EU BUDGET: COMMISSION URGES COURT OF AUDITORS TO CHANGE PROCEDURES.
The Dutch representative pointed out that, in the Netherlands, the Ministries' internal auditing services followed the same procedures as the national Court of Auditors, permitting more appropriate and effective controls. The Commission highlighted the fact that under the Dutch system a substantial error in accounts is translated into an actual loss of resources from the country's Budget. The same is not true of the Court of Auditors' remarks regarding the Community Budget. In its report on 1997 accounts, the Court refused for the fourth consecutive year to endorse a Statement of Assurance (SA). The Commission points out that owing to the European Court of Auditors' sampling methods, a limited number of cases are able to have a significant impact on the estimated level of error. Of 73 substantial errors recorded in the1997 SA (from a sample of about 400), 28 were challenged by the Member States, and only a quarter were recognised by the Commission and the national governments. The Member States recognise only half of the rate of...
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