natgillin/translations-raw huggingface dataset:
8. 96 the manner in which contracts were awarded, the involvement of the same consulting firms in the conception of the programmes, in the preparation of financing proposals, in the management of ARTM, and in the technical monitoring of the programmes led to a situation in which serious confusions of interest existed, prejudicial to the proper management of Community funds, the resources and procedures of the Commission for monitoring the implementation of the MED programmes and for controlling their decentralized administration were inadequate: when the serious confusions of interest referred to above were identified by the Commission, it was ineffective for a long time in bringing them to an end, > serious shortcomings in the financial management of the programmes at the level of the Commission and ARTM were identified. 
No C 240/6 ΈΝ~Ί Official Journal of the European Communities 19. 8. 96 the manner in which contracts were awarded, the involvement of the same consulting firms in the conception of the programmes, in the preparation of financing proposals, in the management of ARTM, and in the technical monitoring of the programmes led to a situation in which serious confusions of interest existed, prejudicial to the proper management of Community funds, the resources and procedures of the Commission for monitoring the implementation of the MED programmes and for controlling their decentralized administration were inadequate: when the serious confusions of interest referred to above were identified by the Commission, it was ineffective for a long time in bringing them to an end, > serious shortcomings in the financial management of the programmes at the level of the Commission and ARTM were identified.
General presentation The ARTM 25. 
General presentation The ARTM 25.
From the outset, the Commission realized that it was unable, owing to both the limited number of staff at its disposal and the constraints imposed by the Financial Regulation, directly to manage programmes which would inevitably entail a multitude of different management tasks once implementation started. 
From the outset, the Commission realized that it was unable, owing to both the limited number of staff at its disposal and the constraints imposed by the Financial Regulation, directly to manage programmes which would inevitably entail a multitude of different management tasks once implementation started.
The management of this new instrument was organized on the basis of two central features sub-contracting the management of the programmes to private bodies and the - separation of administrative . and financial duties from technical support was adopted. 
The management of this new instrument was organized on the basis of two central features sub-contracting the management of the programmes to private bodies and the - separation of administrative . and financial duties from technical support was adopted.
Administrative and financial duties were entrusted to the ARTM whilst technical support duties were entrusted to a different BAT, for each of the programmes. 
Administrative and financial duties were entrusted to the ARTM whilst technical support duties were entrusted to a different BAT, for each of the programmes.
The idea at the root of this division of tasks was to enable the Commission to collect information from different sources for the purposes of comparison. 
The idea at the root of this division of tasks was to enable the Commission to collect information from different sources for the purposes of comparison.
The ARTM is an international non profit-making association under Belgian law('). 
The ARTM is an international non profit-making association under Belgian law(').
It was created on the initiative of the Commission which, moreover, bore all of the· costs of its creation. 
It was created on the initiative of the Commission which, moreover, bore all of the· costs of its creation.
Consequently, the decisions which this association is required to take should-, in principle, be strictly supervised by the Commission. 
Consequently, the decisions which this association is required to take should-, in principle, be strictly supervised by the Commission.
Furthermore, with the exception of the token contribution of Bfrs 1 000 per annum by the members of the association, the ARTM's resources come exclusively from the contracts awarded to it by the .which wish to obtain Community financing submit their applications, which are then centralized by the competent BAT. 
Furthermore, with the exception of the token contribution of Bfrs 1 000 per annum by the members of the association, the ARTM's resources come exclusively from the contracts awarded to it by the .which wish to obtain Community financing submit their applications, which are then centralized by the competent BAT.
This latter checks compliance with the conditions of eligibility for the Community subsidy, such as the area covered by the project submitted and the origin and the Commission. 
This latter checks compliance with the conditions of eligibility for the Community subsidy, such as the area covered by the project submitted and the origin and the Commission.
The mechanism-ofthe system Appraisal of applications . ' 
The mechanism-ofthe system Appraisal of applications . '
Once this work has been completed, the Commission convenes a Selection Committee(2), which gives its opinion on the applications. 
Once this work has been completed, the Commission convenes a Selection Committee(2), which gives its opinion on the applications.
In the second year of a programme, before the competent committee takes applications from the new networks into consideration, it first examines all of the applications submitted by the networks which have already received financing and which wish the Community aid to be continued for a period of consolidation. 
In the second year of a programme, before the competent committee takes applications from the new networks into consideration, it first examines all of the applications submitted by the networks which have already received financing and which wish the Community aid to be continued for a period of consolidation.
Once this work is finished, the competent committee draws up two lists which identify the projects and the network coordinators and fix the amount of Communityjoint financing granted to each of them. 
