2020/2222(INI) Evaluation of preventive measures for avoiding corruption, irregular spending and misuse of EU and national funds in case of emergency funds and crisis-related spending areas
Next event: Vote in plenary scheduled 2021/12/15
Lead committee dossier:
Next event: Vote in plenary scheduled 2021/12/15
Progress: Awaiting Parliament's vote
| Role | Committee | Rapporteur | Shadows |
|---|---|---|---|
| Lead | CONT |
RIVASI Michèle ( Verts/ALE)
|
NOVAKOV Andrey ( EPP),
GARCÍA MUÑOZ Isabel ( S&D),
STRUGARIU Ramona ( Renew),
CZARNECKI Ryszard ( ECR),
FLANAGAN Luke Ming ( GUE/NGL)
|
| Committee Opinion | LIBE |
ZDECHOVSKÝ Tomáš ( EPP)
|
Konstantinos ARVANITIS ( GUE/NGL),
Patryk JAKI ( ECR),
Tineke STRIK ( Verts/ALE),
Ramona STRUGARIU ( RE),
Tom VANDENDRIESSCHE ( ID),
Klára DOBREV ( S&D)
|
Lead committee dossier:
Legal Basis:
RoP 54
Legal Basis:
RoP 54Subjects
Events
2021/12/15
Vote in plenary scheduled
2021/12/13
Debate in plenary scheduled
2021/11/11
EP - Committee report tabled for plenary
Details
The Committee on Budgetary Control adopted an own-initiative report by Michèle RIVASI (Greens/EFA, FR) on the evaluation of preventive measures for avoiding corruption, irregular spending and misuse of EU and national funds in case of emergency funds and crisis-related spending areas.
The public health crisis caused by the COVID-19 pandemic, coupled with the subsequent economic emergency and social turmoil, has pushed the EU and the public authorities in Member States to provide for or to be involved in the management of extra funding and substantially and swiftly increase spending.
Measures to address the risks of corruption and misuse of EU funds
The report highlighted that the pressure to provide relief and the urge to use the resources in the shortest time possible could result in increased risk of corruption, fraud and other irregularities, and that such a situation requires efficient preventive measures and control management processes . Therefore, all procurement procedures should meet the highest standards of openness, transparency and accountability.
The Commission and the Member States are invited to include in their respective national anti-corruption strategies targeted measures dedicated to spending public money in times of crisis. In this respect, Members stressed that the rules on the protection of the Union's financial interests should also apply in the case of emergency support and emergency support instruments such as REACT-EU and the Recovery and Resilience Facility (RRF). They reaffirmed the essential role of the Parliament in monitoring the recovery programme and the obligation for the Commission to inform it regularly on its implementation.
Members consider that emergency measures must respect the rule of law and the principles of proportionality and necessity, must be time-limited and regularly scrutinised for their impact. They stressed that conflicts of interest affecting legislators and state officials should be avoided and that Member States should put in place robust anti-corruption frameworks.
The report stressed the importance of ex-ante controls on the traceability of funds, the crucial role of civil society organisations and investigative journalists in exposing corruption, and the need to provide safeguards for civil society's critical monitoring role.
The Commission is asked to closely monitor potential risks to the EU's financial interests and not to make any payments if criteria related to measures to prevent, detect and correct corruption and fraud are not met. Members called for absorption not to be given priority over considerations of performance, value for money and European added value of programmes. Member States are called on to integrate corruption risk assessments throughout programme design and delivery phases, in the areas of economic stimuli and subsidies.
Identifying beneficiaries of EU funds
The report stressed that it is vital to know who is benefiting from EU funds in order to prevent corruption, irregular spending and the misuse of funds. Regretting that data for the identification of economic operators and their beneficial owners is either not easily or not at all accessible, Members called for the establishment of a single, interoperable database displaying the direct and ultimate beneficiaries of EU subsidies. Beneficiaries should be identifiable in all Member States and across all funds, including those under direct and shared management.
Furthermore, Members consider that the relevant information on all public contracts (using public funds) should be made available to the public, published on a dedicated website and with the minimum of redaction, in full compliance with data protection and other legal requirements.
The Commission is invited to:
- propose a revision of the Financial Regulation to include a strong legal basis for imposing the use of standardised and open data in public procurement, and to make IT budget control systems mandatory, public and interoperable with national databases;
- evaluate, with a view to defining good practices for future crises, the effectiveness of the joint procurement agreement and the rescEU stockpiling of medical equipment;
- establish a robust and transparent framework for EU procurement, where funds from the EU budget are fully or partially mobilised, that would allow for comprehensive scrutiny by Parliament, especially concerning major economic, security or health crisis-related spending areas;
- assess not only the existence but also the effectiveness of the National Anti-Fraud Strategies (NAFS) in its forthcoming report on the rule of law.
The report stressed the need for collaboration between the European Public Prosecutor's Office and other EU bodies such as Eurojust, Europol and OLAF when conducting investigations and prosecutions under their respective mandates.
Documents
2021/10/26
EP - Vote in committee
2021/10/13
EP - Committee opinion
Documents
2021/09/16
EP - Amendments tabled in committee
Documents
2021/07/15
EP - Committee draft report
Documents
2021/03/11
EP - RIVASI Michèle (Verts/ALE) appointed as rapporteur in CONT
2020/11/26
EP - Committee referral announced in Parliament
2020/09/24
EP - ZDECHOVSKÝ Tomáš (EPP) appointed as rapporteur in LIBE
Documents
Activities
| Amendments | Dossier |
| 145 |
2020/2222(INI)
2021/09/13
LIBE
41 amendments...
Amendment 1 #
Draft opinion Paragraph 1 1. Acknowledges that the need to respond swiftly and effectively to a crisis often has a direct impact on the balance between the different powers of the state and recognises that governments and local authorities may be forced to adopt emergency measures with less public consultation than would generally be expected;
Amendment 10 #
Draft opinion Paragraph 2 2.
