EU budget for 2004: first budget for the enlarged Union

(2) In order to guarantee a certain degree of consistency in these rules compared with Regulation (EC, Euratom) No 1605/2002 (hereinafter "the general Financial Regulation") and pursuant to Article 185(1) of that Regulation, this framework Financial Regulation must lay down the rules governing the establishment, implementation and scrutiny of the budget of the said Community bodies which actually receive grants charged to the Community budget (hereinafter "Community bodies").

Agreement on the outstanding financial issues does not rule out the need to think about the Community budget. Or to consider whether it is transparent, easy to understand and capable of meeting the new challenges facing us.

We have a sound financial basis for Community policies over the next year," said Michaele Schreyer, Commissioner for the Budget. She was particularly pleased with the overwhelming majority which the EU budget received in Parliament.

On the income side, fraud amounts to in the region of 735 million Ecu (in the area of Traditional Own resources), that is 3,6 percent of the income collectable under this heading in 1995. Globally and schematically, it is possible to point out that fraud on the Community budget cases known, recognised , that is to say prosecuted or under investigation , do not go beyond 1,4 percent of the Community budget. There are irregularities and fraud in all sectors of the Community budget. Half of the cases are found within the agricultural funds, which also represents half of the Community budget. 1 853 cases (1 636) amounting to 316 million ecu ...[+++](489) were detected last year.

Speaking today at a seminar on the legal protection of the Community's financial interests, Mr Peter M. Schmidhuber, Member of the Commission responsible for the budget and financial control, stated that merely broadening the Commission's supervisory powers would not afford adequate protection against frauds committed at the expense of the Community budget.