anti-fraud and anti-corruption measures in relation to the use of european structural and investment...
TRANSCRIPT
Anti-fraud and anti-corruption measures in relation to the use
of European Structural and Investment (ESI) Funds
DG Regional and Urban Policy
Pascal BoijmansHead of Unit "Competence Centre for Administrative
Capacity"
Outline
1. Rationale
2. Legislative framework
3. Assistance and tools available
4. Anti-fraud and anti-corruption conference and seminars in MS
5. Other on-going initiatives
DG Regional and Urban Policy 2
National administrative Capacities:Strong correlation between Absorption and Governance
3
Standardized Index based on Absorption data end 2013 for all funds (ERDF, CF, ESF, EAFRD, EFF) and World Bank Governance Index 2012. Croatia is an outlier due to short time for absorption.
Regional PolicyRegional Policy
Strong correlation between Government Effectiveness and Corruption
Latest data for all 28 Member States
5
Article 59 (2) of the Financial Regulation
New elements in the Common Provisions Regulation (CPR) governing the implementation of European Structural and Investment (ESI) Funds
LEGISLATIVE FRAMEWORK
Article 59 (2) of the Financial Regulation
"When executing tasks relating to the implementation of the budget, Member States shall take all necessary measures, including legislative, regulatory and administrative measures, to protect the Union's financial interests, namely by:
(b) preventing, detecting and correcting irregularities and fraud."
Anti-fraud requirements in Article 125.4(c) of the CPR for 2014-2020
For the 1st time in the Regulation governing the implementation of ESI Funds explicit reference:
"As regards the financial management and control of the operational programme, the managing authority shall:
- put in place effective and proportionate anti-fraud measures taking into account the risks identified." 7
Programming period 2014-2020 for ESI Funds
• Fight against fraud and corruption is high on the agenda - both in the EU in general, and in the ESI funds in particular;
• Stronger legal basis provides opportunity to step up the game in fight against fraud and corruption;
• For the ESI Funds – no business as usual;
• Zero tolerance to fraud and corruption in ESIF;
8
9
Everybody agrees that fraud and corruption is not acceptable, but what can we do about it?
For 2014-2020 the Commission has developed a number of new guidelines and tools:
Fraud Risk Assessment Guidance Note
ARACHNE
ANTI-FRAUD AND ANTI-CORRUPTION MEASURES – ASSISTANCE AND TOOLS
10
EC Guidance Note on Fraud Risk Assessment and Effective and
Proportionate Anti-Fraud Measures
• Made available to MSs in mid-December 2013• Provides assistance and recommendations to
Managing Authorities for implementation of Article 125.4 c)
• Provides fraud self-assessment tool - focuses on fraud risks in relation to 3 key processes:
selection of applicants;implementation and verification of the operations
(including public procurement-related fraud risks); certification and payments.
11
Commission's guidance provides a tool which can mitigate fraud risks
• Assessing the degree of exposure to specific fraud risks using a self-assessment tool provided by the Commission
• The type of additional anti-fraud measures to be put in place should take into account already existing mitigating controls
• Proportional and effective: a higher fraud risk requires that anti-fraud measures are stepped up
• During the programming period, the fraud risk assessment should be carried out annually or every second year
ARACHNE – risk scoring tool
12
Data-mining tool developed by EC and offered for use by Managing Authorities in MSs for free.
OBJECTIVE:
Support the Management and Control Systems, to lower the error rate and strengthen fraud prevention and detection
Facilitate the continuous monitoring / overview of the internal and external data regarding projects, beneficiaries and contracts/contractors
ARACHNE – risk scoring tool
13
• Based on a set of risk indicators and alerts
• Customized to the nature of OP expenditures
• Using some key (internal) data of the projects enriched with publicly available information (external data)
ARACHNE – benefits
14
In view of limited resources and multiplicity of operations, key actors and systems: Promote the use of a risk based approach in the verifications of the projects (focus on most risky projects);Complement the risk assessment with regard to fraud alerts and irregularities;Identify possible irregular circumstances continuously on the basis of predefined risk criteria;Build an overall better defence against fraud and errors
15
• Conference on anti-corruption and anti-fraud measures in relation to the use of the ESI Funds.
• Follow-up seminars in selected Member Sates
• Events organised by OLAF (Greece 26 and 27 February 2014)
Anti-fraud and anti-corruption events
16
Conference on anti-corruption and anti-fraud measures in relation to
the use of the ESI Funds 3 December 2013, Brussels Organisers: European Commission in co-operation
with Transparency International 454 participants 28 EU MS; different EC services: REGIO, EMPL,
OLAF, HOME, MARKT, AGRI, MARE
Conclusion: there is interest in further sharing of hands-on practice, guidance and promote awareness on the issues
17
SEMINARS IN 6 MS
SEMINARS IN MS - DATES
18
SEMINARS IN MS - APPROACH
Co-operative endeavour
19
20
1. New Public Procurement directives: new provisions on conflicts of interest (Art.21); illicit behavior by candidates/tenderers (Art.22); safeguards against undue preference (Art.39); obligation to transmit the text of concluded high-value
contracts to the oversight body (Art.84)
2. Working Group (REGIO, MARKT, AGRI, EMPL, MARE and EIB) on Public Procurement Action Plan: some initiatives
Prepare Practical Guidance on "How to avoid common public procurement errors"
MS specific initiatives (RO & BG Action Plans)
OTHER ON-GOING INITIATIVES
DG Regional and Urban Policy Unit E1 "Competence Centre for Administrative Capacity-Building;
Solidarity Fund"21
Thank you !