2004/136/EC: Commission Decision of 4 February 2004 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(2004) 194)
Date: 2004-02-04
Institutions: European Commission
Subjects: EAGGF Guarantee Section, EU Member State, EU financing, operational expenditure

12.2.2004

EN

Official Journal of the European Union

L 40/31

II

(Acts whose publication is not obligatory)

COMMISSION

COMMISSION DECISION

of 4 February 2004

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(2004) 194)

(Only the Spanish, Danish, German, Greek, English, French, Italian, Dutch, Finnish and Swedish texts are
authentic)

(2004/136/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 agricultural
policy (1), and in particular Article 5(2)(c) thereof,

Having regard to Council Regulation (EC) No 1258/1999 of 17
May 1999 on the financing of
the common agricultural
policy (2), and in particular Article 7(4) thereof,

Having consulted the Fund Committee,

Whereas:

(1)

Article 5 of Regulation (EEC) No 729/70, Article 7 of
Regulation (EC) No 1258/1999 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
EAGGF Guarantee Section (3) provide that the Commis-
sion is to carry out the necessary checks, forward its
findings to the Member States, consider any comments
from the latter, enter into bilateral discussions with a
view to reaching an agreement with the Member States
concerned and formally communicate its conclusions to
them, referring to Commission Decision 94/442/EC of 1
July 1994 setting up a conciliation procedure in the

the accounts of

(1) OJ L 94, 28.4.1970, p. 13. Regulation as last amended by Regu-

lation (EC) No 1287/95 (OJ L 125, 8.6.1995, p. 1).

(2) OJ L 160, 26.6.1999, p. 103.
(3) OJ L 158, 8.7.1995, p. 6. Regulation as last amended by Regulation

(EC) No 2025/2001 (OJ L 274, 17.10.2001, p. 3).

(2)

(3)

(4)

(5)

context of the clearance of the accounts of the European
Agricultural Guidance and Guarantee Fund (EAGGF)
Guarantee Section (4).

The Member States have had an opportunity to request
that a conciliation procedure be initiated. That procedure
has been applied in some cases and the reports issued
on the outcome have been examined by the Commis-
sion.

Under Articles 2 and 3 of Regulation (EEC) No 729/70
and Article 2 of Regulation (EC) No 1258/1999, only
refunds on exports to third countries and intervention to
stabilise agricultural markets, respectively granted and
undertaken according to Community rules within the
framework of the common organisation of the agri-
cultural markets, may be financed.

In the light of the checks 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, therefore,
be financed under the EAGGF Guarantee Section.

The amounts that are not recognised as being chargeable
to the EAGGF Guarantee Section should be indicated.
Those amounts do not relate to expenditure incurred
more than 24 months before the Commission's written
notification of the results of the checks to the Member
States.

(4) OJ L 182, 16.7.1994, p. 45. Decision as last amended by Decision

2001/535/EC (OJ L 193, 17.7.2001, p. 25).

L 40/32

EN

Official Journal of the European Union

12.2.2004

(6)

(7)

As regards the cases covered by this Decision, the assess-
ment of the amounts to be excluded on grounds of non-
compliance with Community rules was notified by the
Commission to the Member States in a summary report
on the subject.

This Decision is without prejudice to any financial
conclusions that the Commission may draw from the
judgments of the Court of Justice in cases pending on
30 October 2003 and relating to its content,

from Community financing because it does not comply with
Community rules.

Article 2

This Decision is addressed to the Kingdom of Belgium, the
Kingdom of Denmark, the Federal Republic of Germany, the
Hellenic Republic, the Kingdom of Spain, the French Republic,
the Italian Republic, the Republic of Finland and the United
Kingdom of Great Britain and Northern Ireland.

HAS ADOPTED THIS DECISION:

Article 1

The expenditure itemised in the Annex hereto that has been
incurred by the Member States' accredited paying agencies and
declared under the EAGGF Guarantee Section shall be excluded

Done at Brussels, 4 February 2004.

For the Commission

Franz FISCHLER

Member of the Commission

ANNEX

Total corrections

.

.

