(1)

The Union and the Member States have set themselves the objective of laying down the measures necessary for the use of the euro as a single currency. Those measures include protecting the euro against counterfeiting and related fraud, thus empowering to ensure the effectiveness of the Union’s economy and securing secure the sustainability of public finances. [Am. 1]

(2)

Council Regulation (EC) No 1338/2001 (3) provides for exchanges of information, cooperation and mutual assistance, thereby establishing a harmonised framework for the protection of the euro. The effects of that Regulation were extended by Council Regulation (EC) No 1339/2001 (4) to those Member States which have not adopted the euro as their single currency, so as to provide an equivalent level of protection for the euro throughout the Union.

(3)

Actions with the aim of promoting exchanges of information and staff, technical and scientific assistance and specialised training help significantly to protect the Union’s single currency against counterfeiting and related fraud and therefore to attain a high and equivalent level of protection across the Union, whilst demonstrating the Union’s ability to tackle serious organised crime. Such actions also help addressing the common challenges and links with money laundering and organised crime. [Am. 2]

(4)

A programme for the protection of the euro against counterfeiting contributes to raising the awareness of Union citizens, increasing their confidence in that currency and improving the protection of the euro, especially through the constant dissemination of results of actions supported by that programme. [Am. 3]

(4a)

Sound protection of the euro against counterfeiting is a key component of a secure and competitive EU economy, and directly linked to the EU objective of improving the efficient functioning of the Economic and Monetary Union. [Am. 4]

(5)

Past support for such actions, through Council Decisions 2001/923/EC (5) and 2001/924/EC (6), which were subsequently amended and extended by Council Decisions 2006/75/EC (7), 2006/76/EC (8), 2006/849/EC (9), 2006/850/EC (10) and Regulation (EU) No 331/2014 of the European Parliament and of the Council (11), has made it possible to enhance the actions of the Union and the Member States in the field of the protection of the euro against counterfeiting. The objectives of the programme for the protection of the euro against counterfeiting (‘the Pericles programme’) for the periods 2002-2006, 2007-2013 and 2014 until 2017 (12) have been successfully achieved.

(6)

Contrary to standard procedure, a separate impact assessment of the Programme was not carried out. This can be partly explained by the fact that in 2017 the Commission carried out a mid-term evaluation of the Programme, supported by an independent report  (13) . Although the report is generally positive about the Programme, it expresses concerns about the limited number of competent authorities participating in the activities of the Programme and the quality of the key performance indicators used for measuring the results of the Programme. In the its Communication to the European Parliament and to the Council on the mid-term evaluation of the Pericles 2020 Programme and its ex ante evaluation in the form of a Staff Working Document accompanying its proposal (COM(2018)0369) , the Commission came to the conclusion that the continuation of the Pericles 2020 programme Programme beyond 2020 should be supported, given its EU Union added value, its long-term impact and the sustainability of its actions and contribution to combating organised crime . [Am. 5]

(7)

The advice contained in the mid-term evaluation was that actions financed under the Pericles 2020 Programme should be continued, taking into account possibilities while addressing the need to simplify the submitting of applications, to encourage differentiation of beneficiaries and the participation of a maximum of competent authorities from various countries in the activities of the Programme , to continue focusing on emerging and recurrent counterfeiting threats and to streamline the key performance indicators. [Am. 6]

(7a)

Counterfeiting hotspots have been detected in third countries and the counterfeiting of the euro is acquiring a growing international dimension; therefore, capacity building and training activities involving the competent authorities of third countries should be considered essential to achieve the effective protection of the Union's single currency and should be further encouraged in the context of the Programme. [Am. 7]

(8)

Therefore a new Programme for the period 2021-2027 (the “Pericles IV programme”) should be adopted. It should be ensured that the Pericles IV programme is consistent with, and complementary to, other relevant programmes and actions. The Commission should therefore carry out all the necessary consultations with regard to evaluating needs for the protection of the euro with the principal parties involved, in particular the competent national authorities designated by the Member States, the European Central Bank and Europol, within the committee referred to in Regulation (EC) No 1338/2001, particularly as regards exchanges, assistance and training, for the purpose of the application of the Pericles IV programme. Moreover, the Commission should draw on the vast experience of the European Central Bank in relation to the conduct of training and the provision of information on counterfeit euro banknotes when implementing the programme. [Am. 8]

(9)

Horizontal financial rules adopted by the European Parliament and the Council on the basis of Article 322 of the Treaty on the Functioning of the European Union apply to this Regulation. These rules are laid down in the Financial Regulation and determine in particular the procedure for establishing and implementing the budget through grants, procurement, prizes, indirect implementation, and provide for checks on the responsibility of financial actors. Rules adopted on the basis of Article 322 TFEU also concern the protection of the Union's budget in case of generalised deficiencies as regards the rule of law in the Member States, as the respect for the rule of law is an essential precondition for sound financial management and effective EU funding.

