Address https://gelex.eu/eli/EU/decision/2015/103@2015-01-16/en

Contents

1. Preamble
2. 1. Article 1
   2. Article 2
3. ANNEX
4. ANNEX Budget Item: 05070107

THE EUROPEAN COMMISSION,

Having regard to the Treaty on the Functioning of the European Union,

Having regard to Regulation (EU) No 1306/2013 of the European Parliament and of the Council of 17 December 2013 on the financing, management and monitoring of the common agricultural policy and repealing Council Regulations (EEC) No 352/78, (EC) No 165/94, (EC) No 2799/98, (EC) No 814/2000, (EC) No 1290/2005 and (EC) No 485/2008, and in particular Article 52 thereof,

After consulting the Committee on the Agricultural Funds,

Whereas:

(1) In accordance with Article 31 of Council Regulation (EC) No 1290/2005 and as from 1 January 2015 in accordance with Article 52 of Regulation (EU) No 1306/2013 the Commission is to carry out the necessary verifications, communicate to the Member States the results of those verifications, take note of the comments of the Member States, initiate a bilateral discussion so that an agreement may be reached with the Member States in question, and formally communicate its conclusions to them.

(2) The Member States have had an opportunity to request the launch of a conciliation procedure. That opportunity has been used in some cases and the reports issued on the outcome have been examined by the Commission.

(3) In accordance with Regulation (EU) No 1306/2013, only agricultural expenditure which has been incurred in a way that has not infringed Union law may be financed.

(4) In the light of the verifications carried out, the outcome of the bilateral discussions and the conciliation procedures, part of the expenditure declared by the Member States does not fulfil this requirement and cannot, therefore, be financed under the EAGF and the EAFRD.

(5) The amounts that are not recognised as being chargeable to the EAGF and the EAFRD should be indicated. Those amounts do not relate to expenditure incurred more than 24 months before the Commission's written notification of the results of the verifications to the Member States.

(6) As regards the cases covered by this decision, the assessment of the amounts to be excluded on grounds of non-compliance with Union law was notified by the Commission to the Member States in a summary report on the subject.

(7) This Decision is without prejudice to any financial conclusions that the Commission may draw from the judgments of the Court of Justice of the European Union in cases pending on 1 September 2014,

HAS ADOPTED THIS DECISION:

Article 1

The amounts set out in the Annex and related to expenditure incurred by the Member States' accredited paying agencies and declared under the EAGF or the EAFRD shall be excluded from Union financing.

Article 2

This Decision is addressed to the Kingdom of Belgium, the Republic of Bulgaria, the Czech Republic, the Federal Republic of Germany, the Republic of Estonia, the Kingdom of Spain, the French Republic, the Italian Republic, the Republic of Lithuania, Hungary, the Kingdom of Netherlands, the Republic of Austria, Romania, and the United Kingdom of Great Britain and Northern Ireland.

Done at Brussels, 16 January 2015. For the Commission Phil Hogan Member of the Commission

ANNEX

ANNEX Budget Item: 05070107

MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact GB Financial audit — Overshooting 2012 Exceeding of financial ceiling ONE-OFF 0,00 % EUR – 63830,47 – 63830,47 0,00 Financial audit — Late payments and payment deadlines 2012 Late payments ONE-OFF 0,00 % EUR – 273941,77 – 514631,58 240689,81 Total GB: EUR – 337772,24 – 578462,05 240689,81 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact NL Starch 2003 reimbursement following the judgement of Court of Justice in case T-16/11 FLAT RATE 10,00 % EUR 5295327,28 0,00 5295327,28 Starch 2004 reimbursement following the judgement of Court of Justice in case T-16/11 FLAT RATE 10,00 % EUR 5424788,14 0,00 5424788,14 Starch 2005 reimbursement following the judgement of Court of Justice in case T-16/11 FLAT RATE 10,00 % EUR 5871686,22 0,00 5871686,22 Starch 2006 reimbursement following the judgement of Court of Justice in case T-16/11 FLAT RATE 10,00 % EUR 5973168,71 0,00 5973168,71 Other Direct Aid — Potato Starch 2007 reimbursement following the judgement of Court of Justice in case T-16/11 FLAT RATE 10,00 % EUR 2103632,94 0,00 2103632,94 Starch (2007+) 2007 reimbursement following the judgement of Court of Justice in case T-16/11 FLAT RATE 10,00 % EUR 955503,06 0,00 955503,06 Other Direct Aid — Potato Starch 2008 reimbursement following the judgement of Court of Justice in case T-16/11 FLAT RATE 10,00 % EUR 2431551,73 0,00 2431551,73 Starch (2007+) 2008 reimbursement following the judgement of Court of Justice in case T-16/11 FLAT RATE 10,00 % EUR 891491,23 0,00 891491,23 Total NL: EUR 28947149,31 0,00 28947149,31

Totals by Budget Item: 05070107

Currency Amount Deductions Financial Impact EUR 28609377,07 – 578462,05 29187839,12