Amendment 11 #
Draft opinion Paragraph 2 2. Is of the opinion that the response to the current COVID-19 crisis, as example, may have increased the risk and instances of corruption; believes that the response to the COVID-19 crisis is also a reminder that openness, transparency, accountability and law enforcement are essential components of democratic governance;
Amendment 12 #
Draft opinion Paragraph 2 2. Is of the opinion that the response to the current COVID-19 crisis
Amendment 13 #
Draft opinion Paragraph 3 3.
Amendment 14 #
Draft opinion Paragraph 3 3. Calls on the Member States and the Commission to carefully review the policies they enacted during the COVID-19 crisis, to correct cases of executive overreach and to define new mechanisms and protocols for any future emergency spending; notes that the Commission can exercise ex-ante and ex-post control over EU funds; regrets, in this respect, that the Commission is reluctant to use the means at its disposal; deeply regrets that the Commission has not used the rule-of-law conditionality regulation since it entered into force on1 January 2021;
Amendment 15 #
Draft opinion Paragraph 3 3. Calls on the Member States and the Commission to carefully review the policies they enacted during the COVID-19 crisis and to define
Amendment 16 #
Draft opinion Paragraph 3 3. Calls on the Member States
Amendment 17 #
Draft opinion Paragraph 3 a (new) 3 a. Recalls the importance of preventive measures for mitigating risks associated to corruption in developing strategies and mechanisms of public procurement; calls on the Commission and Member State authorities to enhance existing and develop new dedicated mechanisms for special and crisis situations, with a particular focus on preventive measures; highlights that in this regard, the importance of enhancing the use of risk mitigating tools such as ARACHNE for both EU and national funds; reiterates its calls on the Commission to make the use of ARACHNE mandatory for EU funding;
Amendment 18 #
Draft opinion Paragraph 3 a (new) 3 a. Acknowledges that this funding must be always traceable, whether it comes from national or third and private parties, therefore fully transparent and available at national and EU level. In order to meet the requirements in terms of accountability, transparency and monitoring of funding, the Commission, with the cooperation of the Member States, should publish information on the distribution and use of funds. Member States should be obliged to share all information, which should be centralised by the Commission and published on a single portal;
Amendment 19 #
Draft opinion Paragraph 4 4.
Amendment 2 #
Draft opinion Paragraph 1 1. Acknowledges that
Amendment 20 #
Draft opinion Paragraph 4 4. Points out that corruption in general undermines the functioning of the state and public authorities at all levels and is one of the key enablers of organised crime; emphasises that effective anti-corruption frameworks and transparency and integrity in the exercise of state power can strengthen legal systems and trust in public authorities and democratic processes; reiterates the need to increase the overall transparency of the economic and financial environment of the Union, as the prevention of economic and financial crimes cannot be effective unless criminals are prevented from seeking shelter for their acts through non- transparent structures;
Amendment 21 #
Draft opinion Paragraph 4 4. Points out that corruption in general undermines the functioning of the state and public authorities at all levels and is one of the key enablers of organised crime; emphasises that effective anti-corruption frameworks and transparency and integrity in the exercise of state power can strengthen legal systems and trust in public authorities and democratic processes; calls on all Member States to update or develop their national anti-corruption strategies, with dedicated sections to spending public money in times of crisis;
Amendment 22 #
Draft opinion Paragraph 4 4. Points out that corruption in general undermines the functioning of the state and public authorities at all levels and is one of the key enablers of organised crime
Amendment 23 #
Draft opinion Paragraph 5 5. Stresses that the incorrect management of public funds and ineffective responses to a crisis may intensify growing distrust in government; believes that the public has the right to be informed and to be provided with up-to- date, transparent and reliable information
Amendment 24 #
Draft opinion Paragraph 5 5. Stresses that the incorrect management of public funds and ineffective responses to a crisis may intensify growing distrust in government; believes that the public has the right to be informed and to be provided with up-to- date, transparent and reliable information and data during crises; believes that if relevant data on public procurement were to be made publicly available for analysis, freely and easily accessible, in an open and standardised format, together with data on court convictions and on company registries, this could significantly foster the prevention and detection of potential cases of corruption; is of the opinion, therefore, that all public procurement contracts (using public money) should be publicly available, published on a dedicated website and with the minimum of redaction;
Amendment 25 #
Draft opinion Paragraph 5 a (new) 5 a. Notes that many governments have benefited from emergency assistance and top-up ISF money for border surveillance; deplores the lack of transparency of the Commission and Member States towards the European Parliament; condemns in particular the refusal by the Croatian government to provide the European Parliament with key documents regarding additional funding provided to Croatia for border surveillance; highlights such refusal impedes the Parliament to ensure its scrutiny role;
Amendment 26 #
Draft opinion Paragraph 6 Amendment 27 #
Draft opinion Paragraph 6 6. Welcomes the critical role of civil society organisations in fighting corruption; emphasises that the success of any emergency response greatly depends on the active participation of all actors in society; believes that the current COVID- 19 crisis has highlighted the importance of maintaining a robust system of citizen participation in public decision-making; notes the particular importance of the protection of whistleblowers reporting suspicions of corruption; recalls in this regard that the EU Directive on Whistleblowing must be transposed into the national legal systems of all 27 Member States before 17 December 2021; states its concern about recent reports from Whistleblowing International Network (WIN) and Transparency International which show that 14 Member States did not start or have made minimal progress towards implementing the Directive;
Amendment 28 #
Draft opinion Paragraph 6 6. Welcomes the critical role of civil society organisations in fighting corruption; emphasises that the success of any emergency response greatly depends on the active participation of all actors in society; believes that the current COVID- 19 crisis has highlighted the importance of maintaining a robust system of citizen participation in public decision-making; regrets that, during the COVID-19 crisis, several Member States adopted emergency legislation imposing restrictive measures on the activities of the civil society, beyond the proportionate necessities called for by the situation; urges Member States to develop comprehensive crisis management plans in order to prepare for future similar situations and to include safeguards for the civil society's role of public watchdog;
Amendment 29 #
Draft opinion Paragraph 6 6.
