LUXEMBOURG (dpa-AFX) – From the perspective of the European Court of Auditors, an inefficient exchange of information between EU authorities makes the fight against fraud with EU funds more difficult. In a special report, the auditors in Luxembourg criticize the reporting system of suspected cases to the anti-fraud authority Olaf and the European Public Prosecutor’s Office (EPPO). The two authorities are responsible for protecting the EU’s financial interests. The Court of Auditors is calling for a new system to simplify investigations and minimize administrative burdens.
“The existing requirements for reporting suspected cases of fraud can lead to suspected cases being reported twice,” states the Court of Auditors. According to the report, a total of 27,000 reports were received between 2022 and 2024. There should be clear rules as to who the cases should be reported to. The Court of Auditors recommends that all information received be forwarded to a central archive.
Currently, information can end up with both the EUPO (EPPO in English) and Olaf. Both bodies check whether they are responsible when they receive a report. The EPPO carries out criminal investigations, while Olaf examines the administrative side.
Court of Auditors: EU Commission needs more overview
The report also criticizes the fact that the system does not ensure that all reports of suspected criminal activity are actually received by the EPPO. The procedures for referring cases from Olaf to the EPPO are cumbersome and the exchange of information is limited.
Another weak point is that the EU Commission does not track the results of fraud investigations well enough, the auditors complained. In 2024, courts ordered national authorities to confiscate illegal proceeds amounting to 232 million euros. The amount refers not only to the damage to the EU budget, but to all the damage caused by the crimes.
“The Commission does not know whether all the money due to the EU budget will be paid back,” said Katarina Kaszasova from the Court of Auditors. The EU Commission is currently in the process of reviewing the anti-fraud system. It accepted the recommendations in the special report./vni/DP/zb