Budget Item: 6701

MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact AT Entitlements 2011 Consolidation of alpine pasture and multiple annual instalments ONE-OFF 0,00 % EUR – 276374,35 0,00 – 276374,35 Entitlements 2012 Consolidation of alpine pasture and multiple annual instalments ONE-OFF 0,00 % EUR – 293850,15 0,00 – 293850,15 Entitlements 2013 Consolidation of alpine pasture and multiple annual instalments ONE-OFF 0,00 % EUR – 301013,79 0,00 – 301013,79 AT Cross Compliance 2012 Deficiencies in sanctions for SMR7 and leniency in sanctioning for GAECs, CY 2011 ONE-OFF 0,00 % EUR – 76849,71 0,00 – 76849,71 Cross Compliance 2010 GAEC on landscape features not effectively controlled, CY 2009 FLAT RATE 5,00 % EUR – 13484,40 0,00 – 13484,40 Cross Compliance 2011 GAEC on landscape features not effectively controlled, CY 2010 FLAT RATE 5,00 % EUR – 14441,58 0,00 – 14441,58 Cross Compliance 2012 GAEC on landscape features not effectively controlled, CY 2011 FLAT RATE 5,00 % EUR – 14393,70 0,00 – 14393,70 Cross Compliance 2010 No systematic follow-up of minor non-compliances, CY 2009 FLAT RATE 2,00 % EUR – 5,14 0,00 – 5,14 Cross Compliance 2011 No systematic follow-up of minor non-compliances, CY 2010 FLAT RATE 2,00 % EUR – 246,74 0,00 – 246,74 Cross Compliance 2012 No systematic follow-up of minor non-compliances, CY 2011 FLAT RATE 2,00 % EUR – 755,78 0,00 – 755,78 Cross Compliance 2010 Weakness in cross-reporting, deficiencies in sanctions for SMR7 and leniency in sanctioning for GAECs, CY 2009 ONE-OFF 0,00 % EUR – 47399,01 0,00 – 47399,01 Cross Compliance 2011 Weakness in cross-reporting, deficiencies in sanctions for SMR7 and leniency in sanctioning for GAECs, CY 2010 ONE-OFF 0,00 % EUR – 91372,17 0,00 – 91372,17 Total AT: EUR – 1130186,52 0,00 – 1130186,52 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact BE Cross Compliance 2008 Weaknesses in SMR 7, 11, 16-18, tolerance applied and sampling used for land checks, CY2007 FLAT RATE 5,00 % EUR – 3389,17 0,00 – 3389,17 Cross Compliance 2009 Weaknesses in SMR 7, 11, 16-18, tolerance applied and sampling used for land checks, CY2007 FLAT RATE 5,00 % EUR – 1856,51 0,00 – 1856,51 Cross Compliance 2010 Weaknesses in SMR 7, 11, 16-18, tolerance applied and sampling used for land checks, CY2007 FLAT RATE 5,00 % EUR – 89,72 0,00 – 89,72 Cross Compliance 2009 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2008 FLAT RATE 2,00 % EUR – 527302,79 0,00 – 527302,79 Cross Compliance 2010 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2008 FLAT RATE 2,00 % EUR – 568,84 0,00 – 568,84 Cross Compliance 2011 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2008 FLAT RATE 2,00 % EUR – 20,77 0,00 – 20,77 Cross Compliance 2010 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2009 FLAT RATE 2,00 % EUR – 538273,49 0,00 – 538273,49 Cross Compliance 2011 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2009 FLAT RATE 2,00 % EUR – 94,12 0,00 – 94,12 Cross Compliance 2011 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2010 FLAT RATE 2,00 % EUR – 535293,19 – 794,71 – 534498,48 Total BE: EUR – 1606888,60 – 794,71 – 1606093,89 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact BG Wine — Restructuring 2010 ineligible restructuring measure ONE-OFF 0,00 % EUR – 16046,31 0,00 – 16046,31 Wine — Restructuring 2011 ineligible restructuring measure ONE-OFF 0,00 % EUR – 27397,90 0,00 – 27397,90 Wine — Restructuring 2012 ineligible restructuring measure ONE-OFF 0,00 % EUR – 97089,53 0,00 – 97089,53 Wine — Restructuring 2013 ineligible restructuring measure ONE-OFF 0,00 % EUR – 33338,19 0,00 – 33338,19 BG Other Direct Aid — Article 68-72 of Reg.73/2009 2011 Non-application of regulatory exclusions ONE-OFF 0,00 % EUR – 370455,39 – 18522,77 – 351932,62 Other Direct Aid — Article 68-72 of Reg.73/2009 2012 Non-application of regulatory exclusions ONE-OFF 0,00 % EUR – 381206,05 – 19060,30 – 362145,75 Other Direct Aid — Article 68-72 of Reg.73/2009 2013 Non-application of regulatory exclusions ONE-OFF 0,00 % EUR – 248886,64 – 12444,33 – 236442,31 Other Direct Aid — Article 68-72 of Reg.73/2009 2011 Undue payments, OTSC weaknesses, insufficient control report template FLAT RATE 5,00 % EUR – 521954,26 0,00 – 521954,26 Other Direct Aid — Article 68-72 of Reg.73/2009 2012 Undue payments, OTSC weaknesses, insufficient control report template FLAT RATE 5,00 % EUR – 808560,83 0,00 – 808560,83 Other Direct Aid — Article 68-72 of Reg.73/2009 2013 Undue payments, OTSC weaknesses, insufficient control report template FLAT RATE 5,00 % EUR – 995079,95 0,00 – 995079,95 BG Decoupled Direct Aids 2010 Weaknesses in LPIS and administrative cross-checks, CY 2009 FLAT RATE 5,00 % EUR – 13598952,95 0,00 – 13598952,95 Decoupled Direct Aids 2011 Weaknesses in LPIS and administrative cross-checks, CY 2009 FLAT RATE 5,00 % EUR – 77724,05 0,00 – 77724,05 BG Decoupled Direct Aids 2011 Weaknesses in LPIS-GIS, CY 2010 FLAT RATE 5,00 % EUR – 14660582,12 0,00 – 14660582,12 Decoupled Direct Aids 2012 Weaknesses in LPIS-GIS, CY 2010 FLAT RATE 5,00 % EUR – 7964,58 0,00 – 7964,58 Total BG: EUR – 31845238,75 – 50027,40 – 31795211,35 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact CZ Wine — Restructuring 2010 non-eligible forms of protection of vineyards against wild birds ONE-OFF 0,00 % EUR – 690350,42 0,00 – 690350,42 Wine — Restructuring 2011 non-eligible forms of protection of vineyards against wild birds ONE-OFF 0,00 % EUR – 865307,63 0,00 – 865307,63 Wine — Restructuring 2012 non-eligible forms of protection of vineyards against wild birds ONE-OFF 0,00 % EUR – 567540,99 0,00 – 567540,99 Total CZ: EUR – 2123199,04 0,00 – 2123199,04 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact DE Fruit and Vegetables — Operational Programmes 2010 ineligible expenditures for construction of a storage facility ONE-OFF 0,00 % EUR – 430654,77 0,00 – 430654,77 Fruit and Vegetables — Operational Programmes 2009 Weakness in a control on recognition criterion for producer organisations FLAT RATE 5,00 % EUR – 77966,78 0,00 – 77966,78 Fruit and Vegetables — Operational Programmes 2010 Weakness in a control on recognition criterion for producer organisations FLAT RATE 5,00 % EUR – 153735,28 0,00 – 153735,28 Fruit and Vegetables — Operational Programmes 2011 Weakness in a control on recognition criterion for producer organisations FLAT RATE 5,00 % EUR – 70057,05 0,00 – 70057,05 DE Cross Compliance 2009 Leniency of the sanctions for SMR7, CY 2008 ONE-OFF 0,00 % EUR – 190178,10 – 379,60 – 189798,50 Cross Compliance 2010 Leniency of the sanctions for SMR7, CY 2009 ONE-OFF 0,00 % EUR – 150339,66 – 300,08 – 150039,58 Cross Compliance 2011 Leniency of the sanctions for SMR7, CY 2010 ONE-OFF 0,00 % EUR – 158485,49 – 316,34 – 158169,15 Cross Compliance 2009 Weaknesses in the control of SMR7, CY 2008 FLAT RATE 2,00 % EUR – 3929816,78 – 126,22 – 3929690,56 Cross Compliance 2010 Weaknesses in the control of SMR7, CY 2009 FLAT RATE 2,00 % EUR – 3573164,56 0,00 – 3573164,56 Cross Compliance 2011 Weaknesses in the control of SMR7, CY 2010 FLAT RATE 2,00 % EUR – 3463572,31 0,00 – 3463572,31 Total DE: EUR – 12197970,78 – 1122,24 – 12196848,54 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact EE Cross Compliance 2010 1 GAEC not defined, limited control on SMR1 and 5, inadequate control of two SMR4 requirements, CY2009 FLAT RATE 2,00 % EUR – 123269,50 