Amendment 3 #
Draft opinion Paragraph 1 1. Acknowledges that the need to respond swiftly and effectively to a crisis often has a direct impact on the balance between the different powers of the state and recognises that governments and local authorities may be forced to adopt emergency measures with less public consultation than would generally be expected; recalls
Amendment 30 #
Draft opinion Paragraph 6 a (new) 6 a. Underlines the essential role of the EPPO within the EU framework for preventing and fighting corruption; calls on remaining non-participating Member States to collaborate and eventually join the EPPO; highlights that Member States can benefit from valuable expertise by actively collaborating with the EPPO; recalls the need of ensuring proper human and budgetary resources for the proper functioning of the Office;
Amendment 31 #
Draft opinion Paragraph 6 b (new) 6 b. Highlights that the respect for the rule of law and a fully independent judiciary are essential for preventing and fighting corruption and that upholding them is crucial in periods of crisis; underlines that for their efficient operation, Member States should do a comprehensive evaluation of the equipment and human resources needs of law enforcement authorities, taking into account the rapid evolution and diversification of irregular and illegal paths; recalls the importance of effective information flows and enhanced communication between the different relevant national authorities, as well as at European level; calls on the Member States to take the necessary measures for providing law enforcement with the necessary IT tools and resources for enhancing their cooperation in preventing and fighting corruption;
Amendment 32 #
Draft opinion Paragraph 7 7. Acknowledges the current role and future potential of using artificial intelligence and big data in fighting corruption and the misuse of public funds; calls on the Commission and the Member States to make full use of the available tools, such as the Early Detection and Exclusion System (EDES), Arachne and the Irregularities Management System (IMS) to effectively and efficiently identify the problematic economic operators and the private individuals (or natural persons) linked to them in both direct and indirect management; encourages Member States to exchange information both among themselves and with the Commission and to cooperate more closely with a view to improving data collection and enhancing the effectiveness of controls; regrets the fact that OLAF does not have full access to the Arachne Risk Scoring Tool; points out that all information and data must be processed in a proper way to ensure data protection and the privacy of citizens;
Amendment 33 #
Draft opinion Paragraph 7 7. Acknowledges the current role and future potential of using artificial intelligence and big data in fighting corruption and the misuse of public funds; points out that all publicly available information and data should be easily accessible; highlights that this information and data must be processed in
Amendment 34 #
Draft opinion Paragraph 7 7. Acknowledges the current role and future potential of using artificial intelligence and big data in fighting corruption and the misuse of public funds; points out that all information and data must be processed in a proper way to ensure data protection and the privacy of citizens; stresses that enforcement authorities have to be ahead of criminal who increasingly use new technologies and seize any opportunity to expand their illegal activities, online or offline;
Amendment 35 #
Draft opinion Paragraph 7 a (new) 7 a. Insists on the need for collaborative work among the European Public Prosecutor’s Office (EPPO) and other EU bodies such as Eurojust, Europol and the European Anti-Fraud Office (OLAF) to carry out criminal investigations and prosecutions within the respective mandate/remit;
Amendment 36 #
Draft opinion Paragraph 7 a (new) 7 a. Calls on Member States and the European Commission to review and, where appropriate, strengthen national and European institutions, laws procedures and practices against various forms of corruption;
Amendment 37 #
Draft opinion Paragraph 8 8.
Amendment 38 #
Draft opinion Paragraph 8 8.
Amendment 39 #
Draft opinion Paragraph 8 8. Calls on the Member States to follow the recommendations of the Group of States against Corruption (GRECO)
Amendment 4 #
Draft opinion Paragraph 1 1. Acknowledges that the need to respond swiftly and effectively to a crisis
Amendment 40 #
Draft opinion Paragraph 8 a (new) 8 a. Recalls that strategies against corruption, irregular spending and misuse of European funds should be transparent, comprehensive and inclusive.Transparency as a necessary element of public vigilance, is a necessary condition for good governance and the respect of rule of law and an important element of the fight against corruption;
Amendment 41 #
Draft opinion Paragraph 8 b (new) 8 b. Calls for further cooperation at international level against corruption between European Institutions, Member States, the United Nations and intergovernmental and non-governmental organisations;
Amendment 5 #
Draft opinion Paragraph 1 a (new) 1 a. Points out the need of making sure that all the mentioned funding reaches the beneficiaries, respects the local community and is always compliant with fundamental rights and legal obligations under national and international law. Thus, it is particularly important that appropriate mechanisms be put in place in order to monitor measures taken so that to ensure that the fundamental rights of the recipients of funds are being upheld and that the Commission and the Member States comply with their transparency requirements;
Amendment 6 #
Draft opinion Paragraph 1 a (new) 1 a. Stresses, however, that grave economic and social crisis have the potential of undermining democracy and rule of law; reminds, therefore that upholding the rule of law, especially an effective system of checks and balances for all actions taken in response to an emergency is essential; reminds that anti- crisis measures have to be necessary, proportionate and limited in time;
Amendment 7 #
Draft opinion Paragraph 1 a (new) 1 a. Expresses its concern that transparency, control and anti-corruption reforms have met a certain resistance in some Member States, which has been explained by the fact that they affect the personal interests of the law-makers and government officials in charge of enforcing them;
Amendment 8 #
Draft opinion Paragraph 1 b (new) 1 b. Recalls that any activity financed by the EU budget has to be implemented in full compliance with fundamental rights and respect for human dignity, the EU Charter of Fundamental Rights of the European Union and the European Convention for the Protection of Human Rights and Fundamental Freedoms. Calls on Member States to carry out independent investigation when cases of non-compliance are reported and on the Commission to request for reimbursement of costs in such cases of non compliance;
Amendment 9 #
Draft opinion Paragraph 2 2. Is of the opinion that the prolonged situation of emergency in response to the current COVID-19 crisis
source: 696.534
2021/09/16
CONT
104 amendments...
