2022/2152(INI) | [ParlTrack]

Motion for a resolution
Recital B c (new)

B c. whereas the European Court of Justice dismissed claims by two Member States, ruling that the conditionality regulation falls within the power conferred by the financial rules for the implementation of the EU budget;

Amendment 100 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK, Gilles BOYER

Motion for a resolution
Paragraph 51 b (new)

51 b. Asks the Commission to increase the EPPO’s and OLAF’s financial and staff resources to enable it to tackle the challenges that will arise from the spending of the exceptionally large recovery fund; asks the EPPO and OLAF to avoid any overlapping of work and any delays in proceedings; is of the opinion that OLAF and the EPPO should complement each other’s work and focus their investigations on those fields where the other institution has no competences;

Amendment 101 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK, Gilles BOYER

Motion for a resolution
Paragraph 51 c (new)

51 c. Is of the opinion that OLAF should also follow up on its financial recommendations in order to compare them with the amounts recovered at the end of the procedures by the Commission and contribute to the overall monitoring of the recovery of funds;

Amendment 102 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Paragraph 51 d (new)

51 d. Recognises the principle of confidentiality of OLAF investigations; is of the opinion, however, that there is an overarching public interest and that EU citizens also have the right to access the reports and recommendations relating to closed OLAF investigations and national follow-up procedures, as recognised by the CJEU in Case T-517/19; therefore asks OLAF to set up a mechanism to publish the reports and recommendations for which there is no longer any legitimate reason to maintain the principle of confidentiality;

Amendment 103 #

Motion for a resolution
Paragraph 52

52. Observes that the transposition of the PIF Directive is a precondition to enabling the EPPO and its partners to effectively carry out investigations and prosecutions; welcomes the first report of the Commission on the transposition of the Directive, published on 6 September 2021; ~~regret~~notes that, since then, and despite the transposition of the Directive by all the Member States, the Commission has opened infringement procedures against 17 Member States for not correctly transposing the PIF Directive12 ; _________________ 12 By the end of 2021, 13 out of the 14 procedures launched in 2019 were closed. In the subsequent conformity check, the Commission services assessed the compatibility of these notified national transposition measures with the Directive’s provisions and obligations. In December 2021, the Commission launched infringement proceedings for incorrect transposition against other eight Member States.

Amendment 104 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Paragraph 53 a (new)

53 a. Notes with concerns that the European Commission opened infringement proceedings against 15 EU Member States for not having transposed the Directive on the protection of persons who report breaches of Union law (the "EU Whistleblower’s Directive" (2019/1937)).

Amendment 105 #

Motion for a resolution
Paragraph 53 a (new)

53 a. Recalls that an effective fight against money laundering is essential in the protection of the financial interests of the Union, and to ensure full recovery of funds;

Amendment 106 #

Motion for a resolution
Paragraph 54

54. Is concerned by the overall lack of action ~~by many Member States~~, which is preventing the creation of a more uniform playing field in the anti- fraud landscape;

Amendment 107 #

Motion for a resolution
Paragraph 56

56. Recalls that anti-fraud coordination services (AFCOS) are a requirement in every Member State and that they should facilitate effective cooperation and information sharing with OLAF; re~~gret~~calls, however, that ~~not all Member States effectively entrust their~~entrusting additional activities to AFCOS ~~with~~ coordinating the fight against fraud and corruption affecting the EU’s financial interests~~; maintains that effective coordination at national and EU level can be achieved~~ is optional and remains within the ~~adop~~discretion of ~~a national anti-fraud strategy (NAFS) that allocates tasks and defines processes and responsibilities clearly~~the Member States, in accordance with Article 12a of Regulation 883/2013;

Amendment 108 #

Motion for a resolution
Paragraph 56 a (new)

56 a. Calls on the Commission to update the AFCOS guidelines to help national authorities in developing a structured coordination service; asks furthermore the Commission a detailed explanation to send to the discharge authority and publicly available on the work in progress;

Amendment 109 #

Motion for a resolution
Paragraph 57

57. Observes that not all Member States have yet adopted a NAF; believes that even in the Member States where such strategies have been already adopted, the new anti-fraud landscape has created the need for a revision as the European Prosecutor’s Office has been operational since June 2021 and the RRF Regulation was adopted in February 2021, and there is the opportunity to reflect significant new risks, such as those associated with the COVID-19 pandemic and the implementation of the recovery and resilience plans;

Amendment 11 #

Motion for a resolution
Recital D

D. whereas the Union and Member States share responsibility for protecting the EU’s financial interests and, with the entry into force of the unprecedented funds of the RRF, responsibility for the regulation and the implementation of the national recovery and resilience plans (RRPs), such that the role of national authorities in ensuring an adequate level of protection of the EU’s financial interests has increased significantly;

Amendment 110 #

Motion for a resolution
Paragraph 57

57. ~~Observes that not all~~Regrets that despite some improvements compared to 2020, still 6 Member States have not yet adopted a NAF; believes that even in the Member States where such strategies have been already adopted, the new anti-fraud landscape has created the need for a revision as the European Prosecutor’s Office has been operational since June 2021 and the RRF Regulation was adopted in February 2021, and there is the opportunity to reflect significant new risks, such as those associated with the COVID- 19 pandemic and the implementation of the recovery and resilience plans;

Amendment 111 #

Motion for a resolution
Paragraph 58

58. Appreciates that the Commission’s encouragement to Member States to adopt an NAFS has resulted in a steady increase in the number of strategies adopted; notes that by the end of 2021, 17 Member States had adopted or updated a NAFS (up from 10 in 2019 and 14 in 2020); ~~observes that of the 10 Member States yet to adopt an NAFS, four reported that they were in the process of drafting, or close to adopting a strategy;~~

Amendment 112 #

Motion for a resolution
Paragraph 7 a (new)

7 a. Calls on the Commission to urgent change the current guidelines for National Anti Fraud Strategies (NAFS) to reflect developments in systems and to align them with the new challenges; regrets that the last guidelines on NAFS have been formulated in 2015 and considers that they are not any more adequate; calls on the Commission on the urgency to encourage the Member State to have the same discipline;