Once this work is finished, the competent committee draws up two lists which identify the projects and the network coordinators and fix the amount of Communityjoint financing granted to each of them.
The first list is of networks which are considered to have priority. 
The first list is of networks which are considered to have priority.
The second comprises a reserve of networks which are eligible for financing if any candidates withdraw from the first list. 
The second comprises a reserve of networks which are eligible for financing if any candidates withdraw from the first list.
On the basis of these documents, the Commission prepares the financing proposal submitted to the MED Committee (3). 
On the basis of these documents, the Commission prepares the financing proposal submitted to the MED Committee (3).
Preparation and structure of the financing decisions 31. 
Preparation and structure of the financing decisions 31.
If the MED Committee's opinion is favourable, the Commission adopts a financing decision approving the programme concerned. 
If the MED Committee's opinion is favourable, the Commission adopts a financing decision approving the programme concerned.
This decision, in addition to financing awarded to the networks, provides for a financial reserve to cover operations which prove necessary in order properly to implement the programme. 
This decision, in addition to financing awarded to the networks, provides for a financial reserve to cover operations which prove necessary in order properly to implement the programme.
Certain decisions also include the remuneration of the ARTM and the Β ATs, (2) In the case of the MED-Campus programmes, the Selection Committee is called a Scientific Committee. 
Certain decisions also include the remuneration of the ARTM and the Β ATs, (2) In the case of the MED-Campus programmes, the Selection Committee is called a Scientific Committee.
These committees are made up of eight experts in the field concerned. 
These committees are made up of eight experts in the field concerned.
The Committee provided for respectively in Articles 6 and 7 of Council Regulations (EEC) No 1 762/92 and 1 763/92 of 29. 
The Committee provided for respectively in Articles 6 and 7 of Council Regulations (EEC) No 1 762/92 and 1 763/92 of 29.
The implementation of the programmes got under way with the publication in the Official Journal of the European Communities of a call for proposals. 
The implementation of the programmes got under way with the publication in the Official Journal of the European Communities of a call for proposals.
Networks (') Subject to the Law of 25. 
Networks (') Subject to the Law of 25.
1919. 
1919.
1992. number of the partners in the network. . 
1992. number of the partners in the network. .
19. 8. 96 EN Officiai Journal of the European Communities No C 240/7 whilst, in other cases, this remuneration is settled partially or in full by the Commission itself from an overall commitment. 
19. 8. 96 EN Officiai Journal of the European Communities No C 240/7 whilst, in other cases, this remuneration is settled partially or in full by the Commission itself from an overall commitment.
DG IB prepares a global commitment proposal for a figure corresponding to the figure established in the financing decision. 
DG IB prepares a global commitment proposal for a figure corresponding to the figure established in the financing decision.
Once the commitment proposal has been approved, an initial tranche of 40 % of the amount committed is paid to the ARTM once it has submitted a bank guarantee. 
Once the commitment proposal has been approved, an initial tranche of 40 % of the amount committed is paid to the ARTM once it has submitted a bank guarantee.
The procedures which subsequently come into play are what make the system drawn up for the administrative and financial management of the MED programmes an original one. 
The procedures which subsequently come into play are what make the system drawn up for the administrative and financial management of the MED programmes an original one.
From this point on, the ARTM is invested with broad management powers, which range from sending letters of notification to the beneficiaries to signing contracts awarding subsidies and including the renegotiating of terms with applicants where the subsidies granted differ from the amounts applied for. 
From this point on, the ARTM is invested with broad management powers, which range from sending letters of notification to the beneficiaries to signing contracts awarding subsidies and including the renegotiating of terms with applicants where the subsidies granted differ from the amounts applied for.
By means, in particular, of drawing up project reports which it submits, to the Commitment Committee ('), the ARTM plays a far from negligible role in assessing the eligibility of expenditure. 
By means, in particular, of drawing up project reports which it submits, to the Commitment Committee ('), the ARTM plays a far from negligible role in assessing the eligibility of expenditure.
It may also take the initiative to ask for sums it considers to have been paid in ARTM and the BAT, is chaired by the Commission administrator responsible for the programme concerned. 
It may also take the initiative to ask for sums it considers to have been paid in ARTM and the BAT, is chaired by the Commission administrator responsible for the programme concerned.
The decision taken depends on the opinion given by the ARTM and the BAT, based on their examination ofthese reports. 
The decision taken depends on the opinion given by the ARTM and the BAT, based on their examination ofthese reports.
The ARTM gives its opinion on the financial aspect of the report whereas the BAT considers only the technical aspects. 
The ARTM gives its opinion on the financial aspect of the report whereas the BAT considers only the technical aspects.
The diagram drawn up by the ARTM, attached as Annex 2, gives an overview of the whole system. 