0,00 – 123269,50 Cross Compliance 2011 1 GAEC not defined, limited control on SMR1 and 5, inadequate control of two SMR4 requirements, CY2009 FLAT RATE 2,00 % EUR – 1,71 0,00 – 1,71 Cross Compliance 2012 Limited control on SMR1 and 5, inadequate control of one SMR4 requirements, CY2011 FLAT RATE 2,00 % EUR – 163434,31 0,00 – 163434,31 Cross Compliance 2011 Limited control on SMR1 and 5, inadequate control of two SMR4 requirements, no respect of the seven days' deadline for notification, CY2010 FLAT RATE 2,00 % EUR – 143245,25 0,00 – 143245,25 Cross Compliance 2012 Limited control on SMR1 and 5, inadequate control of two SMR4 requirements, no respect of the seven days' deadline for notification, CY2010 FLAT RATE 2,00 % EUR – 3,33 0,00 – 3,33 Cross Compliance 2010 No control of SMR6, non-application of sanctions for the late notifications and modification of sanctions, CY2009 ONE-OFF 0,00 % EUR – 22887,71 – 45,78 – 22841,93 Total EE: EUR – 452841,81 – 45,78 – 452796,03 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact ES Decoupled Direct Aids 2009 Ineffectiveness of risk analysis ONE-OFF 0,00 % EUR – 3586250,48 0,00 – 3586250,48 Decoupled Direct Aids 2010 Ineffectiveness of risk analysis ONE-OFF 0,00 % EUR – 1866977,31 0,00 – 1866977,31 ES Decoupled Direct Aids 2008 Non-compliance with the eligibility rules on permanent pasture, CY2007 FLAT RATE 2,00 % EUR – 389865,14 – 1949,33 – 387915,81 Decoupled Direct Aids 2008 Non-compliance with the eligibility rules on permanent pasture, CY2007 FLAT RATE 10,00 % EUR – 201023,75 – 1005,12 – 200018,63 Decoupled Direct Aids 2008 Non-compliance with the eligibility rules on permanent pasture, CY2007 FLAT RATE 25,00 % EUR – 9290513,97 – 46452,57 – 9244061,40 Decoupled Direct Aids 2009 Non-compliance with the eligibility rules on permanent pasture, CY2008 FLAT RATE 2,00 % EUR – 445642,75 – 2228,22 – 443414,53 Decoupled Direct Aids 2009 Non-compliance with the eligibility rules on permanent pasture, CY2008 FLAT RATE 10,00 % EUR – 283917,17 – 1419,59 – 282497,58 Decoupled Direct Aids 2009 Non-compliance with the eligibility rules on permanent pasture, CY2008 FLAT RATE 25,00 % EUR – 10345263,99 – 51726,32 – 10293537,67 ES Decoupled Direct Aids 2007 Deficiencies in LPIS and permanent pasture, CY 2006 ONE-OFF 0,00 % EUR – 20976,39 0,00 – 20976,39 Decoupled Direct Aids 2008 Deficiencies in LPIS and permanent pasture, CY 2007 ONE-OFF 0,00 % EUR – 1994,65 0,00 – 1994,65 Decoupled Direct Aids 2009 Deficiencies in LPIS and permanent pasture, CY 2008 ONE-OFF 0,00 % EUR – 294932,52 0,00 – 294932,52 ES Cross Compliance 2009 Leniency of the sanctioning system, CY 2008 ONE-OFF 0,00 % EUR – 580604,92 – 479,70 – 580125,22 ES Clearance of Accounts — Conformity Clearance 2011 material error ONE-OFF 0,00 % EUR – 18603,55 0,00 – 18603,55 Total ES: EUR – 27326566,59 – 105260,85 – 27221305,74 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact FR Sugar — Restructuring Fund 2009 Correction due to partial restructuring instead of full restructuring ONE-OFF 0,00 % EUR – 69980526,56 0,00 – 69980526,56 Sugar — Restructuring Fund 2009 Correction due to quota reduction instead of full restructuring ONE-OFF 0,00 % EUR – 8734375,00 0,00 – 8734375,00 Export refunds — Live animals 2010 procedures not compliant with the export refund regulations FLAT RATE 15,00 % EUR – 94156,69 0,00 – 94156,69 Export refunds — Live animals 2011 procedures not compliant with the export refund regulations FLAT RATE 15,00 % EUR – 120146,09 0,00 – 120146,09 Export refunds —Live animals 2012 procedures not compliant with the export refund regulations FLAT RATE 15,00 % EUR – 33062,27 0,00 – 33062,27 FR Other Direct Aid — Bovines 2008 Late notifications of movement ONE-OFF 0,00 % EUR – 39685694,63 – 198428,46 – 39487266,17 Other Direct Aid — Bovines 2009 Late notifications of movement ONE-OFF 0,00 % EUR – 41704273,69 – 208521,38 – 41495752,31 Other Direct Aid — Bovines 2010 Late notifications of movement ONE-OFF 0,00 % EUR – 41590433,76 – 83423,53 – 41507010,23 Other Direct Aid — Bovines 2011 Late notifications of movement ONE-OFF 0,00 % EUR – 300981,50 – 618,22 – 300363,28 Other Direct Aid — Bovines 2012 Late notifications of movement ONE-OFF 0,00 % EUR – 41102,74 0,00 – 41102,74 FR Decoupled Direct Aids 2009 Weaknesses in functioning of GIS, 1st pillar, CY2008 ONE-OFF 0,00 % EUR – 93510754,83 0,00 – 93510754,83 Decoupled Direct Aids 2010 Weaknesses in functioning of GIS, 1st pillar, CY2009 ONE-OFF 0,00 % EUR – 100407258,08 0,00 – 100407258,08 Decoupled Direct Aids 2011 Weaknesses in functioning of GIS, 1st pillar, CY2010 ONE-OFF 0,00 % EUR – 136794783,91 0,00 – 136794783,91 FR Decoupled Direct Aids 2012 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 2,00 % EUR – 137445484,49 – 51680,63 – 137393803,86 Other Direct Aid — Article 68-72 of Reg. 73/2009 2012 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 2,00 % EUR – 4203961,06 0,00 – 4203961,06 Other Direct Aids 2012 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 2,00 % EUR – 1115587,10 0,00 – 1115587,10 Other Direct Aid — Seeds 2012 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 2,00 % EUR – 39946,65 – 608,31 – 39338,34 Decoupled Direct Aids 2012 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 100,00 % EUR – 9630390,11 0,00 – 9630390,11 Other Direct Aid — Article 68-72 of Reg. 73/2009 2012 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 100,00 % EUR – 1576620,23 0,00 – 1576620,23 Other Direct Aids 2012 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 100,00 % EUR – 968446,88 0,01 – 968446,89 Decoupled Direct Aids 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 2,00 % EUR – 37597,17 0,00 – 37597,17 Other Direct Aid — Article 68-72 of Reg. 73/2009 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 2,00 % EUR – 5914,26 0,00 – 5914,26 Other Direct Aids 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 2,00 % EUR 321,53 0,00 321,53 Other Direct Aid — Seeds 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 2,00 % EUR – 1004,56 0,00 – 1004,56 Decoupled Direct Aids 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 100,00 % EUR – 7377,43 0,00 – 7377,43 Other Direct Aid — Article 68-72 of Reg. 73/2009 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 100,00 % EUR – 2858,36 0,00 – 2858,36 Other Direct Aids 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2011 FLAT RATE 100,00 % EUR 105,15 0,00 105,15 Decoupled Direct Aids 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2012 FLAT RATE 2,00 % EUR – 137992099,19 0,00 – 137992099,19 Other Direct Aid — Article 68-72 of Reg. 73/2009 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2012 FLAT RATE 2,00 % EUR – 4605692,86 0,00 – 4605692,86 Other Direct Aids 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2012 FLAT RATE 2,00 % EUR – 581825,97 0,00 – 581825,97 Decoupled Direct Aids 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2012 FLAT RATE 100,00 % EUR – 9587507,15 0,00 – 9587507,15 Other Direct Aid — Article 68-72 of Reg.73/2009 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2012 FLAT RATE 100,00 % EUR – 1648707,28 0,00 – 1648707,28 Other Direct Aids 2013 Weaknesses in LPIS-GIS, 1st pillar, CY2012 FLAT RATE 100,00 % EUR – 930705,93 0,00 – 930705,93 FR Entitlements 2011 Exceeding of the ceiling and incorrect application of the linear reduction ONE-OFF 0,00 % EUR – 51088369,44 0,00 – 51088369,44 Entitlements 2012 Exceeding of the ceiling and incorrect application of the linear reduction ONE-OFF 0,00 % EUR – 89806974,13 0,00 – 89806974,13 Total FR: EUR – 984274193,32 – 543280,52 – 983730912,80 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact HU Sugar — Restructuring Fund 2009 Silos in the premises ONE-OFF 0,00 % EUR – 11709400,00 0,00 – 11709400,00 HU Fruit and Vegetables — Operational Programmes 2009 Deficient checks of eligibility of expenditure declared in aid applications FLAT RATE 5,00 % EUR – 152928,36 0,00 – 152928,36 Fruit and Vegetables — Operational Programmes 2010 Deficient checks of eligibility of expenditure declared in aid applications FLAT RATE 5,00 % EUR – 182798,14 0,00 – 182798,14 Fruit and Vegetables — Operational Programmes 2011 Deficient checks of eligibility of expenditure declared in aid applications FLAT RATE 5,00 % EUR – 121313,14 0,00 – 121313,14 Fruit and Vegetables — Operational Programmes 2012 Deficient checks of eligibility of expenditure declared in aid applications FLAT RATE 5,00 % EUR – 136159,80 0,00 – 136159,80 Fruit and Vegetables — Operational Programmes 2013 Deficient checks of eligibility of expenditure declared in aid applications FLAT RATE 5,00 % EUR – 114906,70 0,00 – 114906,70 Total HU: EUR – 12417506,14 0,00 – 12417506,14 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact IT Sugar — Restructuring Fund 2007 Not correct interpretation of sugar production ONE-OFF 0,00 % EUR – 68011872,95 0,00 – 68011872,95 Sugar — Restructuring Fund 2008 Not correct interpretation of sugar production ONE-OFF 0,00 % EUR – 4083338,77 0,00 – 4083338,77 Sugar — Restructuring Fund 2009 Not correct interpretation of sugar production ONE-OFF 0,00 % EUR – 18403523,44 0,00 – 18403523,44 IT Fruit and Vegetables — Pre-recognised Producer Groups 2007 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 5,00 % EUR – 5442,56 0,00 – 5442,56 Fruit and Vegetables — Citrus Processing 2008 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 5,00 % EUR – 25041,16 0,00 – 25041,16 Fruit and Vegetables — Citrus Processing 2008 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 10,00 % EUR – 1790270,50 0,00 – 1790270,50 Fruit and Vegetables — Citrus Processing 2008 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 15,00 % EUR – 20819,74 0,00 – 20819,74 Fruit and Vegetables — Citrus Processing 2009 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 5,00 % EUR – 13461,76 0,00 – 13461,76 Fruit and Vegetables — Citrus Processing 2009 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 15,00 % EUR – 1177488,95 0,00 – 1177488,95 Fruit and Vegetables — Pre-recognised Producer Groups 2010 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 5,00 % EUR – 9409,76 0,00 – 9409,76 Fruit and Vegetables — Citrus Processing 2010 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 15,00 % EUR 12880,77 0,00 12880,77 Fruit and Vegetables — Pre-recognised Producer Groups 2011 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 5,00 % EUR – 3366,26 0,00 – 3366,26 Fruit and Vegetables — Citrus Processing 2012 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 5,00 % EUR – 1261,24 0,00 – 1261,24 Fruit and Vegetables — Citrus Processing 2012 weaknesses in the control system concerning the citrus processing scheme and preliminary recognition FLAT RATE 15,00 % EUR 427,98 0,00 427,98 IT Fruit and Vegetables — Citrus Processing 2008 Weaknesses in key controls and failure to apply sanctions FLAT RATE 10,00 % EUR – 1767966,48 0,00 – 1767966,48 Fruit and Vegetables — Citrus Processing 2008 Weaknesses in key controls and failure to apply sanctions FLAT RATE 15,00 % EUR – 7653,03 0,00 – 7653,03 Fruit and Vegetables — Citrus Processing 2009 Weaknesses in key controls and failure to apply sanctions FLAT RATE 15,00 % EUR – 275541,07 0,00 – 275541,07 Fruit and Vegetables — Citrus Processing 2010 Weaknesses in key controls and failure to apply sanctions FLAT RATE 15,00 % EUR 3549,05 0,00 3549,05 Fruit and Vegetables — Citrus Processing 2011 Weaknesses in key controls and failure to apply sanctions FLAT RATE 15,00 % EUR 2290,13 0,00 2290,13 IT Promotional Measures 2009 Lack of control FLAT RATE 10,00 % EUR – 173822,13 0,00 – 173822,13 Promotional Measures 2009 Late payments ONE-OFF 0,00 % EUR – 701700,28 0,00 – 701700,28 Promotional Measures 2010 Late payments ONE-OFF 0,00 % EUR – 497130,75 0,00 – 497130,75 Promotional Measures 2008 unauthorised extension of the programme concerning the promotion of dairy products in schools ONE-OFF 0,00 % EUR – 103274,84 – 16388,37 – 86886,47 Promotional Measures 2009 unauthorised extension of the programme concerning the promotion of dairy products in schools ONE-OFF 0,00 % EUR – 258332,75 0,00 – 258332,75 IT Financial audit — Overshooting 2010 exceeding of ceilings ONE-OFF 0,00 % EUR – 9590,84 – 9590,84 0,00 Financial audit — Late payments and payment deadlines 2010 late payments ONE-OFF 0,00 % EUR – 4006192,72 – 4006192,72 0,00 Sugar — Assigned Revenue 2010 sugar temporary restructuring — marketing year 08/09 ONE-OFF 0,00 % EUR – 3821654,32 – 3821654,32 0,00 Milk — Quota 2010 milk levies ONE-OFF 0,00 % EUR 193832,77 193832,77 0,00 Total IT: EUR – 104955175,60 – 7659993,48 – 97295182,12 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact LT Decoupled Direct Aids 2008 shortcomings in LPIS-GIS, CY2007 FLAT RATE 3,00 % EUR – 4381809,55 – 16050,66 – 4365758,89 Decoupled Direct Aids 2009 shortcomings in LPIS-GIS, CY2007 FLAT RATE 3,00 % EUR – 2406,42 – 4,81 – 2401,61 Decoupled Direct Aids 2010 shortcomings in LPIS-GIS, CY2007 FLAT RATE 3,00 % EUR – 336,27 – 0,67 – 335,60 Decoupled Direct Aids 2009 shortcomings in LPIS-GIS, CY2008 FLAT RATE 3,00 % EUR – 5503048,25 – 19432,96 – 5483615,29 Decoupled Direct Aids 2010 shortcomings in LPIS-GIS, CY2008 FLAT RATE 3,00 % EUR – 2777,28 – 5,55 – 2771,73 Decoupled Direct Aids 2011 shortcomings in LPIS-GIS, CY2008 FLAT RATE 3,00 % EUR – 84,89 0,00 – 84,89 Total LT: EUR – 9890462,66 – 35494,65 – 9854968,01 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact RO Decoupled Direct Aids 2010 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR – 60723392,19 – 2629950,76 – 58093441,43 Other Direct Aid — Energy Crops 2010 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR – 185062,92 – 370,13 – 184692,79 Other Direct Aids 2010 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR – 83561,22 – 7140,83 – 76420,39 Decoupled Direct Aids 2011 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 5,00 % EUR – 34885948,11 – 765982,00 – 34119966,11 Other Direct Aids 2011 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 5,00 % EUR – 40279,67 0,00 – 40279,67 Decoupled Direct Aids 2011 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR – 14498,34 – 29,00 – 14469,34 Other Direct Aid — Energy Crops 2011 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR – 23,62 – 0,05 – 23,57 Other Direct Aids 2011 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR 6,62 0,01 6,61 Decoupled Direct Aids 2012 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 5,00 % EUR – 40874,57 0,00 – 40874,57 Decoupled Direct Aids 2012 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR 98628,64 0,00 98628,64 Other Direct Aid — Energy Crops 2012 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR 6,51 0,00 6,51 Total RO: EUR – 95874998,87 – 3403472,76 – 92471526,11