Amendment 1 #
Motion for a resolution Citation 11 a (new) — having regard to the European Court of Auditors’ review No 06/2020 entitled ‘Risks, challenges and opportunities in the EU’s economic policy response to the COVID-19 crisis’,
Amendment 10 #
Motion for a resolution Recital G G. whereas response plans do not give enough consideration to governance and problems of
Amendment 100 #
Motion for a resolution Paragraph 29 29. Takes the view that a centralised procurement administration to which contractors and contracting authorities are obliged to systematically report highly detailed project data and progress (in a standardised format) should be created, in order to facilitate data collection and treatment on an EU level, however, an intermediate level on the national level (i.e. decentralised collection point) could be introduced in order to facilitate the data collection exercise, given the language differences and the local characteristics (such as regional responsibilities);
Amendment 101 #
Motion for a resolution Paragraph 29 a (new) 29 a. Suggests the use of financial disclosure/assets declaration systems for the prevention, detection and investigation/prosecution of corruption with a view to promoting accountability and awareness among public officials, avoiding conflict of interest;
Amendment 102 #
Motion for a resolution Paragraph 31 31. Believes in the benefits of professionalisation and adequate wages in public procurement, namely that having specialised, well trained and well paid public procurement staff who share their expertise, knowledge and (market) intelligence, also across Member States’ borders, is a positive practice to be implemented together among other corruption prevention techniques;
Amendment 103 #
Motion for a resolution Paragraph 32 32. Encourages the Member States to make good use of EU funding and programmes
Amendment 104 #
Motion for a resolution Paragraph 32 a (new) 32 a. Reiterates the need for increased resources and staff of OLAF and EPPO to facilitate the fight against corruption and misuse of funds; reminds that OLAF is actively participating in the screening of national plans for the RRF and it is expected that the number of its investigations will rise with the risk of new fraudulent activities; reminds also that the EPPO expects at least 2000 new cases within the first year of its operations in addition to the current processing of a backlog of nearly 3000 cases;
Amendment 11 #
Motion for a resolution Recital H H. whereas crisis creates opportunities for numerous violations of integrity and could intensify fraud and corruption, as well as non-fraudulent irregularities, particularly in public procurement, economic stimulus packages and public organisations;
Amendment 12 #
Motion for a resolution Recital J J. whereas
Amendment 13 #
Motion for a resolution Recital J J. whereas corruption is a major threat in the private and public spheres as it causes a reduction of the resources, which damages the social protection and an equitable access to public services, and has a disproportionate impact on the poor and most vulnerable
Amendment 14 #
Motion for a resolution Recital J J. whereas corruption is a major threat in the private and public sphere and has a disproportionate impact on the poor and most vulnerable, increasing costs and reducing access to services, including health, education and justice, undermining the trust and confidence which are necessary for the maintenance and development of sustainable economic and social relations and it poses a threat to the very foundations of the Union core values;
Amendment 15 #
Motion for a resolution Recital K K. whereas a rising number of serious and organised crime groups are active in the EU, often with cross-border reach and almost in all cases taking advantage of new technologies which makes it possible to act from anywhere in the world and at any time;
Amendment 16 #
Motion for a resolution Recital K K. whereas a rising number of organised crime groups are active in the EU, often with cross-border reach; the phenomenon being increasingly complex with new criminal markets and new modi operandi emerging due to globalisation and new technologies;
Amendment 17 #
Motion for a resolution Recital M a (new) M a. whereas the Commission has taken a number of measures to address risks related to corruption and misuse of funds in the Union, including progress on its legislation on anti-money laundering; whistle-blower protection, public procurement and the European Rule of Law Mechanism;
Amendment 18 #
N. whereas according to the latest report from Transparency International and the World Health Organization Collaborating Centre (WHO CC)18 , the European Commission is
Amendment 19 #
Motion for a resolution Recital O O. whereas curbing corruption requires government ownership of reforms, public support, political commitment, international cooperation, and a joint effort with civil society and the private sector;
Amendment 2 #
Motion for a resolution Citation 20 a (new) — having regard to the European Parliament resolution of 29 April 2021 on the assassination of Daphne Caruana Galizia and the rule of law in Malta
Amendment 20 #
Motion for a resolution Recital P P. whereas in a situation of high expectation, severe pressure and unprecedented spending volumes,
Amendment 21 #
Motion for a resolution Recital P P. whereas in a situation of high expectation, severe pressure and unprecedented spending volumes,
Amendment 22 #
Motion for a resolution Recital R R. whereas the
Amendment 23 #
Motion for a resolution Recital R R. whereas the Lisbon Treaty took the direction of reinforcing the role of the European Parliament, to bring about more coherence, parliamentary scrutiny and democratic accountability;
Amendment 24 #
Motion for a resolution Paragraph 1 1. Acknowledges that the recent crises have confirmed the need to be able to mobilise investment and frontload financial support as from the very first years of recovery; is aware that in times of crisis resources have to be made available within tight deadlines and in rapidly changing
Amendment 25 #
Motion for a resolution Paragraph 1 1. Acknowledges that the recent crises have confirmed the need to be able to mobilise investment and frontload financial support as from the very first years of recovery; is aware that in times of crisis resources have to be made available within tight deadlines and in rapidly changing circumstances; remarks that a significant amount of additional resources to be spent in a short amount of time increases the pressure on control systems; stresses, nevertheless, that rapid deployment of funds and swift adoption of legislative acts need to be complemented by adequate administrative measures; points out that the pressure to provide relief and the urge to use the resources in the shortest time
Amendment 26 #
Motion for a resolution Paragraph 2 2. Is of the opinion that such crises provide an opportunity and a need to strengthen anti-corruption and integrity policies, and therefore improve overall governance; believes, in this respect, that the COVID-19 crisis
Amendment 27 #
Motion for a resolution Paragraph 2 2. Is of the opinion that such crises provide an opportunity and a need to strengthen anti-corruption and integrity policies, as well as the bodies than enforce them, and therefore improve overall governance; believes, in this respect, that the COVID-19 crisis will sharpen our focus on governance in the years ahead as a result of the increased efforts to tackle the pandemic’s devastating effects and costs for people and economies;
Amendment 28 #
Motion for a resolution Paragraph 2 a (new) 2 a. Believes that the rule of law is an essential precondition for compliance with the principle of sound financial management of emergency funds as part of the EU budget; recalls that the rule of law applies at all times, including at times of crisis, and that emergency measures must ensure compliance with the rule of law and the principles of proportionality and necessity as well as being time-limited and regularly scrutinised for their impact;
Amendment 29 #
Motion for a resolution Paragraph 2 b (new) 2 b. Highlights that emergency situations, especially health and safety crisis, also impact the functioning of public authorities and create opportunities for integrity violations, which can cause misuse of funds and corruption at a time when public resources are already under pressure; encourages the Commission to address the resilience of the EU institutions in such situations in order to protect emergency funds;
Amendment 3 #
Motion for a resolution Citation 24 a (new) Amendment 30 #
Motion for a resolution Paragraph 4 Amendment 31 #
Motion for a resolution Paragraph 5 5.