Amendment 113 #

Motion for a resolution
Paragraph 59

59. Remarks that in the PIF Report 2021 the Commission recommended that Member States adopt or revise an NAFS in order to take into account RRF-related risks; is aware ~~that~~, however, theat adoption of NAFSs by the Member States is also to be encouraged by the Commission’s services under point 37 of the CAFS Action Plan14; calls on the Commission and OLAF to consider providing support and advice to the Member States in a more structured way taking a cross-cutting apng an NAFS is not an obligation of a Member State and does not stem from any legislation – it is only the implementation of the recommendations and good proac~~h; _________________ 14 Commission Staff Working Document “Commission Anti-Fraud Strategy (CAFS) Action Plan - State of Play June 2021” SWD(2021) 262 final - dated 20.9.2021~~tice recommended by OLAF and the Commission;

Amendment 114 #

Motion for a resolution
Paragraph 60

60. Is aware that in its 2020 PIF Report the Commission made ~~targeted~~ recommendations to Member States aiming at enhancing cooperation and strengthening internal control frameworks; notes that attention was drawn to risk assessment and risk management, collection and analysis of data on irregularities and fraud and use of integrated and interoperable information and monitoring systems for the implementation of RRF and EU budget financed activities; regrets that not all the Member States have implemented such recommendations, and that some of them have systematically refused to do so; asks the Commission to enhance its monitoring actions for those Member States that have not provided acceptable justification for declining the follow up to the PIF recommendations;

Amendment 115 #

Motion for a resolution
Paragraph 60

60. Is aware that in its 2020 PIF Report the Commission made targeted recommendations to Member States aiming at enhancing cooperation and strengthening internal control frameworks; notes that attention was drawn to risk assessment and risk management, collection and analysis of data on irregularities and fraud and use of integrated and interoperable information and monitoring systems for the implementation of RRF and EU budget financed activities; regrets that not all the Member States have implemented such recommendations, and notes that some of them have systematically refused to do so; asks the Commission to enhance its monitoring actions for those Member States that have not ~~provided acceptable justification for declining the follow up to~~implemented the PIF recommendations;

Amendment 116 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU

Motion for a resolution
Paragraph 61

61. Re~~call~~minds thate Member States~~’ ineffective or untimely cooperation with the EPPO and OLAF constitutes grounds for action under the Conditionality Regul~~ of their obligation, t~~herefore calls on the EPPO and OLAF to report each case of lack of compliance with the Member States’ obligations to inform, to assist, to take appropriate a~~o cooperate in an effectionve and ~~precautionary measures and to ensure appropriate and timely follow up of reports and recommendations~~timely manner with the EPPO and OLAF;

Amendment 117 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Paragraph 61

61. Recalls that Member States’ ineffective or untimely cooperation or non- cooperation with the EPPO and OLAF constitutes grounds for action under the Conditionality Regulation, therefore calls on the EPPO and OLAF to report each case of lack of compliance with the Member States’ obligations to inform, to assist, to take appropriate action and precautionary measures and to ensure appropriate and timely follow up of reports and recommendations;

Amendment 118 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Paragraph 62 a (new)

62 a. Considers that the Conditionality regulation is sufficient only and able to prevent or remedy democratic backsliding, if it is used in a timely manner with strict and clear conditions and if the national remedial measures are followed up with strong monitoring of the implementation of those measures;

Amendment 119 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Paragraph 62 b (new)

62 b. Deeply regrets that under the Rule of Law Conditionality mechanism the Commission presented Hungary with a set of 17 conditions as remedial measures, which are not sufficient enough to restore the serious breaches of the rule of law; regrets that the Commission did not request more substancial changes and safeguards to restore the independence of the judiciary, to improve the level of corruption and to guarantee the adequare protection of the EU's financial interest;

Amendment 12 #

Motion for a resolution
Recital E

E. whereas the implementation of the RRF will increase the pressure on European and national administrations in the coming years, as it coincides with the 2021-2027 spending programmes, and whereas the Member States will need to master different management modes linked to the implementation of the various funds and the Commission will need to improve its monitoring skills;

Amendment 120 #

Motion for a resolution
Paragraph 65 a (new)

65 a. Highlights the detrimental effects of corruption on the rights of the citizens; reiterates once against its recommendation that the EU should become a member of the Group of States against Corruption (GRECO), since no legal obstacles exists to its full Membership; therefore invites the Commission to recommend the Council to conclude an international agreement with GRECO to set down its membership; request the Council to provide a clear position on the EU Joining GRECO, clarifying if there is any specific opposition and by which Member State;

Amendment 121 #

Motion for a resolution
Paragraph 65 a (new)

65 a. Takes the view that, especially after the entry into force of new OLAF's regulation, of the RRF and of the Conditionality Regulation, as well as after the beginning of the operational activities of the EPPO, which completes the EU anti-fraud architecture, it is necessary to make the annual PIF report more holistic, in order to have a comprehensive overviews of synergies between all relevant actors, identify best practices and address shortcomings; reiterates therefore its call on the Commission to explore new avenues to that end;

Amendment 122 #

Motion for a resolution
Paragraph 65 b (new)

65 b. Reminds that in order to effectively protect the EU’s financial interests more coherent and systematic rules on transparency, incompatibilities, conflict of interests, illegal lobbying and revolving doors should be put in place; calls on the Commission to strengthen its internal control mechanisms, including the setting up of an internal corruption mechanism for the EU institutions;

Amendment 123 #

Motion for a resolution
Paragraph 66 a (new)

66 a. Calls on the Commission to update the fraud report system of funds spent in non-EU countries; notes that the new system should take into account specific issues that EU faces when spends money outside EU territory;

Amendment 124 #

Motion for a resolution
Paragraph 67 a (new)

