Call for independent probes into alleged fraud by EU officials

Date: 03/09/1998

By Simon Coss

ALLEGED cases of corruption by EU officials should be investigated by a fully independent body and not by the European Commission's in-house anti-fraud unit, says one of the European Parliament's leading anti-fraud campaigners.

Edward McMillan-Scott, leader of the British Conservatives in the Parliament, argues that any system which relies on EU officials investigating their colleagues is fundamentally flawed.

At present, investigations into fraud by fonctionnaires are coordinated by the Commission's Unité de Coordination de la Lutte Anti-Fraude (UCLAF). “Instead of reacting openly to allegations of wrongdoing, the Commission - aided and abetted by UCLAF officials whose careers rely on EU promotions - wants to protect its image and diplomatic status,” claimed McMillan-Scott.

He argues that the only way to remedy such shortcomings is to set up an independent anti-fraud office. “Neither UCLAF nor any other in-house Brussels team should get any more power. Instead, we must have a truly independent body, possibly answerable to the European Parliament and able to expose fraud and bring culprits to justice,” he said.

McMillan-Scott was one of the key figures involved in uncovering serious malpractice in the Commission's tourism unit in 1990. That case is still under investigation by the authorities in Belgium and Greece, and he argues that the Commission seemed unwilling to lift the diplomatic immunity of certain staff. Immunity for three former officials and a serving official was finally lifted between November 1997 and March 1998.

McMillan-Scott is not alone in claiming that the Commission's in-house anti-fraud procedures are not up to scratch. A report published shortly before the summer break by the EU's financial watchdog, the Court of Auditors, also called for improvements.

The Court's report revealed a series of shortcomings in the way UCLAF operates, criticising in particular the lack of standard methods for documenting cases and suggesting that the department's databases do not seem to function properly.

On the question of cooperating with national fraud offices, the report noted that there was an “exaggerated hesitation to lift the immunity of European Union staff suspected of corruption”.

The Commission has admitted that its approach to tackling fraud could be improved. In a comprehensive 22-page report on the tourism case, published at the end of July and addressed to the Parliament and Court of Auditors, the institution said its procedures had been tightened up since 1990. But, it conceded: “The process of administrative reform is an ongoing one which will take several more years.”

However, it seems unlikely that the Commission will agree with McMillan-Scott's calls for an independent body to replace UCLAF. The anti-fraud unit has just had its powers increased with the appointment of new staff and greater autonomy for its director.