Totals by Budget Item: 6701

Currency Amount Deductions Financial Impact EUR – 1284095228,68 – 11799492,39 – 1272295736,29

Budget Item: 6711

MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact AT Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 Lack of verification of all the parcels for Agri Environment measure during the on-the-spot controls ONE-OFF 0,00 % EUR – 172799,00 0,00 – 172799,00 Total AT: EUR – 172799,00 0,00 – 172799,00 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact BE Cross Compliance 2008 Weaknesses in SMR 7, 11, 16-18, tolerance applied and sampling used for land checks, CY2007 FLAT RATE 5,00 % EUR – 132,46 0,00 – 132,46 Cross Compliance 2009 Weaknesses in SMR 7, 11, 16-18, tolerance applied and sampling used for land checks, CY2007 FLAT RATE 5,00 % EUR – 1653,95 0,00 – 1653,95 Cross Compliance 2010 Weaknesses in SMR 7, 11, 16-18, tolerance applied and sampling used for land checks, CY2007 FLAT RATE 5,00 % EUR – 1,14 0,00 – 1,14 Cross Compliance 2009 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2008 FLAT RATE 2,00 % EUR – 1295,08 0,00 – 1295,08 Cross Compliance 2010 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2008 FLAT RATE 2,00 % EUR – 113,50 0,00 – 113,50 Cross Compliance 2011 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2008 FLAT RATE 2,00 % EUR – 24,08 0,00 – 24,08 Cross Compliance 2010 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2009 FLAT RATE 2,00 % EUR – 3618,32 0,00 – 3618,32 Cross Compliance 2011 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2009 FLAT RATE 2,00 % EUR – 319,78 0,00 – 319,78 Cross Compliance 2011 Weaknesses in SMR 7, 11, 16-18, tolerance applied for SMR4, CY2010 FLAT RATE 2,00 % EUR – 6628,40 0,00 – 6628,40 Total BE: EUR – 13786,71 0,00 – 13786,71 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact BG Rural Development EAFRD Complement to direct payment (2007-2013) 2010 Weaknesses in LPIS and administrative cross-checks, CY 2009 FLAT RATE 2,00 % EUR – 578205,77 0,00 – 578205,77 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 Weaknesses in LPIS and administrative cross-checks, CY 2009 FLAT RATE 5,00 % EUR – 1056462,98 0,00 – 1056462,98 Rural Development EAFRD Complement to direct payment (2007-2013) 2011 Weaknesses in LPIS and administrative cross-checks, CY 2009 FLAT RATE 2,00 % EUR – 2261,71 0,00 – 2261,71 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 Weaknesses in LPIS and administrative cross-checks, CY 2009 FLAT RATE 5,00 % EUR – 26659,78 0,00 – 26659,78 BG Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 Weaknesses in LPIS-GIS, RD area-based measures, CY 2010 FLAT RATE 5,00 % EUR – 1053616,25 0,00 – 1053616,25 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2012 Weaknesses in LPIS-GIS, RD area-based measures, CY 2010 FLAT RATE 5,00 % EUR 27637,25 0,00 27637,25 BG Rural Development EAFRD Axis 1 — Measures with flat rate support (2007-2013) 2009 deficiencies in verification of the compliance with the business plan and in detecting the artificial split of a holding; lack of sanctions FLAT RATE 10,00 % EUR – 1130931,01 0,00 – 1130931,01 Rural Development EAFRD Axis 1 — Measures with flat rate support (2007-2013) 2010 deficiencies in verification of the compliance with the business plan and in detecting the artificial split of a holding; lack of sanctions FLAT RATE 10,00 % EUR – 2900737,58 0,00 – 2900737,58 Rural Development EAFRD Axis 1 — Measures with flat rate support (2007-2013) 2011 deficiencies in verification of the compliance with the business plan and in detecting the artificial split of a holding; lack of sanctions FLAT RATE 10,00 % EUR – 39805,58 0,00 – 39805,58 Rural Development EAFRD Axis 1 — Measures with flat rate support (2007-2013) 2012 deficiencies in verification of the compliance with the business plan and in detecting the artificial split of a holding; lack of sanctions FLAT RATE 10,00 % EUR – 497441,06 0,00 – 497441,06 BG Rural Development EAGGF (2000-2006) — Technical Assistance 2011 non-compliance related to measure 511 ONE-OFF 100,00 % EUR – 151668,00 0,00 – 151668,00 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2010 Several non-compliances related to measures M312 and M322 FLAT RATE 10,00 % EUR – 10606528,94 0,00 – 10606528,94 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2011 Several non-compliances related to measures M312 and M322 FLAT RATE 10,00 % EUR – 4401144,55 0,00 – 4401144,55 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2012 Several non-compliances related to measures M312 and M322 FLAT RATE 10,00 % EUR – 4378829,25 0,00 – 4378829,25 BG Rural Development EAFRD Technical Assistance (2007-2013) 2011 Double charging of meeting costs ONE-OFF 0,00 % EUR – 924,76 0,00 – 924,76 Rural Development EAFRD Axis 1 — Measures with flat rate support (2007-2013) 2010 Not enough checks on eligibility of the beneficiaries FLAT RATE 10,00 % EUR – 85150,30 0,00 – 85150,30 Rural Development EAFRD Axis 1 — Measures with flat rate support (2007-2013) 2011 Not enough checks on eligibility of the beneficiaries FLAT RATE 10,00 % EUR – 284234,10 0,00 – 284234,10 Rural Development EAFRD Axis 1 — Measures with flat rate support (2007-2013) 2012 Not enough checks on eligibility of the beneficiaries FLAT RATE 10,00 % EUR – 639466,76 0,00 – 639466,76 Rural Development EAFRD Axis 1 — Measures with flat rate support (2007-2013) 2013 Not enough checks on eligibility of the beneficiaries FLAT RATE 10,00 % EUR – 580221,14 0,00 – 580221,14 Rural Development EAFRD Technical Assistance (2007-2013) 2010 Not sufficient verification of the reasonableness of the costs FLAT RATE 5,00 % EUR – 648,51 0,00 – 648,51 Rural Development EAFRD Technical Assistance (2007-2013) 2011 Not sufficient verification of the reasonableness of the costs FLAT RATE 5,00 % EUR – 4495,26 0,00 – 4495,26 Rural Development EAFRD Technical Assistance (2007-2013) 2012 Not sufficient verification of the reasonableness of the costs FLAT RATE 5,00 % EUR – 5406,06 0,00 – 5406,06 Total BG: EUR – 28397202,10 0,00 – 28397202,10 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact DE Cross Compliance 2009 Weaknesses in the control of SMR7, CY 2008 FLAT RATE 2,00 % EUR – 330782,29 0,00 – 330782,29 Cross Compliance 2010 Weaknesses in the control of SMR7, CY 2009 FLAT RATE 2,00 % EUR – 322006,97 0,00 – 322006,97 Cross Compliance 2011 Weaknesses in the control of SMR7, CY 2010 FLAT RATE 2,00 % EUR – 351121,54 0,00 – 351121,54 Total DE: EUR – 1003910,80 0,00 – 1003910,80 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact EE Cross Compliance 2010 1 GAEC not defined, limited control on SMR1 and 5, inadequate control of two SMR4 requirements, CY2009 FLAT RATE 2,00 % EUR – 86527,00 0,00 – 86527,00 Cross Compliance 2011 1 GAEC not defined, limited control on SMR1 and 5, inadequate control of two SMR4 requirements, CY2009 FLAT RATE 2,00 % EUR 456,86 0,00 456,86 Cross Compliance 2012 1 GAEC not defined, limited control on SMR1 and 5, inadequate control of two SMR4 requirements, CY2009 FLAT RATE 2,00 % EUR 603,29 0,00 603,29 Cross Compliance 2012 Limited control on SMR1 and 5, inadequate control of one SMR4 requirements, CY2011 FLAT RATE 2,00 % EUR – 90866,75 0,00 – 90866,75 Cross Compliance 2011 Limited control on SMR1 and 5, inadequate control of two SMR4 requirements, no respect of the seven days' deadline for notification, CY2010 FLAT RATE 2,00 % EUR – 89214,59 0,00 – 89214,59 Cross Compliance 2012 Limited control on SMR1 and 5, inadequate control of two SMR4 requirements, no respect of the seven days' deadline for notification, CY2010 FLAT RATE 2,00 % EUR 455,76 0,00 455,76 Total EE: EUR – 265092,43 0,00 – 265092,43 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact ES Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 Weaknesses in on-the-spot controls FLAT RATE 2,00 % EUR – 1479,90 0,00 – 1479,90 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 Weaknesses in on-the-spot controls FLAT RATE 5,00 % EUR – 978849,95 0,00 – 978849,95 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 Weaknesses in on-the-spot controls ONE-OFF 100,00 % EUR – 12597,37 0,00 – 12597,37 