67 a. Recommends the suspension of budgetary support in non-EU countries, including candidate countries, where authorities manifestly fail to take genuine action against widespread corruption, while ensuring that the assistance reaches the civil population through alternative channels; calls for greater priority to be given to the fight against corruption in pre-accession negotiations and a focus on capacity building, such as via specialised anti-corruption bodies; calls on the Commission to send clear signals to candidate countries that a backlash against rule of law standards is jeopardising or delaying the accession to the EU; regrets that according to ECA Special Report No 01/2022, EUR 700 million in financial support for the improvement of the rule of law in the Western Balkans provided by the EU between 2014 and 2020 had little impact on fundamental reforms;

Amendment 125 #

Motion for a resolution
Paragraph 67 b (new)

67 b. Highlights that cooperation with international partners is crucial to protect EU funds spent outside Europe and the revenue side of the EU budget; welcomes that OLAF 2021 concluded administrative cooperation arrangements with two international partner authorities, the Prosecutor-General’s Office of Ukraine and the World Customs Organization (WCO); welcomes that OLAF 2021 organised online events to establish new operational contacts with investigative authorities in non-EU countries and to encourage the reporting of fraud and irregularities through EU Delegations around the world;

Amendment 13 #

Motion for a resolution
Recital E

E. whereas the implementation of the RRF will increase the pressure on national administrations in the coming years, asnd it coincides with the 2021-2027 spending programmes, and whereas the Member States will need to master different management modes linked to the implementation of the various funds;

Amendment 14 #

Motion for a resolution
Recital F

F. whereas the Commission has made efforts to supported national authorities on the design and assessment of national plans, paying particular attention to the provisions concerning measures to protect RRF resources from fraud, corruption, conflicts of interest and double funding;

Amendment 15 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Recital H

H. whereas the diversity of legal and administrative systems in the Member States ~~needs to be adequately addressed in~~ is a disadvantage and whereas it needs to be adequately addressed to be able to create more unified, interoperable and comparable administrative and reporting systems in the EU to effectively prevent and fight in order to overcome irregularities and combat fraud and corruption;

Amendment 16 #

Motion for a resolution
Recital H a (new)

H a. whereas deficiencies in the validity and comparability of data and reporting technologies with varying degrees of digitalisation in the Member States continue to severely hamper the quality and reliability of information available;

Amendment 17 #

Motion for a resolution
Recital H b (new)

H b. whereas the Arachne tool is voluntary and, although already largely used in cohesion policy and being introduced for agricultural spending, making it mandatory - as repeatedly requested by the Parliament - would be a major step forward, according to the Commission;

Amendment 18 #

Motion for a resolution
Recital K

K. whereas on 1 June 2021 the EPPO finally started its operational activities as the final pillar of the anti-fraud architecture designed by the Union to enhance the protection of its financial interests; whereas the EPPO received 2 832 reports and opened 576 investigations 2021; whereas the EPPO requested more than EUR 152 million to be seized, and the seizure of more than EUR 147 million was granted; whereas the workload of the EPPO is expected to increase;

Amendment 19 #

Motion for a resolution
Recital K a (new)

K a. whereas the EPPO with minimum resources under extreme time pressure, has started to work, adequately and in profit; whereas the EPPO’s budget for 2021 was less than forty five (45) million Euro, and the same year EPPO judges have granted the seizure of more than a quarter of a billion of Euro, illustrating that the return on investment is massive and immediate;

Amendment 2 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU

Motion for a resolution
Citation 12 a (new)

— having regard to the judgements of the ECJ of 16 February 2022 and its conclusions that the Rule of Law Conditionality Mechanism is in line with EU law, confirming the appropriateness of the legal basis, the regime’s compatibility with Article 7 TEU and the principle of legal certainty,

Amendment 20 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Recital L

L. whereas the Commission’s knowledge of the extent, nature, and causes of fraud is somewhat limited and many potential frauds are not reported through the irregularity management system; whereas corruption undermines citizens’ trust in the EU and ~~represents a burden on~~jeopardise the Union’s financial interests and the EU economy as a whole, as well as posing a serious threat to democracy and the rule of law in the EU;

Amendment 21 #

Motion for a resolution
Recital N

N. whereas the unprecedented increase in EU spending under Multiannual Framework 2021-2027 the NextGenerationEU (NGEU) recovery plan offers significant potential for misuse of funds by organised criminals; however the Commission is capable of monitoring approximately 10% of all expenditures;

Amendment 22 #

N. whereas the unprecedented increase in EU spending under the NextGenerationEU (NGEU) recovery plan offers significant risks, including the potential for misuse of funds by organised criminals;

Amendment 23 #

Motion for a resolution
Recital N a (new)

N a. whereas cooperation with international partners is crucial to protect EU funds spent outside Europe and the revenue side of the EU budget; whereas OLAF 2021 concluded administrative cooperation arrangements with two international partner authorities, the Prosecutor-General’s Office of Ukraine and the World Customs Organization (WCO); whereas OLAF 2021 organised online events to establish new operational contacts with investigative authorities in non-EU countries and to encourage the reporting of fraud and irregularities through EU Delegations around the world;

Amendment 24 #

Motion for a resolution
Paragraph 5

5. Highlights that the new MFF 2021- 2027, the last programmes for which were adopted in 2021, coupled with the NextGenerationEU recovery plan, provides the EU with EUR 1.8 trillion, representing an unprecedented volume of resources; highlights that European Parliament, OLAF, the Court of Auditors, the European Public Prosecutors Office and the Commission itself may access relevant data and investigate the use of funds when it is necessary;

Amendment 25 #

Motion for a resolution
Paragraph 5

5. Highlights that the new MFF 2021- 2027, the last programmes ~~for~~ which were adopted in 2021, coupled with the NextGenerationEU recovery plan, provides the EU with EUR 1.8 trillion, representing an unprecedented volume of resources for which the auditing measures foreseen by the Councilare rather poor;

Amendment 26 #

Motion for a resolution
Paragraph 5 a (new)