Amendment 32 #
Motion for a resolution Paragraph 5 5. Expresses its concern, however, that transparency, control and anti- corruption reforms have met a certain resistance in some Member States
Amendment 33 #
Motion for a resolution Paragraph 6 6. Recalls that
Amendment 34 #
Motion for a resolution Paragraph 6 6. Recalls that governments need efficient and transparent reporting, independent ex post audits and accountability procedures, and open channels of communication with civil society and the private sector to ensure that the funds and measures are helping the people who need it most; points out the importance of providing an up-to-date, transparent and reliable information to the public during the crisis;
Amendment 35 #
Motion for a resolution Paragraph 6 a (new) 6 a. Regrets that during the Covid-19 pandemic, several Member States adopted measures that hampered public access to documents; underlines that in this context, media professionals experienced important difficulties and unmotivated denials, as well as pressure and threats concerning access to public documents; recalls the role of the free press as a key component of a functional democracy and stresses the importance of protection mechanisms at national and European level in order to preserve and strengthen a free media; recalls that timely public access to documents in a machine- readable format is a key component to ensuring transparency and scrutiny of public spending;
Amendment 36 #
Motion for a resolution Paragraph 7 7. Is of the opinion that more effort needs to be put into ex ante controls to know beforehand exactly how the emergency funds are going to be used and to guarantee their traceability; believes that ex post controls and evaluations should be strengthened
Amendment 37 #
Motion for a resolution Paragraph 8 8. Believes that it is important to keep citizens both informed and engaged in the fight against corruption a
Amendment 38 #
Motion for a resolution Paragraph 8 8. Believes that it is important to keep citizens engaged in the fight against corruption and fully protected from negative personal consequences; calls on the Commission to provide the right platforms for engagement; highlights the vital role of civil society organisations in fighting corruption; underlines that a robust system of citizen participation in public decision making is key to a successful response in emergency situations; regrets that, during the COVID-19 crisis, several Member States have adopted emergency legislation imposing restrictive measures on the activities of the civil society, beyond the proportionate necessities called for by the situation; urges Member States to develop comprehensive crisis management plans in order to prepare for future similar situations and to include safeguards for the civil society's role of public watchdog;
Amendment 39 #
Motion for a resolution Paragraph 8 8. Believes that it is important to keep citizens engaged in the fight against corruption and fully protected from negative personal consequences;
Amendment 4 #
Motion for a resolution Recital A A. whereas financial and economic crime
Amendment 40 #
Motion for a resolution Paragraph 8 8.
Amendment 41 #
Motion for a resolution Paragraph 8 8.
Amendment 42 #
Motion for a resolution Paragraph 9 9. Notes that in the midst of an economic, security or health-related crisis, governments have a tendency to
Amendment 43 #
Motion for a resolution Paragraph 9 9. Notes that in the midst of an economic, security or health-related crisis, governments have a tendency to relax contracting procedures; stresses the fact that the EU Public Procurement Directive already allows for much quicker and less administratively burdensome procedures and that Member States’ governments should not manage these procedures outside of the legal requirements; highlights that any necessary relaxation of procedures during crisis situations should be complemented by close scrutiny applied through reliable ex-post mechanisms;
Amendment 44 #
Motion for a resolution Paragraph 10 10. Insists, however, that in order to curb the potential negative effects of these policies in terms of graft, top-down accountability tools such as specific guidance and audits should by default accompany any
Amendment 45 #
Motion for a resolution Paragraph 10 10. Insists, however, that in order to curb the potential negative effects of these policies in terms of graft, top-down accountability tools such as audits should by default accompany any relaxation of contracting rules, as flexibility and reactivity should not come at the expense of public accountability and performance; notes that it has been demonstrated by the Commission that accountability, transparency and efficiency of EU spending is guaranteed by the same monitoring and audit systems and rules used with regards to all EU funding under shared management;
Amendment 46 #
Motion for a resolution Paragraph 10 a (new) 10 a. Believes that emergency measures, in addition to flexibility, should deliver simplified procedures to the extent possible so as to prevent costly errors and non-fraudulent irregularities due to the complexity of the rules, interpretation inconsistencies or shortcomings in implementation caused by final beneficiaries;
Amendment 47 #
Motion for a resolution Paragraph 11 11. Welcomes the coordinated and decisive action at EU level resulting in the adoption of a wide package of initiatives, NextGenerationEU, targeting the consequences of the disruptive COVID-19 pandemic for citizens’ health and businesses across the EU; highlights however that the unprecedented increase in EU funds spending may increase the associated corruption risks; calls on the Commission and Member States to adapt the resources available to authorities within the national and European anti- corruption frameworks and to assess the use of complementary measures in enhancing their response to the increased risks associated;
Amendment 48 #
Motion for a resolution Paragraph 11 a (new) 11 a. Takes notes of the Court of Auditors’ analysis that identifies new risks that NextGenerationEU entails, especially in terms of monitoring and accountability; reiterates that Parliament has an essential role in scrutinising the stimulus package and must be kept informed regularly by the Commission on its implementation;
Amendment 49 #
Motion for a resolution Paragraph 12 12. Notes that the Recovery and Resilience Facility (RRF)20 , the key instrument at the heart of NextGenerationEU, makes it possible to offer Member States grants (of up to EUR 312 billion) and loans (of up to EUR 360 billion)21 for public investments and reforms aimed at addressing structural weaknesses and making Member States’ economies more resilient while focusing on sustainable transition, digital transformation, economic, social and territorial cohesion, institutional resilience and the Pillar of Social Rights ; _________________ 20https://eur-lex.europa.eu/legal- content/EN/TXT/?uri=CELEX%3A32021 R0241 21 Both in 2018 prices.