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 Weaknesses in on-the-spot controls FLAT RATE 2,00 % EUR – 1720,85 0,00 – 1720,85 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 Weaknesses in on-the-spot controls FLAT RATE 5,00 % EUR – 1096710,18 0,00 – 1096710,18 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 Weaknesses in on-the-spot controls ONE-OFF 100,00 % EUR – 32261,41 0,00 – 32261,41 ES Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 On-the-spot control weaknesses FLAT RATE 2,00 % EUR – 22983,32 0,00 – 22983,32 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 On-the-spot control weaknesses FLAT RATE 5,00 % EUR – 451758,84 0,00 – 451758,84 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2012 On-the-spot control weaknesses FLAT RATE 2,00 % EUR 3,22 0,00 3,22 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2012 On-the-spot control weaknesses FLAT RATE 5,00 % EUR 268,60 0,00 268,60 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2013 On-the-spot control weaknesses FLAT RATE 2,00 % EUR – 21372,70 0,00 – 21372,70 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2013 On-the-spot control weaknesses FLAT RATE 5,00 % EUR – 601583,12 0,00 – 601583,12 Total ES: EUR – 3221045,82 0,00 – 3221045,82 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact FR Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2009 Weaknesses in functioning of GIS, 2nd pillar, CY2008 ONE-OFF 0,00 % EUR – 14456604,50 0,00 – 14456604,50 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 Weaknesses in functioning of GIS, 2nd pillar, CY2009 ONE-OFF 0,00 % EUR – 16193248,79 – 14486350,16 – 1706898,63 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 Weaknesses in functioning of GIS, 2nd pillar, CY2010 ONE-OFF 0,00 % EUR – 19491684,44 0,00 – 19491684,44 FR Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 Weaknesses in LPIS-GIS, 2nd pillar, CY2011 FLAT RATE 2,00 % EUR – 7299553,84 – 6146925,42 – 1152628,42 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2012 Weaknesses in LPIS-GIS, 2nd pillar, CY2011 FLAT RATE 2,00 % EUR – 6946695,98 – 62851,32 – 6883844,66 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2013 Weaknesses in LPIS-GIS, 2nd pillar, CY2011 FLAT RATE 2,00 % EUR – 20046,89 0,00 – 20046,89 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2012 Weaknesses in LPIS-GIS, 2nd pillar, CY2012 FLAT RATE 2,00 % EUR – 4455428,10 – 11315,10 – 4444113,00 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2013 Weaknesses in LPIS-GIS, 2nd pillar, CY2012 FLAT RATE 2,00 % EUR – 6185646,07 0,00 – 6185646,07 FR Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2012 Checks on subsidised loans not efficient enough (destroyed files) EXTRAPOLATED 2,50 % EUR – 450688,26 0,00 – 450688,26 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2013 Checks on subsidised loans not efficient enough (destroyed files) EXTRAPOLATED 2,50 % EUR – 450688,26 0,00 – 450688,26 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2010 Checks on subsidised loans not efficient enough (too late audits at banks) FLAT RATE 5,00 % EUR – 200489,14 0,00 – 200489,14 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2011 Checks on subsidised loans not efficient enough (too late audits at banks) FLAT RATE 5,00 % EUR – 67364,26 0,00 – 67364,26 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2012 Checks on subsidised loans not efficient enough (too late audits at banks) FLAT RATE 5,00 % EUR – 283029,20 0,00 – 283029,20 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2013 Checks on subsidised loans not efficient enough (too late audits at banks) FLAT RATE 5,00 % EUR – 97146,22 0,00 – 97146,22 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2010 Checks on subsidised loans not efficient enough (incorrect database) EXTRAPOLATED 3,50 % EUR – 941086,34 0,00 – 941086,34 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2011 Checks on subsidised loans not efficient enough (incorrect database) EXTRAPOLATED 3,50 % EUR – 496893,06 0,00 – 496893,06 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2012 Checks on subsidised loans not efficient enough (incorrect database) EXTRAPOLATED 3,50 % EUR – 463037,93 0,00 – 463037,93 Rural Development EAFRD Axis 1+3 — Investment orientated measures (2007-2013) 2013 Checks on subsidised loans not efficient enough (incorrect database) EXTRAPOLATED 3,50 % EUR – 711789,53 0,00 – 711789,53 FR Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 lack of procedure to increase on-the-spot checks in case of significant irregularities FLAT RATE 2,00 % EUR – 1593202,58 – 338,82 – 1592863,76 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 lack of procedure to increase on-the-spot checks in case of significant irregularities FLAT RATE 5,00 % EUR – 22599169,32 – 14045,11 – 22585124,21 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 lack of procedure to increase on-the-spot checks in case of significant irregularities FLAT RATE 2,00 % EUR – 2086278,69 – 66,59 – 2086212,10 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 lack of procedure to increase on-the-spot checks in case of significant irregularities FLAT RATE 5,00 % EUR – 8979022,05 – 3,78 – 8979018,27 FR Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 lack of verification of the livestock density calculation during the on-the-spot controls FLAT RATE 5,00 % EUR – 208364,56 0,00 – 208364,56 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 lack of verification of the livestock density calculation during the on-the-spot controls FLAT RATE 5,00 % EUR – 140966,63 0,00 – 140966,63 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2012 lack of verification of the livestock density calculation during the on-the-spot controls FLAT RATE 5,00 % EUR – 395152,92 0,00 – 395152,92 Total FR: EUR – 115213277,56 – 20721896,30 – 94491381,26 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact LT Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2008 shortcomings in LPIS-GIS, CY2007 FLAT RATE 3,00 % EUR – 1478818,01 – 200608,66 – 1278209,35 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2009 shortcomings in LPIS-GIS, CY2007 FLAT RATE 3,00 % EUR – 347,40 0,00 – 347,40 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 shortcomings in LPIS-GIS, CY2007 FLAT RATE 3,00 % EUR 4533,21 0,00 4533,21 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2009 shortcomings in LPIS-GIS, CY2008 FLAT RATE 3,00 % EUR – 2290292,11 – 1030733,22 – 1259558,89 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 shortcomings in LPIS-GIS, CY2008 FLAT RATE 3,00 % EUR – 1145968,82 – 1143299,68 – 2669,14 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 shortcomings in LPIS-GIS, CY2008 FLAT RATE 3,00 % EUR 1519,76 0,00 1519,76 Total LT: EUR – 4909373,37 – 2374641,56 – 2534731,81 MS Measure FY Reason Type Correction % Currency Amount Deductions Financial Impact RO Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2010 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR – 22850154,78 – 6418693,16 – 16431461,62 Rural Development EAFRD Complement to direct payment (2007-2013) 2010 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR – 8507107,30 – 1459929,21 – 7047178,09 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 5,00 % EUR – 13471514,97 – 2311644,65 – 11159870,32 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2011 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR – 129773,68 481,74 – 130255,42 Rural Development EAFRD Complement to direct payment (2007-2013) 2011 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR 10435,76 0,00 10435,76 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2012 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 5,00 % EUR – 1924121,26 – 330203,99 – 1593917,27 Rural Development EAFRD Axis 2 (2007-2013, area-related measures) 2012 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR 394552,63 0,00 394552,63 Rural Development EAFRD Complement to direct payment (2007-2013) 2012 Weaknesses in the administrative cross-checks and on-the-spot checks FLAT RATE 10,00 % EUR 60445,30 0,00 60445,30 Total RO: EUR – 46417238,30 – 10519989,27 – 35897249,03

