Winding- -up of the assistance up of the assistance Winding 16 - - PDF document

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MONITORING COMMITTEE MONITORING COMMITTEE – – SINGLE PROGRAMMING DOCUMENT 2004 SINGLE PROGRAMMING DOCUMENT 2004-

• 2006

2006

Structural Funds Programme for Malta 2004-2006 Event co-financed by the European Union European Regional Development Fund Co-financing rate: 75% EU Funds, 25% Government of Malta

Winding Winding-

• up of the assistance

up of the assistance

16 October 2008 16 October 2008

Legal requirements for winding Legal requirements for winding-

• up

up

“Member States shall present to the Commission, when each assistance is wound up, a declaration drawn up by a person or department having a function independent of the designated MA….”

(Article 38 (1) (f) of Council Regulation 1260/1999)

The Internal Audit and Investigations Directorate The Internal Audit and Investigations Directorate (IAID), OPM was appointed as the independent (IAID), OPM was appointed as the independent winding winding-

• up body.

up body.

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Units of the Internal Audit and Investigations Directorate (IAID)

• 1. Structural and Cohesion Funds' Audits Unit
• 2. Audits of Agriculture, Fisheries and other

EU and Bilateral Funds

• 3. Financial Investigations and OLAF Related

Matters Unit

• 4. Internal Audit Unit
• 5. Internal Control Unit

Closure Documents Closure Documents

Winding-up Declaration (Internal Audit

(Internal Audit and Investigations Directorate); and Investigations Directorate);

Final statement of expenditure (EU Paying

(EU Paying Authority); Authority); and and

Final Implementation Report (Managing

(Managing Authority). Authority).

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Closure Documents Closure Documents -

• Deadlines

Deadlines

Final Date of Eligibility of expenditure is

31 December 2008; 31 December 2008;

The deadline for submission of the three

closure documents is 15 months after the final date of eligibility (i.e. 31 March 2010). 31 March 2010). Basis of Winding Basis of Winding-

• Up Declaration

Up Declaration

Summarisation of the conclusions of the

checks carried out in the previous years; and

Assessment of the validity of the final

certificate of expenditure.

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• Validation of final claims

Validation of final claims to confirm that all regulatory requirements are met;

Examination of the debtors

debtors’ ’ ledger ledger maintained by the EU Paying Authority under Article 8 of Regulation 438/2001;

Continued>

Work to be carried out by IAID Work to be carried out by IAID

Review of all system audit reports

system audit reports and reports on sample checks sample checks on expenditure under Article 10 of Regulation 438/2001 and follow- up….. (carried out by IAID IAID itself or under its responsibility); {sample checks sample checks - spread evenly throughout the period;

• mix of types and sizes; and
• main final beneficiaries and Intermediate

Bodies audited at least once.}

Review of audits

audits by other national, Community bodies and the

• ther national, Community bodies and the

European Court of Auditors European Court of Auditors (if any); and

Review of irregularity reports

irregularity reports and related actions related actions.

Work to be carried out by IAID Work to be carried out by IAID

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POSSIBLE CONCLUSION: POSSIBLE CONCLUSION:

• A. Unqualified opinion:
• A. Unqualified opinion:

no obstacles encountered frequency of errors low all problems satisfactorily dealt with

Continued>

Model Winding Model Winding-

• Up Declaration

Up Declaration

POSSIBLE CONCLUSION: POSSIBLE CONCLUSION:

• B. Qualified opinion
• B. Qualified opinion (“except for”):

certain obstacles encountered frequency of errors is not high some problems not satisfactorily dealt with

Repercussions Repercussions: The Commission will be unable to pay the : The Commission will be unable to pay the final balance until the irregular expenditure is quantified final balance until the irregular expenditure is quantified and deducted from the final balance and deducted from the final balance

Model Winding Model Winding-

• Up Declaration

Up Declaration

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POSSIBLE CONCLUSION: POSSIBLE CONCLUSION:

• C. Disclaimer
• C. Disclaimer (cannot give an opinion):

major obstacles frequency of errors is high

(even if errors/irregularities satisfactorily dealt with) Repercussions Repercussions: The Commission will be unable to pay the : The Commission will be unable to pay the final balance and may ask the MS to carry out additional final balance and may ask the MS to carry out additional checks until the irregular expenditure is quantified and checks until the irregular expenditure is quantified and deducted from the final balance deducted from the final balance

Model Winding Model Winding-

• Up Declaration

Up Declaration Winding Winding-

• up report

up report The winding-up declaration shall be accompanied by a report including:

All relevant information to justify the

declaration; and

A summary of the findings of all checks carried

• ut by national or Community bodies.

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Closure Committee Closure Committee

Set up in May 2007 to prepare for the closure in a co-

• rdinated and smooth manner;

It is chaired by IAID and includes representatives from

the MA and PA as members;

Already set tentative deadlines for the preparation of the

final statements of expenditure to allow sufficient time for the carrying out of the final sample checks and work related to winding-up by IAID.

Review of the work of IAID by the Commission Review of the work of IAID by the Commission Auditors Auditors

A review of the work of IAID as the audit body

and the winding-up body was carried out by auditors from DG Regional Policy in November 2007.

The auditors gave a positive assurance that “

“the the procedures set up and the work carried out by the procedures set up and the work carried out by the winding winding-

• up body are compliant with the

up body are compliant with the requirements of Reg. 438/2001. requirements of Reg. 438/2001.” ”

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Structural Funds Programme for Malta 2004-2006 Event co-financed by the European Union European Regional Development Fund Co-financing rate: 75% EU Funds, 25% Government of Malta

Thank you for your Thank you for your attention attention