Amendment 5 #
Motion for a resolution Recital B B. whereas the public health crisis caused by the COVID-19 pandemic, coupled with the subsequent economic emergency and social turmoil, has pushed the EU and the
Amendment 50 #
12 a. Welcomes the delegation of powers to the Commission for the establishment through a delegated act of a scoreboard to closely monitor the implementation of the recovery and resilience plans of the Members States; reminds that the scoreboard will serve as a basis for the recovery and resilience dialogue and that it should be updated by the Commission twice a year; calls in this sense on the Commission to ensure a thorough monitoring of the progress achieved in the implementation of the milestones and targets foreseen, strictly in line with the Recovery and Resilience Facility (RRF) Regulation, on the basis of the established common indicators and reporting methodology; recalls moreover that the RRF is bound to conditions that guarantee a transparent use of the money and should prevent corruption or fraud, double funding or conflict of interests and believes that controls should be extended also to costs actually incurred by the final beneficiaries; welcomes the fact that, thanks to the European Parliament, Member States are now obliged to provide information about final recipients;
Amendment 51 #
Motion for a resolution Paragraph 12 a (new) 12 a. Welcomes the initiatives that the Commission has developed to fight disinformation and improve visibility; acknowledges that accountability remains a priority also when it comes to crises- related spending areas;
Amendment 52 #
Motion for a resolution Paragraph 12 a (new) 12 a. Encourages EU and national authorities to take on local-regional authorities’ input while elaborating and implementing emergency and recovery measures;
Amendment 53 #
Motion for a resolution Paragraph 12 b (new) 12 b. Recalls that the protection of the Union financial interests is of utmost importance and that continuous, strong efforts are necessary at all levels in order to prevent, and to fight fraud, corruption and misuse of the Union funds; is concerned that the current staffing situation is insufficient to cope with the increasing temporary magnitude of the EU budget through the NextGenerationEU package; stresses therefore that an increase of the administrative capacities of the relevant EU and national institutions is indispensable;
Amendment 54 #
Motion for a resolution Paragraph 12 c (new) 12 c. Notes that the European Parliament insisted in a motion for resolution (2021/2738(RSP)) on the ongoing assessment of the national recovery and resilience plans on robust transparency and accountability from the Commission, the Member States and all implementing partners in the implementation process; calls on the Commission to thoroughly monitor the potential risks to the EU financial interests and not to proceed with any payments if the milestones linked to measures to prevent, detect and correct corruption and fraud are not met; calls moreover on the Commission to immediately inform the budget authorities about all situations when funds are not paid out due to allegations of misuse, corruption, fraud or breaches of rule of law and when member states do not have sufficient anti-fraud systems in place;
Amendment 55 #
Motion for a resolution Paragraph 13 13. Believes that sound financial management should be pursued and that absorption should not be prioritised over
Amendment 56 #
Motion for a resolution Paragraph 13 13. Believes that sound financial management should be pursued and that absorption should not be prioritised over value for money considerations; underlines that in the context of emergency spending, irregularities should not lead to suspension and interruptions of funds, so that the money flow to the beneficiaries is ensured; acknowledges that recoveries through financial corrections should be the preferred approach;
Amendment 57 #
Motion for a resolution Paragraph 13 13. Believes that sound financial management should be pursued and that absorption, while remaining an important objective, should not be prioritised over performance and value for money considerations;
Amendment 58 #
Motion for a resolution Paragraph 15 15. Is of the opinion that more transparency, coupled with technology and data science,
Amendment 59 #
Motion for a resolution Paragraph 15 15. Is of the opinion that more transparency, coupled with technology and data science, could also help to identify and reduce corruption; in this sense, calls on the Commission and the Member States to make full use of the available tools, such as the Early Detection and Exclusion System (EDES), Arachne and the Irregularities Management System (IMS) to effectively and efficiently identify the problematic economic operators and the private individuals (or natural persons) linked to them in both direct and indirect management;
Amendment 6 #
Motion for a resolution Recital B a (new) B a. Whereas the Recovery and Resiliency Facility with its over 670bn euro and the REACT-EU with its over 50bn euro are powerful tools to help EU countries recover; whereas already in the spring of 2020, cohesion policy provided emergency response of 11.2bn euro in business support, 7.6bn euro in EU reallocations for health actions and 4.1bn euro in direct support for workers;
Amendment 60 #
Motion for a resolution Paragraph 15 a (new) 15 a. Stresses that it is vital to know who benefits from EU funds in order to prevent corruption, irregular spending and the misuse of funds; regrets that currently, data for identification of economic operators and their beneficial owners is not easily or not at all accessible1a; believes that the establishment of a single, interoperable database displaying the direct and ultimate beneficiaries of EU subsidies would represent an important step to remedy this situation; emphasises that beneficiaries must be identifiable across Member States and independent of funds, including funds both under direct and shared management; underlines that the database should be limited to necessary information and that information may be published in accordance with the standing jurisprudence of the CJEU; urges the Member States to cooperate with the Commission in order to create such a single, centralised database to trace the European money flows; _________________ 1aStudy on the largest 50 beneficiaries in each EU Member State of CAP and Cohesion Funds, requested by the CONT Committee, PE 679.107 - May 2021
Amendment 61 #
Motion for a resolution Paragraph 15 a (new) 15 a. Calls, in this regard, for a single digital database that allows the aforementioned EU institutions and bodies to identify patterns and 'at risk' beneficiaries; stresses the importance of data quality and interoperability in order to facilitate the automated exchange of relevant information while contributing to the once-only principle; reiterates the necessity of collecting data on the final recipients of emergency funds;
Amendment 62 #