Totals by Budget Item: 6711

Currency Amount Deductions Financial Impact EUR – 199613726,09 – 33616527,13 – 165997198,96

Versions

1. 2015-01-16

Cited by

• Judgment of the General Court of 20 October 2016 — Czech Republic v Commission (Case T-141/15) Notice · Grade B

  (EAGF and EAFRDExpenditure excluded from financingProtection of vineyardsExpenditure incurred by the Czech RepublicLegal certaintyLegitimate expectations)2016/C 454/42Language of the case: Czech Applicant: Czech Republic (represented by: M. Smolek, J. Očková, J. Vláčil and L. Březinová, acting as Agents) Defendant: European Commission (represented by: B. Eggers and P. Ondrůšek, acting as Agents) Application under Article 263 TFEU for the annulment of Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Mem

• Action brought on 29 March 2015 — Romania v European Commission (Case T-145/15) Notice · Grade B

  Partial annulment of Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF) and under the European Agricultural Fund for Rural Development (EAFRD);

• Action brought on 29 March 2015 — Romania v European Commission (Case T-145/15) Notice · Grade B

  By applying the flat rate corrections set out in Implementing Decision (EU) 2015/103, the Commission infringed Article 52 of Regulation (EU) 1306/2013 of 17 December 2013 on the financing, management and monitoring of the common agricultural policy and repealing Council Regulations (EEC) No 352/78, (EC) No 165/94, (EC) No 2799/98, (EC) No 814/2000, (EC) No 1290/2005 and (EC) No 485/2008 and the Commission Guidelines for applying financial corrections set out in Commission Document No VI/5330/97 of 23 December 1997 entitled Guidelines for the calculation of financial consequences when preparing

• Action brought on 29 March 2015 — Romania v European Commission (Case T-145/15) Notice · Grade B

  Implementing Decision (EU) 2015/103 was not supported by sufficient reasons since when adopting that decision, the Commission did not give sufficient reasons for choosing to apply a flat rate calculation to the irregularities found in the audits, and has failed adequately to justify why the arguments raised by Romania regarding the possibility of applying of a calculated correction cannot be accepted and taken into consideration in establishing the final adjustment.

