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DRAFT REPORT (2023/2139(DEC))

On discharge in respect of the implementation of the budget of the European Public Prosecutor’s Office for the financial year 2022

CONT-PR-753489

Committee on Budgetary Control · Rapporteur: Luke Ming Flanagan

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This draft report by the Committee on Budgetary Control concerns discharge for the European Public Prosecutor's Office (EPPO) budget for 2022. It proposes to grant discharge and close the accounts, and sets out observations on budget management, staff, ethics, digitalisation, buildings, cooperation and Ukraine. It welcomes the Court of Auditors' positive opinion on the EPPO's accounts and the legality and regularity of revenue and payments. It notes the EPPO's budget implementation, the return of EUR 5.9 million, and the increase in operational expenditure, staff and cases. It calls for adequate resources, a mid-term budgetary review, adaptation of the Financial Regulation, and support for the EPPO's digital autonomy and security. It addresses staff well-being, ethics, transparency, cooperation with Member States and other bodies, and the effect of Russia's war against Ukraine.

Committee position. The rapporteur proposes that Parliament grant discharge to the Administrative Director of the EPPO for the 2022 budget and approve the closure of the accounts, while setting out observations in the accompanying resolution.

Key points

  1. Proposes to grant the Administrative Director of the EPPO discharge for the 2022 budget and to approve the closure of the accounts.
  2. Welcomes the Court of Auditors' positive opinion on the reliability of the EPPO's accounts and the legality and regularity of underlying revenue and payments.
  3. Notes the final 2022 budget of EUR 51.2 million, reduced from EUR 57.1 million, with EUR 5.9 million returned, and budget implementation of 98.1% of commitment appropriations and 76.6% of payment appropriations.
  4. Notes that remuneration of European Delegated Prosecutors reached EUR 8.7 million, missions and operational meetings were EUR 1.1 million, and translation services EUR 2.8 million.
  5. Calls on the Commission to engage in dialogue with the EPPO on adequate resources and on the Commission and Council to support adapting the Financial Regulation to allow reimbursement of national investigation costs.
  6. Believes the absence of a mid-term budgetary review and resource framework limits the EPPO's flexibility and calls for adequate guidance on Recovery and Resilience Facility fraud.
  7. Observes the increase in crime reports to 3318 in 2022, opened investigations to 865 with estimated damages of EUR 9.9 billion, closed cases to 251, indictments to 87, and freezing orders of EUR 359.1 million.
  8. Calls on the EPPO to monitor efficiency gains, adopt indicators on amounts recovered, and implement internal control principles and a business continuity plan.
  9. Notes staff increased to 217 by end 2022, with 248 budgeted posts, and calls for a specific status for European Delegated Prosecutors and improved diversity and inclusion.
  10. Welcomes the conflict of interest policy under development, notes the absence of a targeted revolving doors policy and a formalised whistleblowing procedure, and asks for increased ethics training participation.
  11. Calls on the Commission to facilitate the EPPO's digital autonomy, endorses building its own cybersecurity capacity, and welcomes the Case Management Ecosystem hosted in its data centre.
  12. Welcomes the lease for the headquarters rent free until 31 December 2029, notes the annual service charge of EUR 716 724, and calls for cooperation with non-participating Member States and Ukraine.

Who is affected

  • The European Public Prosecutor's Office and its Administrative Director, who would receive discharge and account closure.
  • The Commission, called to support the EPPO on resources, digital autonomy and Recovery and Resilience Facility fraud guidance.
  • Member States, including non-participating ones, urged to cooperate with the EPPO and consider joining.
  • EPPO staff, affected by recruitment, working conditions, ethics and well-being measures.

Figures and deadlines

  • EUR 51.2 million: final 2022 budget allocated to the EPPO.
  • EUR 5.9 million: amount returned, representing 10% of the initial 2022 budget.
  • 98.1%: budget implementation of commitment appropriations in 2022.
  • 76.6%: budget implementation of payment appropriations in 2022.
  • EUR 8.7 million: remuneration of European Delegated Prosecutors.
  • EUR 359.1 million: freezing orders obtained by the EPPO in 2022.
  • 217: number of staff by end 2022.
  • EUR 716 724 per year: service charge for the EPPO headquarters.

Legal basis: Article 319 of the Treaty on the Functioning of the European Union.