(10)

This Regulation complies with the principles of added value and proportionality. The Pericles IV programme should facilitate cooperation among the Member States and between the Commission and the Member States in order to protect the euro against counterfeiting, without impinging on Member States’ responsibilities, and using resources more efficiently than could be done at national level. Action at Union level is necessary and justified as it clearly assists Member States in collectively protecting the euro and encourages the use of common Union structures to increase cooperation and timely and comprehensive information exchange between competent authorities. [Am. 9]

(11)

The Pericles IV programme should be implemented in accordance with the multiannual financial framework laid down in … [reference to the post 2020 MFF Regulation Council Regulation (EU, Euratom) …/2018].

(12)

In order to ensure uniform conditions for the implementation of the Pericles IV programme, implementing powers supplement and amend non-essential elements of this Regulation, the power to adopt acts in accordance with Article 290 of the Treaty on the Functioning of the European Union should be conferred on delegated to the Commission in respect of work programmes as provided for in Article 10 and indicators as provided for in Article 12 and the Annex . The Commission should adopt annual work programmes setting out the priorities, the budget breakdown and the evaluation criteria for the grants for actions. The exceptional and duly justified cases, in which an increase in co-financing is necessary in order to give the Member States greater economic flexibility, thus enabling them to carry out and complete projects to protect and safeguard the euro in a satisfactory manner, should be part of the annual work programmes . It is of particular importance that the Commission carry out appropriate consultations during its preparatory work, including at expert level, and that those consultations be conducted in accordance with the principles laid down in the Interinstitutional Agreement of 13 April 2016 on Better Law-Making  (14) . In particular, to ensure equal participation in the preparation of delegated acts, the European Parliament and the Council receive all documents at the same time as Member States’ experts, and their experts systematically have access to meetings of Commission expert groups dealing with the preparation of delegated acts. [Am. 10]

(13)

This Regulation lays down a financial envelope for the Pericles IV programme which is to constitute the prime reference amount, within the meaning of … [reference to be updated as appropriate according to the new inter-institutional agreement: point 17 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management], for the European Parliament and the Council during the annual budgetary procedure.

(14)

In accordance with the Financial Regulation, Regulation (EU, Euratom) No 883/2013 (15) of the European Parliament and of the Council, Council Regulation (Euratom, EC) No 2185/96 (16) and Council Regulation (EU) 2017/1939 (17), the financial interests of the Union are to be protected through proportionate measures, including the prevention, detection, correction and investigation of irregularities and fraud, the recovery of funds lost, wrongly paid or incorrectly used and, where appropriate, the imposition of administrative sanctions. In particular, in accordance with Regulation (EU, Euratom) No 883/2013 and Regulation (Euratom, EC) No 2185/96, the European Anti-Fraud Office (OLAF) may carry out investigations, including on-the-spot checks and inspections, with a view to establishing whether there has been fraud, corruption or any other illegal activity affecting the financial interests of the Union. In accordance with Regulation (EU) 2017/1939, the European Public Prosecutor's Office may investigate and prosecute fraud and other illegal activities affecting the financial interests of the Union as provided for in Directive (EU) 2017/1371 of the European Parliament and of the Council (18). In accordance with the Financial Regulation, any person or entity receiving Union funds is to fully cooperate in the protection of the Union’s financial interests and grant the necessary rights and access to the Commission, OLAF, the EPPO, and the European Court of Auditors (ECA).

(15)

The Commission should present to the European Parliament and to the Council a mid-term evaluation report on the implementation of the Pericles IV programme and a final evaluation report on the achievement of its objectives.

(16)

Regulation (EU) No 331/2014 should therefore be repealed.

(17)

It is appropriate to ensure a smooth transition without interruption between the Pericles 2020 programme and the Pericles IV programme and it is appropriate to align the duration of the Pericles IV programme with Council Regulation (EU, Euratom) …/… [laying down the multiannual financial framework for the years 2021-2027] .Therefore, the Pericles IV programme should apply from 1 January 2021,