rec_28

(28) Regulation (EC) No 1290/2005 provides for reductions and suspensions of monthly or interim payments for the Funds. Despite the rather broad wording of those provisions, in practice they are used essentially to reduce payments for non-compliance with payment deadlines, ceilings and similar "accounting issues" which can readily be detected in the declarations of expenditure. Those provisions also allow reductions and suspensions in case of serious and persistent deficiencies in national control systems. The imposition of such reductions and suspensions are, however, made subject to rather restrictive substantive conditions for doing so and providing for a special, two-step procedure to be followed. The European Parliament and the Council have repeatedly asked the Commission to suspend payments to non-compliant Member States. For these reasons, it is necessary to clarify the system provided for in Regulation (EC) No 1290/2005 for reductions and suspensions and to merge the rules on reductions and suspensions for both the Funds into one single Article. The system of reductions for "accounting issues" should be maintained in line with the existing administrative practice. The possibility of reducing or suspending payments where there are significant and persistent deficiencies in national control systems should be reinforced in order to provide the Commission with the possibility of suspending payments rapidly when serious deficiencies are detected. That possibility should also be extended to include negligence in the system for recovery of irregular payments.

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Source: EUR-Lex (Cellar) · retrieved 2026-11-08 · Text as adopted (Official Journal); later amendments are not incorporated in this text.