5 a. The European Parliament and its Budgetary Control Committee should have a strong role in the RRF's governance, with regular structured dialogues enabling it to invite the Commission to discuss the implementation of the RRF. The Commission is required to take into account the views arising from this dialogue;

Amendment 27 #

Motion for a resolution
Paragraph 7 a (new)

7 a. Calls for an enhanced level of digitalisation, interoperability of data systems and harmonisation of reporting, monitoring and auditing in the EU and, to this end, reiterates its call on the Commission to harmonise definitions in order to obtain comparable data across the EU;

Amendment 28 #

Motion for a resolution
Paragraph 8

8. Calls on the Commission to submit a legislative proposal on mutual administrative assistance in those areas of European-fund spending that do not so far provide for this practice; encourages the Commission to develop a system for the exchange of information between competent authorities to enable cross- checking of accounting records concerning transactions between two or more Member States in order to avoid transnational fraud within the Structural and Investment Funds, so as to ensure a cross-cutting approach to the protection of the financial interests of the EU;deleted

Amendment 29 #

Motion for a resolution
Paragraph 8 a (new)

8 a. Expresses some concerns about the quite late publication of the Annual Report on the Protection of the financial interests for year n which is only published in Sept of year n+1; understands that the reason for this is mainly related to the fact Member States send their information quite late; invites the Commission to be more proactive in requesting earlier data from Member States so that its annual report can be advanced which would allow an early adoption of the Parliament resolution ideally within the year n+1;

Amendment 3 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Citation 12 a (new)

— having regard to the Commission’s Proposal for a Council Implementing Decision on measures for the protection of the Union budget against breaches of the principles of the rule of law in Hungary adopted 18 September 2022,

Amendment 30 #

Motion for a resolution
Paragraph 9

9. Notes that the number of cases of fraud and irregularities reported by the competent EU and national authorities – 11 218 in total – remained stable in 2021 relative to 2020 (when there were 11 755 cases overall); points out that the value involved in these irregularities rose significantly to EUR 3.24 billion (having more than doubled +121%, from EUR 1.46 billion in 2020), due to a small number of large cases in certain Member States; expresses its grave concern about the increased amount involved in fraud and irregularities;

Amendment 31 #

Motion for a resolution
Paragraph 11

11. Observes with concern that the great majority of reported irregularities (fraudulent and non-fraudulent) are detected during ex post controls and that this results in a significant time lag between the moment in which irregularities are committed and when they are reported to the Commission, with this lag averaging from two and a half to three years; is also concerned that some Member States do not report any irregularities, which might also indicate insufficient detection efforts;

Amendment 32 #

Motion for a resolution
Paragraph 13

13. Is concerned by the increasing threat to the EU budget posed by organised crime, including mafia-type organisations and oligarchic structures, trying to infiltrate the legal economy and perpetrating administrative irregularities with criminal methods that are more harmful and more difficult to investigate and remedy, increasingly making use of highly skilled intermediaries who are able to carry out extremely sophisticated, hard- to-detect European-fund fraud and by making money disappear through complex financial architectures, sometimes with the help of tax havens, making it particularly difficult to trace and recover funds;

Amendment 33 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Paragraph 12 a (new)

12 a. Reiterates its concern that the occurrence of oligarchic groups has reached an unprecedented magnitude in the past several years; is concerned that oligarchic systems are often connected to widespread corruption, tight control over media and a judicial system which is not independent from the oligarchs themselves; emphasises that, in order to protect themselves, oligarchic groups seek to gain control over the media and the judiciary so as to avoid media exposure of possible criminal activities and prosecution;

Amendment 34 #

Motion for a resolution
Paragraph 12 a (new)

12 a. Calls on the Commission to focus more on the more severe issues, such as intentional manipulations in the tender criteria to favour the application of certain bidders, corruption in relation to bidder selection, and conflicts of interest in general, instead of minor formal errors;

Amendment 35 #

Motion for a resolution
Paragraph 15

15. Recalls that the lack of specific legislation on organised crime in many Member States is fertile ground for the growing number of cross-border activities in areas affecting the Union’s financial interests; reiterates therefore its previous calls for the revision of Council Framework Decision 2008/841/JHA of 24 October 2008 on the fight against organised crime and the need to establish a new, updated common definition of organised crime, which should take into consideration also the use of violence, corruption or intimidation by criminal groups to obtain the control of economic activities, or public procurement, or to affect democratic process; calls on the Commission to promote the good practices of those countries in the EU that have an advanced regulatory framework for fighting organised crime;

Amendment 36 #

Matteo ADINOLFI, Joachim KUHS

Motion for a resolution
Paragraph 15

15. Recalls that the lack of ~~specific~~efficient legislation onand actions to combat organised crime in many Member States isenable fertile ground for the growing number of cross-border activities in areas affecting the Union’s financial interests; calls on the Commission to promote the good practices of those countries in the EU that have an advanced regulatory framework for fighting organised crime;

Amendment 37 #

Motion for a resolution
Paragraph 16

16. Stresses that timely cooperation between national law enforcement authorities is a key component of an effective response to transnational crime to protect the EU’s financial interests, alongside advancing common policies to fight mafia related criminality and as well taking example from the virtuous and most experienced countries in this area;

Amendment 38 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU

Motion for a resolution
Paragraph 16

16. Stresses that timely cooperation between national law enforcement authorities, as well as between them and relevant EU agencies and bodies, is a key component of an effective response to transnational crime to protect the EU’s financial interests;

Amendment 39 #

Motion for a resolution
Paragraph 17

17. Stresses that corruption, especially high level corruption is a particularly serious crime with a cross- border ~~dimension~~possibilities, whose impact affects the Union’s financial interests and the EU economy as a whole, representing a serious threat to democracy, fundamental rights and the rule of law across Europe, undermining citizens’ trust in democratic institutions in the EU and in the Member States;

Amendment 4 #

Motion for a resolution
Citation 12 b (new)

— having regard that on 2 March 2022, European Commission adopted its guidelines on the general regime of conditionality,

Amendment 40 #

Motion for a resolution
Paragraph 17 a (new)