• Judgment of the General Court (Fourth Chamber) of 12 March 2019 –France v Commission (Case T‑156/15) Judgment · Grade B

  Re: Application pursuant to Article 263 TFEU seeking the partial annulment of Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF) and under the European Agricultural Fund for Rural Development (EAFRD) (OJ 2015 L 16, p. 33). Operative part The Court:

• Judgment of the General Court (Fourth Chamber) of 12 March 2019 –France v Commission (Case T‑156/15) Judgment · Grade B

  Annuls Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF) and under the European Agricultural Fund for Rural Development (EAFRD) in so far as it excludes from European Union financing all the expenditure incurred by the French Republic in Upper Corsica in respect of first pillar area-related direct aid relating to the 2010 and 2011 claim years;

• Judgment of the Court (Third Chamber) of 6 September 2018 — Czech Republic v European Commission (Case C-4/17 P) Notice · Grade B

  Annuls Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF) and under the European Agricultural Fund for Rural Development (EAFRD), in so far as it excludes expenditure by the Czech Republic under the EAGF on the measure to protect vineyards against damage caused by animals and birds for 2010 to 2012 in the total amount of EUR 2123199,04;

• Judgment of the General Court of 12 March 2019 — Hungary v Commission (Case T-139/15) Notice · Grade B

  EAGGFGuarantee SectionEAGFSugarTemporary scheme for the restructuring of the sugar industry in the European CommunityRegulation (EC) No 320/2006Regulation (EC) No 968/2006Expenditure excluded from financingExpenditure incurred by HungaryConditions for the grant of aid for full dismantling and aid for partial dismantlingConcept of production facilitiesAssessment of the use of silos on the date of submission of the application for aidConcept of full dismantlingAnnex 2 to document VI/5330/97Difficulties in the interpretation of EU legislationCooperation in good faith2019/C 148/38Language of the c

• Appeal brought on 17 May 2019 by the Italian Republic against the judgment of the General Court (Fourth Chamber) delivered on 12 March 2019 in Case T-135/15 Italy v Commission (Case C-390/19 P) Notice · Grade B

  set aside, in so far as it is the subject matter of the present appeal, the judgment of the General Court of the European Union of 12 March 2019, Case T-135/15, Italy v Commission, notified on 13 March 2019, dismissing the action brought under Article 263 of the Treaty on the Functioning of the European Union by the Italian Republic against Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF) and under the European Agricultural Fund for Ru

• Appeal brought on 4 January 2017 by the Czech Republic against the judgment of the General Court (Fifth Chamber) delivered on 20 October 2016 in Case T-141/15 Czech Republic v Commission (Case C-4/17 P) Notice · Grade B

  2017/C 063/27Language of the case: Czech Appellant: Czech Republic (represented by: M. Smolek, J. Vláčil and J. Pavliš, Agents) Other party to the proceedings: European Commission Appeal against the judgment of the General Court of the European Union of 20 October 2016 in Case T-141/15 Czech Republic v Commission (the judgment under appeal) in which the Czech Republic sought annulment of Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF)

• Judgment of the General Court (Sixth Chamber) 1 February 2018 Judgment · Grade B

  Three different investigations, which led to three different financial correction decisions, took place in the present case: investigation RDG/2008/010/FR, concerning the years 2007 and 2008, which led to the adoption of Implementing Decision 2013/123 on 26 February 2013; investigation RD 2/2011/003/FR, concerning the years 2009 and 2010, which led to the adoption of Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the EAGF and the EAFRD (OJ 2015 L 16, p. 33); investigation RD 2/201

• Judgment of the General Court (Sixth Chamber) 1 February 2018 Judgment · Grade B

  On 22 June 2015, the date of the contested decision, the Commission had already adopted two decisions, namely, Decision 2013/123, on 26 February 2013, and Decision 2015/103, on 16 January 2015. Moreover, according to the contested decision, the same weakness already identified in the first decision continues for a period subsequent to the period to which the correction relates, namely the period covering the years 2007 and 2008. That weakness was also detected for the years 2009 to 2013.

• Judgment of the General Court of 20 July 2017 — Spain v Commission (Case T-143/15) Notice · Grade B

  (EAGF and EAFRDExpenditure excluded from financingExpenditure incurred by SpainDecoupled direct aid in the claim years 2008 and 2009Failings in the control systemAssessment of control samplesBurden of proofAid for rural development in the Autonomous Community of Castilla y León in the claim years 2009 and 2010On-the-spot checksKey controlsProportionality)2017/C 293/33Language of the case: Spanish Applicant: Kingdom of Spain (represented by: M. Sampol Pucurull and M.J. García-Valdecasas Dorrego, acting as Agents) Defendant: European Commission (represented by: D. Triantafyllou and I. Galindo Ma

• Judgment of the General Court of 20 July 2017 — Spain v Commission (Case T-143/15) Notice · Grade B

  Annuls Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF) and under the European Agricultural Fund for Rural Development (EAFRD) in so far as it concerns the financial correction imposed on the Kingdom of Spain following inquiry AA/2009/007/ES for the claim year 2009;

• Judgment of the General Court of 12 March 2019 — Italy v Commission (Case T-135/15) Notice · Grade B

  EAGFExpenses excluded from financingExpenditure incurred by ItalyTemporary scheme for the restructuring of the sugar industryRegulation (EC) No 320/2006Regulation(EC) No 968/2006Regulation (EC) No 1290/2005Time limit of 24 monthsConcept of multiannual measureConditions for granting restructuring aidConcept of production facilityClassification of silosConcept ofcomplete dismantlingAnnex 2 to Document VI/5330/97Problems in interpreting EU legislationCooperation in good faithLegitimate expectationsNe bis in idemSlaughter premiumsInformation and promotion campaigns for agricultural productsLate pa

• Opinion of Advocate General Kokott delivered on 12 April 2018 Case C‑4/17 P Czech Republic v European Commission Opinion · Grade B

  Finally, the Commission adopted, on the basis of Article 52 of Regulation No 1306/2013, Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF) and the European Agricultural Fund for Rural Development (EAFRD) (the contested implementing decision).

• Opinion of Advocate General Kokott delivered on 12 April 2018 Case C‑4/17 P Czech Republic v European Commission Opinion · Grade B

  Annul Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF) and under the European Agricultural Fund for Rural Development (EAFRD), in so far as it excludes expenditure incurred by the Czech Republic totalling EUR 2123 199.04;

• Judgment of the General Court (Seventh Chamber) 16 February 2017 Judgment · Grade B

  In Case T‑145/15, Romania, represented initially by R.-H Radu, V. Angelescu, R. Mangu, D. Bulancea, N. Horumbă, E. Mierlea and T. Crainic, and subsequently by R. Radu, V. Angelescu, R. Mangu, N. Horumbă, E. Mierlea and T. Crainic, acting as Agents, applicant,v European Commission, represented by A. Biolan and G. von Rintelen, acting as Agents, defendant, ACTION on the basis of Article 263 TFEU seeking the annulment in part of Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the Euro

• Judgment of the General Court (Seventh Chamber) 16 February 2017 Judgment · Grade B

  By Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF) and under the European Agricultural Fund for Rural Development (EAFRD) (OJ 2015 L 16, p. 33; the contested decision), the Commission excluded certain expenditure incurred by Romania, declared in respect of financial years 2009 and 2010, as expenditure excluded from EU financing.

• Judgment of the General Court (Seventh Chamber) 16 February 2017 Judgment · Grade B

  Annuls Commission Implementing Decision (EU) 2015/103 of 16 January 2015 excluding from European Union financing certain expenditure incurred by the Member States under the European Agricultural Guarantee Fund (EAGF) and under the European Agricultural Fund for Rural Development (EAFRD) in so far as it concerns Romania;