1
2
2
2
0
0
4

Sector

Member State

Budget item

Reason

National
currency

Expenditure to be
excluded from
funding

Deductions
already made

Financial conse-
quence of this
decision

Financial year

E
N

Arable crops

BE

1040-1062

Flat-rate correction of 2 % for shortcomings in the ancillary
controls

EUR

9 322 809,00

9 322 809,00

2000-2002

Wine/tobacco

Arable crops

Total BE

DE

DE

Total DE

164

Correction for non-compliance with the regulations on defi-
nitively abandoning vineyards

EUR

118 262,17

118 262,17

2001-2002

1040-
1062,1310

Flat-rate correction of 5 % for shortcomings in on-the-spot
controls

EUR

7 378 659,00

7 378 659,00

2000-2002

9 322 809,00

0,00

9 322 809,00

7 496 921,17

0,00

7 496 921,17

Livestock premiums

DK

2540, 2320

Flat-rate correction of 2 % for shortcoming in on-the-spot
controls

DKK

46 131,00

46 131,00

2000-2001

Total DK

46 131,00

0,00

46 131,00

Fruit and vegetables

Fruit and vegetables

Olive oil

Financial audit

ES

ES

ES

ES

1511

1515

Correction for irregular grant of supplementary quotas and
10 % correction for shortcomings in the quality controls of
the end products

EUR

8 704 853,00

8 704 853,00

1999-2002

Correction for non-compliance with the delivery schedule +
shortcomings in risk analysis and controls (2 % and 5 %)

EUR

2 968 762,07

2 968 762,07

1998-2001

1211, 1220

Part cancellation of Decision 97/608/EC of 30 July 1997 by
the Court of Justice

EUR

– 444 180,44

– 444 180,44

1993

2120, 2125

Amendment of the corrected amount in Decision 2003/364/
EC of 15 May 2003

EUR

– 13 305,64

– 13 305,64

2002

Total ES

11 216 128,99

0,00

11 216 128,99

Arable crops

FI

1040-1060

Flat-rate correction of 5 % for shortcomings in the key
controls

EUR

4 084 623,00

4 084 623,00

2000-2002

Total FI

4 084 623,00

0,00

4 084 623,00

O

f
f
i
c
i
a
l

J
o
u
r
n
a
l

o
f

t
h
e

E
u
r
o
p
e
a
n
U
n
o
n

i

L

4
0
/
3
3

Sector

Member State

Budget item

Reason

National
currency

Expenditure to be
excluded from
funding

Deductions
already made

Financial conse-
quence of this
decision

Financial year

Fruit and vegetables

Livestock premiums

FR

FR

1511

Correction for irregular grant of supplementary quotas (aid
for the processing of tomatoes)

EUR

215 061,00

215 061,00

2001

2120-2128

Flat-rate corrections of 2 % and 5 % for shortcomings in the
key and ancillary controls

EUR

90 911 142,65

90 911 142,65

2001-2002

Fruit and vegetables

Milk/milk products

Fruit and vegetables

Public storage

Public storage

Private storage

Rural development

Total FR

GR

GR

Total GR

IT

IT

IT

IT

IT

1502

2071

1515

1013

Flat-rate correction of 2 % for failings in the system for
implementing controls

Partial cancellation of Decision 2001/137/EC of 5 February
2001 by the Court of Justice

91 126 203,65

0,00

91 126 203,65

EUR

110 084,53

110 084,53

1999-2001

EUR

– 142 099,50

– 142 099,50

1996

Correction of 0,33 % for irregular application of the penalties
in respect of the financial compensation for citrus processing

Adjustment of the corrected amount in Decision 2002/881/
EC of 5 November 2002

EUR

EUR

– 32 014,97

0,00

– 32 014,97

328 716,42

328 716,42

1999-2000

– 6 986,94

– 6 986,94

1998

1621-1624

Flat-rate correction of 10 % for non-compliance with Article
13(1) of Regulation (EC) No 3105/88 and Regulation (EC)
No 2148/96: alcohol

2050

Correction for non-compliance with Article 8 of Regulation
(EC) No 1255/1999: cheese

4051, 4072

Flat-rate corrections of 2 % and 5 % for failings in the
management and control systems

EUR

6 551 550,45

6 551 550,45

2000-2001

EUR

12 925 851,12

12 925 851,12

1999-2001

EUR

226 559,00

226 559,00

2001-2002

Total IT

20 025 690,05

0,00

20 025 690,05

Financial audit

UK

3700

Correction of an amount already reimbursed: case of an irre-
gularity — Decision 2003/481/EC of 27 June 2003

GBP

– 50 563,38

– 50 563,38

1995

Total UK

– 50 563,38

0,00

– 50 563,38

L

4
0
/
3
4

E
N

O

f
f
i
c
i
a
l

J
o
u
r
n
a
l

o
f

t
h
e

E
u
r
o
p
e
a
n
U
n
o
n

i

.

.

1
2
2
2
0
0
4