17 a. Calls on the Commission to produce an “Annual Report on Corruption” - as happen already for the fraud - in order to provide an in-depth analysis of the approaches, procedures and tools used by EU Member States in their fight against corruption and to help to assess which areas are most at risk, thereby helping to better target action at both EU and national level;

Amendment 41 #

Motion for a resolution
Paragraph 17 a (new)

17 a. Highlights that in order to effectively fight corruption and protect the financial interests of the Union, the Commission should adopt a consistent approach to transparency, incompatibilities, illegal lobbying, revolving door situations, and conflicts of interest, also strengthening internal control mechanisms;

Amendment 42 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK, Gilles BOYER

Motion for a resolution
Paragraph 17 a (new)

17 a. Recalls that weakening of the independence of the institutions responsible for monitoring and controlling finances in certain Member States seriously harm the Union’s financial interests while also representing a threat to the rule of law;

Amendment 43 #

Motion for a resolution
Paragraph 18

18. Believes that an enhanced and consistent level of protection for journalists and whistleblowers across the Union helps detect corruption and counter the spread of a subculture of impunity, silence and conspiracy; stresses the important role played by the media and investigative journalists in the fight against corruption;

Amendment 44 #

Matteo ADINOLFI, Joachim KUHS, Jean-François JALKH

Motion for a resolution
Paragraph 22

22. Remarks that China remained the major country of origin of goods affected by irregularities; stresses that a number of the cases investigated, which involved products sent from China, are emblematic of the challenges posed by China’s Belt and Road policy; is concerned by the recurrence of cases of absorption and circumvention of trade defence measures and by the difficulty of detecting them; calls on the Commission to adopt countermeasures and deploy them intensively to address unfair trade;

Amendment 45 #

Motion for a resolution
Paragraph 22

22. Remarks that China remained the major country of origin of goods affected by irregularities; is concerned by the recurrence of cases of absorption and circumvention of trade defence measures and by the difficulty of detecting them; calls on the Commission to adopt countermeasures and deploy them intensively to address unfair trade and furthermore decreasing European dependence on non-EU production;

Amendment 46 #

Joachim KUHS, Matteo ADINOLFI, Jean-François JALKH

Motion for a resolution
Paragraph 22 a (new)

22 a. Calls the EU and the Member States to join forces in tackling the MTIC ("Missing Trader Intra Community") VAT fraud, costing, according to Europol, 50 billion EUR annually in tax losses or up to 27% of an annual EU budget; this measure would significantly improve the situation of the available ressources for EU policies and reduce the annual contributions of the Member States into the EU Budget;

Amendment 47 #

Motion for a resolution
Paragraph 24

24. Highlights that the EPPO has the authority to investigate serious offences against the common VAT system where they are associated with the territory of two or more Member States and involve a total loss of at least EUR 10 million and that, acting as a single transnational prosecution office, it brings unprecedented efficiency in the fight against VAT fraud; notes that in in particular 2021, the EPPO investigated 91 such cases involving estimated losses of EUR 2.5 billion; welcomes the Commission’s initiative for a second transposition report on the PIF Directive, due in the third quarter of 2022, which will also focus on the appropriateness of the EUR 10 million VAT threshold;

Amendment 48 #

Motion for a resolution
Paragraph 25 a (new)

25 a. Asks the Commission to publish internal audit reports and findings before the end of the implementation period, which can take several years; believes that the public has the right to be aware of the actions Member States are required to take to protect the EU budget;

Amendment 49 #

Motion for a resolution
Paragraph 26

26. Observes that for agriculture the analysis confirms a very low incidence of reported fraud in proportion to disbursements for direct payments, with the highest level observed for market measures in the fruit and vegetable sector and related to the promotion of agricultural products; notes however that the fraudulent irregularities in rural development related to the 2014-2020 programming period are progressively increasing;

Amendment 5 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Citation 14 a (new)

— having regard to Commission communication of 14 December 2020 on the review of the European Union under the Implementation Review Mechanism of the United Nation Conventions against Corruption (UNCAC) (COM(2020)0793),

Amendment 50 #

Motion for a resolution
Paragraph 26 a (new)

26 a. underlines the need for a strict application of the new social conditionality included into the new CAP reform, linking subsides to work and employment standards; reminds the extremely importance of this new condition in the framework of the protection of financial interests, requesting for adequate measures to be put in place both at Member States and Commission level;

Amendment 51 #

Motion for a resolution
Paragraph 27

27. Notes that for the European Structural and Investment Funds (ESIF) implementing cohesion policy, the number of fraudulent irregularities reported for the 2014-2020 programming period remained in line with the number reported for the 2007-2013 programming period, while there was a fall in the number of non- fraudulent irregularities; remark with concern that financial amounts linked to fraudulent irregularities in the cohesion policy 2021 compared to the five year average of 2017-2021 increased with 186%;

Amendment 52 #

Motion for a resolution
Paragraph 28 a (new)

28 a. Calls on the Commission to urgently check the applicability of Article 61 of Regulation no 2018/1046 on conflict of interests to check is any person or national authorities involved in budget implementation do not take any action which may bring their own interest into conflict with those of the Union; considers necessary an analysis carried out by the Commission to evaluate the tangible effect of such Article and to consider the possible way forward;

Amendment 53 #

Motion for a resolution
Paragraph 29

29. Observes that, in ESIF matters, infringements of public procurement rules were the most frequently reported non- fraudulent irregularities, but only in 4 % of these cases was fraud detected; believes that enhanced transparency in public procurement would ensure sounder management of resources; takes the view that reducing single bids (although not possible in some areas of the economy on account of their specificities), encouraging the adoption of electronic public procurement systems, and providing training on public procurement for micro, small and medium- sized enterprises would help boost participation and facilitate public scrutiny and controls, increase competition in public contracts and allow more efficient use of EU funds in public procurement, while reducing the risk of fraud and irregularities;

