2005-11-18

Lack of legality in the CAP?

For the eleventh consecutive years the European Court of Auditors is concerned that not of all the payments of the CAP are above board. As stated in their report 2005-11-15 :"In the case of Common Agricultural Policy expenditure (€43.6 billion euro), the Court concludes that expenditure which is not subject to IACS or where IACS has been inadequately applied, is at greater risk because the control systems are not as effective. For example, post-payment checks for CAP subsidies not covered by IACS - 37% of the total - do not provide the Commission with reasonable assurance on compliance of the transactions with Community legislation. The Court concluded that, viewed as a whole, the CAP expenditure was still materially affected by errors."

The CAP has been in use for almost half a decade now, and the EU can still not assure the legality and regularity of its transactions! I guess most companies would have some difficulties in explaining this kind of behaviour!

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