The diagram drawn up by the ARTM, attached as Annex 2, gives an overview of the whole system.
Analysis of the system and of the way in which it functions Observations concerning the delegation ofpowers .39. . 
Analysis of the system and of the way in which it functions Observations concerning the delegation ofpowers .39. .
In view of the nature and scope of the powers conferred on the ARTM, what the Commission had actually done was to delegate its powers de facto to a third body, rather than sign mere service contracts. 
In view of the nature and scope of the powers conferred on the ARTM, what the Commission had actually done was to delegate its powers de facto to a third body, rather than sign mere service contracts.
The fact is, though, that (ignoring the questions concerning thé legal basis, see paragraph 41 below) these powers were delegated in the absence of a decision of principle by the Commission (see . paragraphs 42 et seq.). 
The fact is, though, that (ignoring the questions concerning thé legal basis, see paragraph 41 below) these powers were delegated in the absence of a decision of principle by the Commission (see . paragraphs 42 et seq.).
The terms of this delegation are also open to criticism, in so far as the contracts remain vague as to the responsibility of the ARTM and its administrators and say nothing about the ownership of its assets and their sharing out in the event of bankruptcy, although the ARTM was set up exclusively with finance from the Commission. 
The terms of this delegation are also open to criticism, in so far as the contracts remain vague as to the responsibility of the ARTM and its administrators and say nothing about the ownership of its assets and their sharing out in the event of bankruptcy, although the ARTM was set up exclusively with finance from the Commission.
Furthermore, the Court observed serious irregularities in the way this delegation was managed (see paragraphs 44 to 45 below). 
Furthermore, the Court observed serious irregularities in the way this delegation was managed (see paragraphs 44 to 45 below).
Lastly, in spite of several warnings, this de facto delegation of powers was not revoked, in spite of the fact that, in a note of 2 December 1992, the Commission's Legal Service, having been consulted by the department respon¬ sible for the implementation of the MED programmes, pointed out that: 'control-related duties, or those involving the discharge of discretionary power within the framework of a genuine Community policy, including the implemen¬ tation of the budget, may be carried out only by officials or, under certain circumstances, temporary staff (2). 
Lastly, in spite of several warnings, this de facto delegation of powers was not revoked, in spite of the fact that, in a note of 2 December 1992, the Commission's Legal Service, having been consulted by the department respon¬ sible for the implementation of the MED programmes, pointed out that: 'control-related duties, or those involving the discharge of discretionary power within the framework of a genuine Community policy, including the implemen¬ tation of the budget, may be carried out only by officials or, under certain circumstances, temporary staff (2).
Legal basis 41. 
Legal basis 41.
The legal basis for this delegation of powers is not clear. 
The legal basis for this delegation of powers is not clear.
Whilst Article 105 (3) (1) of the Financial Regulation (2) DG IB did not, moreover, wait for this opinion, because it signed the first contract with the ARTM on 25 November 1992. 
Whilst Article 105 (3) (1) of the Financial Regulation (2) DG IB did not, moreover, wait for this opinion, because it signed the first contract with the ARTM on 25 November 1992.
The Consultative Committee on Procurement and Contracts also warned DG IB on the same questions in an opinion of 6 error to be reimbursed. , ; It should also be pointed out that the contracts signed 34. when the first two MED-Urbs and MED-Campus pro¬ grammes were implemented were exclusively signed by the ARTM and the representative of the pilot body. 
The Consultative Committee on Procurement and Contracts also warned DG IB on the same questions in an opinion of 6 error to be reimbursed. , ; It should also be pointed out that the contracts signed 34. when the first two MED-Urbs and MED-Campus pro¬ grammes were implemented were exclusively signed by the ARTM and the representative of the pilot body.
The same was true as regards the contracts awarding technical assistance, which were concluded directly between ' the ARTM and the managers of the BATs. 
The same was true as regards the contracts awarding technical assistance, which were concluded directly between ' the ARTM and the managers of the BATs.
With effect from the second series of programmes, these' documents were also signed by a Commission official. . 
With effect from the second series of programmes, these' documents were also signed by a Commission official. .
35 '.' 
35 '.'
However, from the outset, the sums paid to the ARTM were held in a bank account and payments had to be co-signed by three people: thè Director of the ARTM and two officials from the Authorizing Officer's department. 
However, from the outset, the sums paid to the ARTM were held in a bank account and payments had to be co-signed by three people: thè Director of the ARTM and two officials from the Authorizing Officer's department.
The contract stipulates that the coordinator of a network must provide the agency with an interim progress report and a final report. 
The contract stipulates that the coordinator of a network must provide the agency with an interim progress report and a final report.