Amendment 54 #

Motion for a resolution
Paragraph 29

29. Observes that, in ESIF matters, infringements of public procurement rules were the most frequently reported non- fraudulent irregularities, but only in 4 % of these cases was fraud detected; believes that enhanced transparency in public procurement would ensure sounder management of resources; takes the view that reducing single bids by outlining them for ex-post controls, encouraging the adoption of electronic public procurement systems, and providing training on public procurement for micro, small and medium- sized enterprises would help boost participation and facilitate public scrutiny and controls, increase competition in public contracts and allow more efficient use of EU funds in public procurement, while reducing the risk of fraud and irregularities;

Amendment 55 #

Motion for a resolution
Paragraph 29 a (new)

29 a. Observes that the analysis of irregularities highlights risks in relation to the green transition for investments in energy efficiency, the provision of drinking water, waste management, renewable energy (solar) and risk prevention; those linked to the digital transition relate to services and applications for small and medium sized enterprises (SMEs), in terms of the number of irregularities, and services and applications for e-government, in terms of the financial amounts involved;

Amendment 56 #

Motion for a resolution
Paragraph 29 a (new)

29 a. Calls on all Members States to keep a high level of checks and monitoring on emergency spending, in case of urgent procedures done as an ex- post control, use emergency procurement on the basis of a case-by-case assessment and finally complete the transition to e- procurement processes;

Amendment 57 #

Motion for a resolution
Paragraph 29 b (new)

29 b. Welcomes the analysis in the PIF Report 2021 and calls on national authorities to take them into account in their control activities;

Amendment 58 #

Motion for a resolution
Paragraph 30 a (new)

30 a. Reminds that transparency has a key role in the management of public funds, both as deterrent factor, but also by improving trust of citizens; invites the Commission and the Member States to do bigger efforts in strengthening the transparency in the use of funds, including concerning the information on final beneficiaries;

Amendment 59 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU

Motion for a resolution
Paragraph 33

33. Notes that despite the reported figure, the proportion of cases of suspected fraud that have not led to conviction remains high, while the share of cases in which fraud is established is low, suggesting the need to invest more in investigating and prosecuting such cases; notes that the average indictment rate based on OLAF recommendations to Member States decreased to only 35% in 2021; asks OLAF and the Commission to systematically follow-up with Member States to understand why recommendations provided have not resulted in the launch of judicial proceedings;

Amendment 6 #

Motion for a resolution
Citation 15 a (new)

— having regard to its recommendation of 17 February 2022 to the Council and the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy concerning corruption and human rights,

Amendment 60 #

Motion for a resolution
Paragraph 34

34. ~~Calls on the Commission to design a regulatory framework~~Stresses the need to address the lack of information on the owners and ownership structure of companies or groups of companies with the aim of making the current distribution of funds more transparent and helping to make significant improvements in more efficient detection of irregularities;

Amendment 61 #

Motion for a resolution
Paragraph 34 a (new)

34 a. Demands Member States to collect data on final recipients of funds and make this available upon request;

Amendment 62 #

Motion for a resolution
Paragraph 35

35. ~~Welcom~~Notes the Commission’s proposals on the ~~compulsory~~ use of a single integrated IT system for data-mining and risk-scoring, on the increased scope and effectiveness of the early detection and exclusion system (EDES) and on the enhanced use of digitalisation and technology to increase the efficiency and quality of controls and audits; believes that the~~se measures would strengthen the response to the increased risks of serious irregularities that followed the urgent delivery of funding under pressure in emergency situations~~ Commission’s conclusions are flawed and that the existing dispersed system works well at detecting fraud;

Amendment 63 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK, Gilles BOYER

Motion for a resolution
Paragraph 35 a (new)

35 a. Emphasizes that the Early Detection and Exclusion System (EDES), as the EU’s Blacklist, has a huge potential flagging people and companies that misuse EU funds; welcomes the Commission's proposal to change of the Financial Regulation in order to allow EDES to be operational not only in direct management but also in indirect and shared management as well;

Amendment 64 #

Matteo ADINOLFI, Joachim KUHS, Jean-François JALKH

Motion for a resolution
Paragraph 35 a (new)

35 a. Underlines the necessity to make compulsory the single integrated IT system as soon as possible without waiting for the next MFF, as also be stated in the Opinion 06/2022 of the European Court of Auditor;

Amendment 65 #

Motion for a resolution
Paragraph 37

37. ~~Welcomes~~Take notes of the decision adopted by the Advisory Committee for the Coordination of Fraud Prevention (COCOLAF) to set up an expert group dedicated to the use of IT tools to protect RRF resources, and requires great vigilance in identifying and combating fraud related to the Recovery and Resilience as long as the funded projects proceed;

Amendment 66 #

Motion for a resolution
Paragraph 37 a (new)

37 a. Calls for a greater degree of digitalisation, interoperability of comparable data systems and harmonisation of reporting, monitoring and auditing in the EU; calls on the Commission to explore the possibility of using AI in the service of the protection of the EU’s financial interests;

Amendment 67 #

39 a. Praises the EPPO for having created a new climate of trust for citizens and invites the Commission and Members States to increase their cooperation in order to make the EPPO mandate fully implemented; in this regards reminds that from one side the detection rates by Member States should be enhanced, and counts on special cooperation of OLAF in the EU anti-fraud structures; reminds also the different critical shortcomings identified in the EPPO regulation that need to be addressed as soon as possible; invites the Commissions to urgently react on the requests made by the EPPO on its budgetary implementation, to make it as a completely effective and independent prosecution office;

Amendment 68 #

Motion for a resolution
Paragraph 39 a (new)

39 a. Urgently asks the Commission to review the EPPO Regulation to broaden its functions, thus also including environmental crimes - which have been increasing in recent times - and consequently to increase its staff to make EPPO capable of carrying out its tasks;

Amendment 69 #

Motion for a resolution
Paragraph 39 a (new)

39 a. Deeply regrets that there are still five Member States not participating in the EPPO, namely Poland, Hungary, Sweden, Denmark and Ireland;

