EU to recover 578.5 M€ of CAP expenditure from Member States

A total of 578.5 million Euro of EU farm money unduly spent by Member States is claimed back as a result of a Decision adopted on 4 November by the European Commission and published in the Official Journal of the European Union on 5 November.

In its Decision, the Commission lays down the amount of CAP expenditure incurred by Member states which will be excluded from European Union financing under the Guarantee Section of the European Agricultural Guidance and Guarantee Fund (EAGGF), under the European Agricultural Guarantee Fund (EAGF) and under the European Agricultural Fund for Rural Development (EAFRD).

The amounts published by Commission's Decision return to the EU budget because of non-compliance with EU rules or inadequate control procedures on agricultural expenditure. Member States are responsible for paying out and checking expenditure under the Common Agricultural Policy (CAP), and the Commission is required to ensure that Member States have made correct use of the funds.

CAP expenditure most significant financial corrections

  • 210.9 million Euro charged to Greece for poor LPIS-GIS and deficiencies in on-the spot controls in respect of claim year 2006 for area-aids expenditure, including area-based rural development measures;
  • 54.7 million Euro charged to Greece with regard to dried grapes for reductions in the minimum yield, plot specialisation, ineffective vineyard register and weaknesses in scheme management and control for the financial years 2003-2007;
  • 50.16 million Euro charged to Greece for failure to reduce aid payments for non respect of veterinary requirements regarding the maintenance of sheep registers, for deficiencies in on-the-spot and administrative checks and for absence of specific risk criteria for Less Favoured Area additional premium controls;
  • 41.7 million Euro charged to Romania for weaknesses in the LPIS-GIS, administrative controls and sanctions application;
  • 40.69 million Euro charged to Portugal for weaknesses in the LPIS-GIS, deficiencies in the risk analysis for control, insufficient number and quality of on-the-spot checks, incorrect application of sanctions, inadequate guidelines and deficiencies in administrative checks for area-aids expenditure including area-based rural development measures;
  • 28.94 million Euro charged to The Netherlands for the absence of a key control concerning payment of minimum price to producers in financial years 2003 to 2008;
  • 20.2 million Euro charged to Bulgaria for poor LPIS-GIS and deficiencies in on-the spot controls in respect of claim year 2006 for area-aids expenditure, including area-based rural development measures;
  • 19.76 million Euro charged to Greece for tobacco deliveries after the regulatory deadlines, incorrect approval of first processors and transfer of cultivation contracts.