 2 278,2 on the Danube) poses
a threat to the groundwater in the hinterland.