EC reforms aimed at combating fraud

The European Commission has disbanded its Directorate General for Financial Control, as part of its root-and-branch reform of its accounting controls.

Written by Keith Nuthall

Link: EC denies £63bn accounting software flaw

The move is aimed at wrestling with reports claiming that European Union institutions continue to be riddled with fraud.

The EU anti-fraud office, OLAF, said in its latest report that 552 new cases were opened from last May to this June, with its caseload increasing by 30% compared to the two first years of its existence, for instance.

As a result, internal reforms are ongoing, with the commission taking the formal decision to disband its DG Financial Control from the New Year, its work being reallocated to audit officers in spending departments.

This change has been supported by increased training, advice on procurement procedures, strengthened audits and the establishment of a mobile help-desk providing immediate advice. Meanwhile, the commission has created 600 financial control posts within spending departments, so there will be no net-loss of financial officers.

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