Amendment 7 #

Motion for a resolution
Recital -A (new)

-A. whereas sound public spending and the protection of the EU’s financial interests should be key elements of EU policy in order to increase the confidence of citizens by ensuring that taxpayers’ money is used properly and effectively,

Amendment 70 #

Motion for a resolution
Paragraph 40

40. Highlights that the legal frameworks of OLAF and the EPPO clearly provide for the two offices to work in close cooperation while respecting their individual mandates, powers and competences; notes in this regard that OLAF opened 26 complementary investigations and carried out eight supporting operations; remarks that OLAF forwarded 167 files to EPPO, mainly related to shared management (63) and direct expenditure (34) and in equal number concerning internal and international investigations (25 cases each); appreciates that this transmission resulted in the opening by the EPPO of 85 criminal investigations and that such cases relate to an estimated total loss to the EU budget of EUR 2.2 billion; encourages both OLAF and EPPO to continue enhancing cooperation between them;

Amendment 71 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK, Gilles BOYER

Motion for a resolution
Paragraph 40 a (new)

40 a. Regrets that the participation of Member States in EPPO is not obligatory; reiterates its call on the Member States which refused so far to join the EPPO as soon as possible; calls on the Commission to incentivise participation in the EPPO through positive measures;

Amendment 72 #

Motion for a resolution
Paragraph 41

41. Remarks that OLAF actively cooperates with the European Court of Auditors (ECA), Eurojust, and Europol; welcomes the joint efforts of OLAF and Europol to assess the threats and vulnerabilities of the RRF instrument and their cooperation with other Commission services entrusted with supervising the RRF (DG Economic and Financial Affairs and the Commission Secretariat-General); appreciates the ~~publication of the~~ joint OLAF/Europol report entitled ‘Assessing the threats to the NextGenerationEU (NGEU) Fund’;

Amendment 73 #

Motion for a resolution
Paragraph 41 a (new)

41 a. Highlights the added value that EU bodies bring to the protection of the financial interests of the Union and the fight against fraud, overcoming national systems' limitations, especially when it comes to cross-borde crime, as shown by the operational results from EPPO and OLAF;

Amendment 74 #

Motion for a resolution
Paragraph 45

45. Welcomes the launch of ‘Operation Sentinel’ and the ‘NextGenerationEU – Law Enforcement Forum (NGEU-LEF)’, a joint initiative co-led by Europol and Italy, which brings together Europol, the EPPO, OLAF, Eurojust, the EU Agency for Law Enforcement Training, and the Member States, by providing a forum for intelligence sharing and coordination of operations to tackle the infiltration of organised crime in the legal economy, and to protect the NextGenerationEU stimulus package, with a specific focus on corruption, tax evasion, embezzlement and money laundering; takes the view that, in order to effectively address the threat posed by organised crime, exchange of best practices and development of common and coordinated strategies are pivotal;

Amendment 75 #

Motion for a resolution
Paragraph 45 a (new)

45 a. Recalls that OLAF was created not only for internal investigations but also for supporting Member States in external investigations; recalls that the subsidiarity principle prevents OLAF from launching investigations where Member States are in a better position to act, but this does not exclude OLAF from conducting analyses of recurring cases, trends and patterns and on how its ability to detect these phenomena has resulted in enhanced cooperation and successful actions;

Amendment 76 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK, Gilles BOYER

Motion for a resolution
Paragraph 46

46. Acknowledges, on customs-related matters, the extremely close operational coordination between OLAF, EUIPO, Interpol and the World Customs Organization (WCO); regrets the weakness of the alert systems of the Member States;

Amendment 77 #

Motion for a resolution
Paragraph 46

46. ~~Acknowledg~~Strongly welcomes, on customs- related matters, the extremely close operational coordination between OLAF, EUIPO, Interpol and the World Customs Organization (WCO);

Amendment 78 #

Motion for a resolution
Paragraph 48

48. ~~Recall~~Deplores that in 2021, out of an overall budget of EUR 44.9 million, the EPPO was forced to return EUR 9.5 million (about 20 %) to the EU budget, after having requested and obtained additional resources to hire statutory staff from the budgetary authority, because the clearance to hire them was not granted by the Commission;

Amendment 79 #

Motion for a resolution
Paragraph 48 a (new)

48 a. Notes the observations and considerations expressed by the European Chief Prosecutor on the need to amend the EPPO Regulation; calls on the Commission to engage in a discussion with the EPPO to identify the improvements needed to enhance its operational effectiveness; recalls that the EPPO is an independent body of the Union and should not be assimilated to an agency, as this has an impact on its independence and efficiency; notes that there are several others provisions of the EPPO regulation, which have an impact on the operations of the EPPO and, therefore, on the protection of the EU financial interests and Asks the Commission to propose solutions to improve the situation and to report to Parliament in line with Article 119 (1) of the EPPO Regulation;

Amendment 8 #

Motion for a resolution
Recital B a (new)

B a. whereas a general regime of conditionality for the protection of the Union budget has been applicable since 1 January 2021 and is enforceable from that date; whereas all breaches of the principles of the rule of law, such as fraud, in a Member State that affect or seriously risk affecting the sound financial management of the EU budget and the financial interests of the EU in a sufficiently direct way after that date are thereby subject to that regime;

Amendment 80 #

Motion for a resolution
Paragraph 49

49. Reiterates its concerns related to permanent understaffing at OLAF, the EPPO, Europol and Eurojust and their lack of financial and human resources, as they need an adequate and predictable budget to be able to organise and carry out the work to the best of their ability; underscores that their workload has now further increased due to the adoption of the NextGenerationEU and the extraordinary funds supporting Ukraine; reminds the Commission and the Council that every euro spent on investigation and anti-fraud actions returns to the EU budget;

Amendment 81 #

Motion for a resolution
Paragraph 49

49. Reiterates its concerns related to permanent understaffing at OLAF, the EPPO, Europol and Eurojust and their lack of financial and human resources, as they need an adequate and predictable budget to be able to organise and carry out the work to the best of their ability; reiterates its call to ensure those EU bodies and agencies adequate resources and, in this regards, reminds the Commission and the Council that every euro spent on investigation and anti-fraud actions returns to the EU budget;

