Activities of Luke Ming FLANAGAN related to 2021/2234(INI)
Plenary speeches (1)
Protection of the EU’s financial interests – combating fraud – annual report 2020 (debate)
Shadow reports (1)
REPORT on the protection of the European Union’s financial interests – combating fraud – annual report 2020
Amendments (12)
Amendment 5 #
Motion for a resolution
Recital C a (new)
Recital C a (new)
C a. whereas corruption not only seriously harms the Union’s financial interests but pose also a threat to democracy, fundamental rights and rule of law across Europe, with a serious detrimental impact on the trust of citizens;
Amendment 13 #
Motion for a resolution
Paragraph 7
Paragraph 7
7. Takes note ofthat the number of fraudulent irregularities reported in 2020 (989 casirregularities reported as fraudulent varies extremely among Member States; reminding that the these figures measure the results of Member States’ work to counter fraud and other illegal activities) and their related financial value (approximately EUR 361.42 million)should not be interpreted as indicating the level of fraud in the Member States territories, expresses some concerns about the different approach used by Member States of criminal law to protect the EU budget; calls on the Commission to address these differences between the Member States and to consider new harmonising measures;
Amendment 16 #
Motion for a resolution
Paragraph 9
Paragraph 9
9. Takes into consideration the fact that the number of non-fraudulent irregularities registered in 2020 (8 737 cases, of which 5 371 cases related to expenditure) was lower than in the previous years, and that the drop in detection and reporting in certain areas of spending cannot easily be explained and is of concern; notes that the total related financial value of these cases is approximately EUR 967.02 million; underlines that the drop in total number of reported irregularities cannot be considered as a sign of positive or negative development, but should be seen in relation to new emerging challenges, linked to new ways of managing and spending EU funds; takes note that fraud is becoming increasingly appealing for organised crime[1a], which is a significant threat to the Union Financial interests but also for citizens trust in pubic authorities, eroding rule of law and fundamental rights; regrets that many Member states do not have any specific legislation to fight against organised crime including of mafia type; _________________ 1a ‘See ‘Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions on the EU Strategy to tackle Organised Crime 2021-2025’. COM(2021) 170 final.’
Amendment 26 #
Motion for a resolution
Paragraph 18
Paragraph 18
18. Notes that, over the period 2016- 2020, the detection of fraud in the context of the common agricultural policy (CAP) was concentrated in a small number of Member States and that this was not substantiated by a similar level of payments to those Member States from the CAP budget; notes moreover that, the majority of fraudulent irregularities concerning support to agriculture involved the use of false documents or false requests for aid, and that their number remained largely stable; observes furthermore that, as a proportion of the payments received by the Member States, the rural development part of the budget was more affected by fraud than support for agriculture, with the exception of market measures, for which incidences of fraud were higher than for rural development; notes that in relation to rural development, the falsification of documents was the main fraudulent practice; expresses concerns that the slow start in reporting fraudulent irregularities related to rural development for 2014-2020 may indicates insufficient detection efforts in Member States;
Amendment 27 #
Motion for a resolution
Paragraph 19
Paragraph 19
19. Notes that between 2016 and 2020, the number of irregularities reported related to the Cohesion Fund, the European Regional Development Fund, the European Social Fund and the Fisheries Funds for the 2014-2020 programming period increased; stresses, however, that for all funds, and in particular the European Regional Development Fund, as regards non- fraudulent irregularities, this increase was limited, highlighting an exceptional fall in the number of detected irregularities (and related financial amounts) in comparison to the previous programming period; takes note that COVID 19 may bring new opportunities to fraudsters, with risks related to managing the emergency - requiring simplified procedures, which may be abused; the pressure on the authorities managing the EU Funds, with delays and new stress factors that could benefit fraudsters, via among others inflated costs; emphasis that all these new risks posed by COVID-19 outbreak require adaptation of the control strategies and more focus on prevention through specific mitigating measures and targeted actions to detect future irregularities and fraud;
