Activites

• 1997/06/19 Final act published in Official Journal
  • Decision 1997/383
  • OJ L 162 19.06.1997, p. 0039
• 1997/04/10 Decision by Parliament, 1st reading/single reading
  • T4-0158/1997 summary

    Parliament adopted the report by Mr Freddy BLAK (PSE, DK) in which it gave discharge to the Commission in respect of the management of the ECSC for the financial year 1995. In the resolution which accompanied the discharge it noted, however, that the Commission continued to follow a prudent risk management strategy and stressed that this conservative approach would become increasingly important as the expiry of the ECSC Treaty drew nearer. It also commented on other ECSC lending activities. Thus, while endorsing the Commission's actions with regard to the management of ECSC lending to Eurotunnel, it noted with concern the serious error made by the Commission in providing twice as much ECSC finance to the Danish Great Belt project as was permitted by the regulations. This type of error should not be repeated in financing the ·resund connection between Sweden and Denmark. Lastly it called for a review of the rules covering the disbursement of interest-rate subsidies and global loans.

• 1997/04/09 Debate in Parliament
  • Debate in Parliament
• 1997/03/10 Committee referral announced in Parliament, 1st reading/single reading
• 1997/02/25 Vote in committee, 1st reading/single reading
  • A4-0071/1997
• 1996/11/20 Non-legislative basic document published
  • 02231/1996 summary

    The ECSC financial statements confirm the trend towards the reduction of activities in this sector as the year 2002 approaches, the date of expiry of the ECSC Treaty. For example, in 1995 the new loans amounted to ECU 403 million by comparison with ECU 674 million in 1994. Furthermore, taking account of the recommendation made in the report on the granting of the discharge for the financial year 1994 with regard to provision for major risks led to the ECSC to come into line with the provisions of Council Directive 89/647 on major risks although, in legal terms, it was not forced to do so. Similarly, before 2002 the Commission must create a provision for all risks not covered by a state guarantee. While, from now on, it will have the scope of a subsidiary area of Community concern, the ECSC's loan activities drew the attention of the Court of Auditors with regard to: a) the 'corrections of value' for the provision for loss linked to the Eurotunnel debt to the ECSC, following a framework agreement between the company in question and the backers, representing the 225 institutional lenders of the company; this agreement provided for a partial conversion of the debts into equity capital (in the case of the ECSC 10% of its debts outstanding, i.e. about ECU 25 million). This would be a condition still to be approved by all the Eurotunnel shareholders; however, according to the Court of Auditors the correction of value shown in the accounts would be sufficient; b) the construction of the Great Belt link to Denmark. In this case, according to the Court of Auditors, the developer received twice as much as the ECSC should have been able to lend. While recognizing the error, the Commission stated that this was a formal error as the cost of the supplementary loan contracted by the ECSC was covered by the interest paid by the borrower; c) the global loans for job creation under Article 56(2)(a) of the ECSC Treaty. As a third of the cases examined did not satisfy the criteria for eligibility for interest rate subsidies, in the Court of Auditors' view, repayment of the interest rate subsidies already paid should be demanded. In general terms it was necessary to ensure that any attempt at fraud was prevented while keeping this type of instrument which was designed to encourage a form of social policy. �

Documents

• Non-legislative basic document published: 02231/1996
• Committee report tabled for plenary, single reading: A4-0071/1997
• Debate in Parliament: Debate in Parliament
• Decision by Parliament, 1st reading/single reading: T4-0158/1997
• : Decision 1997/383
• : OJ L 162 19.06.1997, p. 0039

History

(these mark the time of scraping, not the official date of the change)