Both of these documents are divided into two parts. 
Both of these documents are divided into two parts.
The first part is purely descriptive and the second comprises a series of financial tables, which the ARTM says are the revenue and expenditure accounts. ; 37. 
The first part is purely descriptive and the second comprises a series of financial tables, which the ARTM says are the revenue and expenditure accounts. ; 37.
The payment to the beneficiaries of the second and third tranches depends on the approval of thè. aforementioned reports by the programme's Commitment Committee. 
The payment to the beneficiaries of the second and third tranches depends on the approval of thè. aforementioned reports by the programme's Commitment Committee.
This Committee, which is made up of representatives of the (') The Commitment Committee made up of representatives of the ARTM and the relevant BAT and chaired, for each of the various programmes, by the relevant Commission administrator is in fact a Management Committee. . 
This Committee, which is made up of representatives of the (') The Commitment Committee made up of representatives of the ARTM and the relevant BAT and chaired, for each of the various programmes, by the relevant Commission administrator is in fact a Management Committee. .
December 1993. 
December 1993.
No C 240/8 EN Official Journal of the European Communities 19. 
No C 240/8 EN Official Journal of the European Communities 19.
8. 96 (FR), which concerns the management of external aid in general, provides for the possibility of delegating manage¬ ment 'to another body', in contrast, Article 6 (1) of Council Regulation (EEC) No 1763/92, which covers the MED programmes in particular, does not mention any such possibility. 
8. 96 (FR), which concerns the management of external aid in general, provides for the possibility of delegating manage¬ ment 'to another body', in contrast, Article 6 (1) of Council Regulation (EEC) No 1763/92, which covers the MED programmes in particular, does not mention any such possibility.
Although this Regulation refers explicitly to Article 105 of the FR, it allows the Commission to delegate its management powers only to the EIB, as regards interest rate subsidies and operations based on risk capital. 
Although this Regulation refers explicitly to Article 105 of the FR, it allows the Commission to delegate its management powers only to the EIB, as regards interest rate subsidies and operations based on risk capital.
Another condition stipulated by the Meroni ruling concerns the observance by the authority to which power has been delegated of the same rules as those which apply to the delegating authority. 
Another condition stipulated by the Meroni ruling concerns the observance by the authority to which power has been delegated of the same rules as those which apply to the delegating authority.
As the Commission is required to exercise its powers in complete independence (2), the ARTM should have done the same. 
As the Commission is required to exercise its powers in complete independence (2), the ARTM should have done the same.
This was not the case, as is shown by the Court's detection of flagrant examples of confusion of interest, details of which are given in paragraphs 50 to 57. 
This was not the case, as is shown by the Court's detection of flagrant examples of confusion of interest, details of which are given in paragraphs 50 to 57.
These clear violations call into question the whole system of delegation. 
These clear violations call into question the whole system of delegation.
The fact is that the Commission, as the delegating authority, is responsible for the actions of the ARTM. 
The fact is that the Commission, as the delegating authority, is responsible for the actions of the ARTM.
To this extent, it was also responsible for preventing these violations. 
To this extent, it was also responsible for preventing these violations.
The Commission was given the means of doing this when it co-signed the contracts and bank transfers drawn up by the ARTM. 
The Commission was given the means of doing this when it co-signed the contracts and bank transfers drawn up by the ARTM.
Rules for awarding public contracts 46. 
Rules for awarding public contracts 46.
The ARTM was singlehandedly created and financed from scratch by the Commission. 
The ARTM was singlehandedly created and financed from scratch by the Commission.
This latter signed a private contract at the end of October 1992 with a firm of consultants totalling ECU 54 000 for the purpose of carrying out a study of the organizational needs of the future agency. 
This latter signed a private contract at the end of October 1992 with a firm of consultants totalling ECU 54 000 for the purpose of carrying out a study of the organizational needs of the future agency.
The expert seconded by this consultant was subsequently put in charge of operations at the ARTM. 
The expert seconded by this consultant was subsequently put in charge of operations at the ARTM.
The Commission assigned the administrative and financial management of the MED programmes to this agency by private-treaty contracts from 1 992 until December 1993. 
The Commission assigned the administrative and financial management of the MED programmes to this agency by private-treaty contracts from 1 992 until December 1993.
In July 1994, the ARTM obtained a new contract following an invitation to tender. 
In July 1994, the ARTM obtained a new contract following an invitation to tender.
The table attached as Annex 3 gives the details of the amounts of these contracts and the procedures for awarding them. 
The table attached as Annex 3 gives the details of the amounts of these contracts and the procedures for awarding them.
This situation infringes the rules governing the awarding of public contracts. 
This situation infringes the rules governing the awarding of public contracts.