Amendment 49 #
Motion for a resolution
Paragraph 26
Paragraph 26
26. Regrets that little support has been given to Member States in the first years of implementation of the CAFS, as has also been pointed out by some delegations during debates in the Council; reiterates that comprehensive and comparable data on the scale, nature and causes of fraud is essential to make even more meaningful the investigative actions by OLAF and, since it has taken up operational activities, the EPPO; reminds that Member States have a frontline responsibility for managing about 80% of the expenditure budget and for collecting almost all the revenue; highlights the important role Members States therefore play in protecting the EU financial interests, with the key role played by the national anti- fraud strategies (NAFSs), whose establishment should be a priorty in all Member States;
Amendment 55 #
Motion for a resolution
Paragraph 27
Paragraph 27
27. Notes with concerns that by the end of 2020, only 14 Member States reported having adopted a NAFS, which is anyhow up from 10 in 2019, with 5 others considering adopting or preparing a NAFS; notes, however, that these strategies vary in scope and depth and that some need to be updated; calls for more Member States to adopt a NAFS and to report it to the Commissionexpress concerns that some big countries in the EU do not have any NAFS at all, including Germany and Spain; calls for more Member States to adopt a NAFS and to report it to the Commission; stresses the importance of better coordinated, holistic anti-fraud efforts in Member States with NAFS to be updated to face the new risks posed by the COVID-19 and the new ways of managing funds; calls on the Commission to assess the NAFSs that have been adopted, to examine why Member States are lagging behind in adopting them, and to push the remaining Member States to progress with adoption; reminds that AFCOS should facilitates effective cooperation and exchange of information with OLAF , but regrets that only in some Member States they effectively coordinate the fight against fraud affecting the EU financial interests;
Amendment 76 #
Motion for a resolution
Paragraph 37
Paragraph 37
37. Calls on OLAF, the EPPO, AFCOS, and the responsible EU agencies to keep strengthening the exchange of information, to reciprocate support and ensure complementarity in their operational activities as agreed in the established working arrangements and regulations; highlights that the complex anti-fraud architecture in place requires close cooperation between the various players, at EU and national level; underlines that more efforts are needed to prevent and fight fraud, corruption and other illegal activities, including a closer cooperation with national authorities, between Member States and within the EU level;
Amendment 88 #
Motion for a resolution
Paragraph 41 a (new)
Paragraph 41 a (new)
41 a. Highlights that in order to combat corruption effectively and protect the EU’s financial interests, the Commission should adopt a holistic, coherent and systematic approach by developing better rules on transparency, incompatibilities and conflicts of interest, internal control mechanisms, illegitimate lobbying and revolving doors scenarios, which can be detrimental to relations between the institutions and interest representatives;
Amendment 91 #
Motion for a resolution
Paragraph 41 b (new)
Paragraph 41 b (new)
41 b. Regrets the lack of follow up by the Commission on the request to establish an internal corruption evaluation mechanism for the EU institutions; calls on the Commission to present a plan on the setting up of this mechanism with all possible implications;
Amendment 93 #
Motion for a resolution
Paragraph 41 c (new)
Paragraph 41 c (new)
41 c. 41c. reminds its recommendation for the EU to become full Member to the Group of States against Corruption (GRECO); calls on the Commission to present a possible plan for the Membership, within the framework of the Article 83 of the TFEU in conjunction with the Article 218 of the TFEU;
Amendment 98 #
Motion for a resolution
Paragraph 43
Paragraph 43
43. Endorses the call of the Commission for ‘European vision’ in cooperation between and the coordination of the actions of EU bodies and national authorities; believes that a more structured holistic approach is needed in order to avoid overlapping, to share and exchange information and to foster the integration of the several existing layers of the anti-fraud architecture and achieve a result that is bigger than the sum of its components; underlines that improved transparency for beneficiaries of EU and national funding will also be important to cope with the new challenging international context;