Brussels, 15/03/2006 (Agence Europe) - On 14 March, the Ecofin Council, by a qualified majority, adopted conclusions in which it recommended the European Parliament to give a discharge to the European Commission in respect of the implementation of the budget of the European Communities for the financial year 2004. It regretted however that the Court of Auditors was still unable, for the eleventh consecutive year, to give a Statement of Assurance (DAS) for a large part of the transactions. The European Parliament is expected to come to a decision on the discharge at its plenary session in Brussels on 26 and 27 April.
The Council noted “with satisfaction” that the Court had been able to identify progress regarding the supervisory and control systems relating to pre-accession strategy and to parts of the Common Agricultural Policy (CAP). It welcomed the Court's statement that the integrated administration and control systems (IACS), covering 59% of CAP expenditure and around 25 billion euro, was an effective control system limiting the risk of irregular expenditure, if properly applied.
In its conclusions, the Council pointed out that it was important to continue to improve financial management and to have controls working correctly and effectively so that for all transactions underlying the EU accounts a DAS should be obtained in the medium term. It insisted on the need to continue working towards the achievement of an effective integrated internal control framework. Member States recognised that the introduction by the Commission in January 2005 of the full accrual-based accounting system gave an “encouraging signal” on enhanced financial management of Community funds. It expected the Commission to complete the reform by establishing the opening balances for the preparation of the 2005 annual accounts and thus ensuring the accuracy of accounting information.