Amendment 82 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU

Motion for a resolution
Paragraph 49

49. Reiterates its concerns related to permanent understaffing at OLAF, the EPPO~~, Europol and Eurojust~~ and their lack of financial and human resources, as they need an adequate and predictable budget to be able to organise and carry out the work to the best of their ability; reminds the Commission and the Council that every euro spent on investigation and anti-fraud actions returns to the EU budget;

Amendment 83 #

Motion for a resolution
Paragraph 49 a (new)

49 a. Calls on the Commission to establish a complaint mechanism for SMEs faced with high level of corruption, severe misconduct by national authorities, irregular or biased treatment intenders or the distribution of subsidies, pressure or intimidation from criminal structures, organised crime or oligarchic structures, or another severe infringement of their rights to lodge a complaint directly with the Commission;

Amendment 84 #

Motion for a resolution
Paragraph 49 a (new)

49 a. Reiterates its request for a mechanism to be put in place by OLAF to grant access to its investigations reports and recommendations, which have often a very high public interest, which would respect the confidentiality of its investigations but would grant greater transparency;

Amendment 85 #

Motion for a resolution
Paragraph 49 a (new)

49 a. Welcomes targeted revision of the action plan accompanying the Commission Anti Fraud strategy initiated by the Commission and calls on the Commission to take into account the proposals put forward in this and previous resolutions on PIF matters by the European Parliament;

Amendment 86 #

Katalin CSEH, Olivier CHASTEL, Pierre KARLESKIND, Alin MITUȚA, Ramona STRUGARIU, Michal WIEZIK

Motion for a resolution
Paragraph 50

50. Underlines the important role the Member States play in protecting the Union’s financial interests; is aware that, under the new delivery model adopted with the RRF, the Member States have ~~the biggest~~increased responsibility in preventing and countering fraud, corruption, conflicts of interest and double funding; however, it believes that the European level of protection is also crucial for the protection of the EU’s financial interest and believes that cooperation between the EU and the national authorities is essential for proper delivery;

Amendment 87 #

Motion for a resolution
Paragraph 50

50. Underlines the important role the Member States play in protecting the Union’s financial interests; is aware that, under the new delivery model adopted with the RRF, the Member States have the biggest responsibility in preventing and countering fraud, corruption, conflicts of interest and double funding; believes that an efficient cooperation between the EU and the national authorities is essential for proper delivery;

Amendment 88 #

Motion for a resolution
Paragraph 50 a (new)

50 a. Welcomes the adoption of Regulation (EU, Euratom) 2020/2092 on a general regime of conditionality for the protection of the Union budget; reiterates that it entered into force on 1 January 2021; welcomes the judgments of the CJEU of 16 February 2022 concerning the actions brought by two member states against the conditionality mechanism and its conclusions confirming that the EU does indeed have competences regarding the rule of law in the Member States and that the Rule of Law Conditionality Mechanism is in line with EU law;

Amendment 89 #

Motion for a resolution
Paragraph 50 a (new)

50 a. Calls on EPPO participating Member States to provide the necessary support to the office (support staff and appropriate working conditions for European delegated prosecutors, access to databases, police officers, prompt cooperation from taxation and customs authorities, etc), so that it can fully take advantage of its efficiency in protecting the EU and Member States’ budgets;

Amendment 9 #

Motion for a resolution
Recital B b (new)

B b. whereas the conditionality regulation allows the EU to take measures – for example suspension of payments or financial corrections – to protect the budget from fraud and shield the rule of law;

Amendment 90 #

Motion for a resolution
Paragraph 50 a (new)

50 a. Encourages the Member States to take a proactive approach to protecting the Union's financial interests, also by using data from all available sources, analysing data and exchanging information, including with law enforcement authorities and the Commission, in order to identify and address emerging risks and fraud trends in a timely manner;

Amendment 91 #

Motion for a resolution
Paragraph 50 a (new)

50 a. Recalls its worries about bureaucratic overburdening of the national authorities; calls on the Commission to always strive to decrease the number of indicators needed for audit and control purposes when determining which indicators and data are truly relevant, necessary and proportionate;

Amendment 92 #

Motion for a resolution
Paragraph 50 a (new)

50 a. Asks the Commission to strengthen the conflict of interests provisions in the review of the EU Financial Regulation to include the preparation of the budget by public officials;

Amendment 93 #

Motion for a resolution
Paragraph 50 b (new)

50 b. Calls on Ireland and Poland to immediately start cooperating with the EPPO on the basis of existing mutual legal assistance treaties and legislation and emphasizes that the lack of cooperation goes against the duties of sincere cooperation (Article 13 TFEU) and the specific objective, and related obligations on the Member States, of the effective protection of the Union’s financial interests (Article 325 TFEU);

Amendment 94 #

Motion for a resolution
Paragraph 50 b (new)

50 b. Recalls that compliance with the rule of law and with Article 2 of the TEU are prerequisites for gaining access to funds, that the Rule of Law Conditionality Mechanism is fully applicable to the RRF and that no measures should be financed under the RRF that are contrary to the EU values enshrined in Article 2 of the TEU

Amendment 95 #

Motion for a resolution
Paragraph 51

~~51. Believes that uneven and fragmentary legislation across EU Member States represents an obstacle to the effectiveness of the protection of the Union’s financial interests;~~deleted

Amendment 96 #

Motion for a resolution
Paragraph 51

51. Believes that uneven and fragmentary legislation across EU Member States represents an obstacle to the effectiveness of the protection of the Union’s financial interests, in particular, the diverse implementation of the PIF directive, combined with the rules in Article 25 of the EPPO Regulation, makes is impossible for the EPPO to exercise its competence in some Member States (for example with regard to smuggling and co- financing situations) creating loopholes in the protection of EU financial interests;

Amendment 97 #