Motion for a resolution Paragraph 16 16. Insists on the need to strengthen EDES and its scope in the context of a forthcoming targeted revision of the Financial Regulation; calls on the Commission to extend the scope of EDES to funds under shared management with due respect for the principle of proportionality and appropriateness;
Amendment 63 #
Motion for a resolution Paragraph 17 17. Regrets the fact that OLAF
Amendment 64 #
Motion for a resolution Paragraph 17 17. Regrets the fact that OLAF does not have full access to the Arachne Risk Scoring Tool; calls on the Commission to take the necessary action in order to ensure the effective access of OLAF to the relevant data from the ARACHNE tool;
Amendment 65 #
Motion for a resolution Paragraph 17 17. Regrets the fact that OLAF does not have full access to the Arachne Risk Scoring Tool; is of the opinion that integrating Arachne in national management and control systems should be mandatory for all the managing authorities;
Amendment 66 #
Motion for a resolution Paragraph 18 18. Calls on the Commission to evaluate the response to the COVID-19 pandemic, to look at how corruption affected the outcome and whether integrity was upheld or undermined, and to report back to Parliament on the main findings; reminds that only after analysing empirical evidence, payment claims and absorption data, effective conclusions on the Union’s response to the crisis can be drawn; calls for the inclusion of dedicated chapter on emergency funds and crises- related spending in the 2020 discharge;
Amendment 67 #
Motion for a resolution Paragraph 18 18. Calls on the Commission to evaluate the response to the COVID-19 pandemic, to look at how corruption affected the outcome and whether integrity was upheld or undermined, and to report back to Parliament on the main findings; recommends that the Commission specifically assess this aspect in its upcoming annual rule of law reports;
Amendment 68 #
Motion for a resolution Paragraph 18 18. Calls on the Commission to evaluate the response to the COVID-19 pandemic, in particular the preventive anti-corruption measures, to look at how corruption affected the outcome and whether integrity was upheld or undermined, and to report back to Parliament on the main findings;
Amendment 69 #
Motion for a resolution Paragraph 19 19. Finds it
Amendment 7 #
Motion for a resolution Recital D D. whereas the decision on its activation was taken by the Council alone, without Parliament’s involvement
Amendment 70 #
Motion for a resolution Paragraph 19 19.
Amendment 71 #
Motion for a resolution Paragraph 19 19. Finds it lamentable that the Commission makes extensive use of the redaction tool to cover parts of the APA contracts; insists, notwithstanding the sensitivity of the information, that such details are important in improving accountability and the global response to the virus as increased transparency boosts public trust, empowers the public debate and promotes EU standards; notes that the Commission
Amendment 72 #
Motion for a resolution Paragraph 20 20. Believes that if relevant data on public procurement were to be made publicly available for analysis, freely and easily accessible, in an open and standardised format, together with data on court convictions and on company registries, this could significantly foster the prevention and detection of potential cases of corruption; is of the opinion, therefore, that relevant information concerning all public procurement contracts (using public money) should be publicly available, published on a dedicated website and with the minimum of redaction, in full compliance with data protection legislation;
Amendment 73 #
Motion for a resolution Paragraph 20 20. Believes that if relevant data on public procurement were to be made publicly available for analysis, freely and easily accessible, in an open and standardised format, together with data on court convictions and on company registries, this could significantly foster the prevention and detection of potential cases of corruption; is of the opinion, therefore, that all public procurement contracts (using public money) should be publicly available, published on a dedicated website and with the minimum of redaction only when in compliance with legal requirements;
Amendment 74 #
Motion for a resolution Paragraph 21 21.
Amendment 75 #
Motion for a resolution Paragraph 22 22.
Amendment 76 #
Motion for a resolution Paragraph 22 22.
Amendment 77 #
Motion for a resolution Paragraph 23 23. Urges the Commission to put in place a solid and transparent EU public procurement framework, when funds from the EU budget are fully or partially involved, that would allow for
Amendment 78 #
Motion for a resolution Paragraph 23 23.
Amendment 79 #
Motion for a resolution Paragraph 23 23. Urges the Commission to put in place a solid and transparent EU public procurement framework, when funds from the EU budget are fully or partially involved, that would allow for full and unlimited scrutiny by Parliament, especially concerning major economic, security or health crisis-related spending areas; calls on the Commission to assess the successful Joint Procurement Agreement and the rescEU stockpile of medical equipment in order to establish good practises for future crisis;
Amendment 8 #
Motion for a resolution Recital F F. whereas because of the pressing nature of the crisis, procurement procedures
Amendment 80 #
Motion for a resolution Paragraph 23 a (new) 23 a. Urges the Commission to propose a review of the Financial Regulation, which includes a solid legal basis for mandatory use of open and standardised public procurement data, as well as to make budgetary control IT-systems mandatory, public and interoperable with national databases;
Amendment 81 #
Motion for a resolution Paragraph 24 24. Calls on the Commission and the
Amendment 82 #
Motion for a resolution Paragraph 24 24. Calls on the Commission and the Member States to work together towards the adoption of robust National Anti-Fraud Strategies (NAS), that offer the benefit of coordinating the actions of several entities and guaranteeing optimisation of resources and coverage of all the areas of interest (expenditures under indirect and shared management, national funds, etc.); reiterates that the Commission shall use its annual rule of law report to assess not only the existence but also the effectiveness of the NAS (including relevant legislation and policies), outline best practices, identify areas particularly sensitive to corruption and come up with country-specific recommendations for improvement, and to use that knowledge as well to update and enhance the Union’s anti-corruption framework;
Amendment 83 #
Motion for a resolution Paragraph 24 24. Calls on the Commission and the Member States to work together towards the adoption of robust National Anti-Fraud Strategies (NAFS), that offer the benefit of coordinating the actions of several entities and guaranteeing optimisation of resources and coverage of all the areas of interest (expenditures under indirect and shared management, national funds, etc.); notes that OLAF promotes the adoption of NAFS and provides guidance to the Member States; welcomes that 14 Member States have already adopted their NAFS and 5 are considering adopting one as compared to 2019;19a _________________ 19a https://multimedia.europarl.europa.eu/en/ committee-on-budgetary- control_20210901-1500-COMMITTEE- CONT_vd
Amendment 84 #
Motion for a resolution Paragraph 25 25. Insists on the need for collaborative work among the European Public Prosecutor’s Office (EPPO) and other EU bodies such as Eurojust, Europol and the European Anti-Fraud Office (OLAF) to carry out criminal investigations and prosecutions within the respective mandate/remit; stresses that efficient collaboration is only possible when EU bodies are equipped with sufficient human and financial resources; is very concerned that the Commission is not willing to guarantee an adequate staffing of the EPPO that enables it to fulfil its mandate; criticises that the Commission ignored the Parliament's call to increase the EPPO's staffing plan and did not implement the agreement of the 2020 conciliation; is very surprised that the agreed increase of temporary and contract agents was not realised because of the refusal of the Commission; is very concerned that this refusal hampers the work of the EPPO and its ability to process the existing backlog of 3000 cases; strongly insists that the Commission changes its attitude and allows the EPPO to hire the qualified experts needed to accelerate the fight against corruption, fraud, irregular spending and the misuse of funds;
Amendment 85 #
Motion for a resolution Paragraph 25 25. Insists on the need for collaborative work among the European Public Prosecutor’s Office (EPPO) and other EU bodies such as Eurojust, Europol and the European Anti-Fraud Office (OLAF) to carry out criminal investigations and prosecutions within the respective mandate/remit; emphasises the crucial role of the aforementioned institutions and bodies during emergency situations and crisis to fight those who unscrupulously take advantage of EU funds while ensuring their own business continuity; reiterates that fighting corruption and fraud requires a strong mandate coupled with an adequate budget, resources and any kind of support necessary to implement it from both the EU and the Member States; calls on the Commission to thoroughly secure the necessary support in the frame of the budgetary process;
Amendment 86 #
Motion for a resolution Paragraph 25 25. Insists on the need for collaborative work among the European Public Prosecutor’s Office (EPPO) and other EU bodies such as Eurojust, Europol and the European Anti-Fraud Office (OLAF) to carry out criminal investigations and prosecutions within the respective mandate/remit; acknowledges in this regard the working arrangements signed between the EPPO, OLAF, European Court of Auditors, Europol and Eurojust; encourages better coordination and cooperation between these institutions, the Commission and Member States’ authorities;
Amendment 87 #
Motion for a resolution Paragraph 25 a (new) 25 a. Welcomes the operationalisation of the EPPO; underlines the essential role of the EPPO within the EU framework for preventing and fighting corruption; calls on remaining non-participating Member States to collaborate and eventually join the EPPO; highlights that Member States can benefit from valuable expertise by actively collaborating with the EPPO; recalls the need of ensuring proper human and budgetary resources for the proper functioning of the Office;
Amendment 88 #
Motion for a resolution Paragraph 25 a (new) 25 a. Alerts for the fact that organised criminal groups operate without borders and increasingly acquire assets in MS other than those in which they are based and in third countries;
Amendment 89 #
Motion for a resolution Paragraph 26 26.
Amendment 9 #
Motion for a resolution Recital F F. whereas because of the pressing nature of the crisis, procurement procedures and means of control have been
Amendment 90 #
Motion for a resolution Paragraph 26 26. Calls for increased effective international cooperation on taking of evidence, mutual recognition, service of documents, and confiscation and freezing of assets, with a view to giving the competent authorities the means to trace, freeze, manage and confiscate the proceeds of crime; calls, therefore, on the Commission to support and to promote the Union-wide harmonisation of definitions of corruption offenses, as well as a better use of the existing data sets and the methodology to develop new ones in order to obtain comparative data across the EU on the treatment of corruption cases;
Amendment 91 #
Motion for a resolution Paragraph 27 27.
Amendment 92 #
Motion for a resolution Paragraph 27 a (new) 27 a. Welcomes the package of legislative proposals presented by the Commission to strengthen the EU’s anti- money laundering and countering the financing of terrorism rules; calls for an efficient and consistent implementation of the future framework that foresees emergency situations where the stability and security in Europe may be compromised;
Amendment 93 #
Motion for a resolution Paragraph 27 b (new) 27 b. Observes with concern Europol’s conclusion that criminals are digital natives, which means that virtually all criminal activities now feature some online component and many crimes have fully migrated online; is concerned that new technologies also allows traditional crimes to continue to be committed in a non-traditional way, from anywhere in the world at any time; calls on the Commission and Member States to make a decisive investment and a strong political commitment to meet these new challenges;
Amendment 94 #
Motion for a resolution Paragraph 28 28. Is of the opinion that advances in the field of AI present a major opportunity for the public sector to detect and prevent fraud, for instance by strengthening the Commission’s central analytical capacity, as IT tools can easily scrape, link and analyse the necessary data and detect potential irregularities, fraud and corruption;
Amendment 95 #
Motion for a resolution Paragraph 28 a (new) 28 a. Notes, that the collection of data on those ultimately benefitting, directly or indirectly, from Union funding under shared management and for projects and reforms supported by the Recovery and Resiliency Facility, including data on beneficial owners of the recipients of the funding, is necessary to ensure effective controls and audits, the rules related to the collection and processing of such data should comply with applicable data protection rules;
Amendment 96 #
Motion for a resolution Paragraph 28 a (new) 28 a. Highlights the benefits that digital land registers bring to transparency of ownership, to preventing and fighting corruption; welcomes the Commission initiatives to implement such programmes across the EU; calls on the national authorities to collaborate with the Commission towards an extensive implementation of these programmes;
Amendment 97 #
Motion for a resolution Paragraph 29 29. Takes the view that a
Amendment 98 #
Motion for a resolution Paragraph 29 29. Takes the view that a centralised procurement
Amendment 99 #
Motion for a resolution Paragraph 29 29. Takes the view that a c
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