1. 

Agriculture — EAGF and EAFRD financing — Clearance of accounts — Disallowance of expenses arising from irregularities in applying EU rules — Challenge by the Member State concerned — Burden of proof — Shared by the Commission and the Member State

(European Parliament and Council Regulation No 1306/2013; Council Regulation No 73/2009, Art. 22(1); Commission Regulation No 1122/2009, Art. 26(1); Council Directive 79/409, Art. 5(a), (b) and (d))

(see paras 36-39, 45)

2. 

Agriculture — EAGF and EAFRD financing — Clearance of accounts — Disallowance of expenses arising from irregularities in applying EU rules — Flat-rate correction issued by the Commission in accordance with internal guidelines — Application in the absence of information allowing the financial damage caused to the European Union to be accurately assessed — Presentation by the Member State concerned of a calculation based on a comparison with the results of checks carried out outside the financial year in question — Inadequate nature

(European Parliament and Council Regulation No 1306/2013, Art. 52(1) and (2))

(see paras 48, 97-99)

3. 

Agriculture — EAGF and EAFRD financing — Grant of aid and premiums — Obligation on the Member States to organise an effective system of administrative and on-site inspections — Non-performance — Failure to fulfil obligations — National system pleaded as justification — Not permissible

(Commission Regulation No 1974/2006, Annex II, 5.3.2.1)

(see para. 53)

4. 

Acts of the institutions — Statement of reasons — Obligation — Scope — Account-clearing decision for expenses financed by EAGGF and EAFRD

(Art. 296 TFEU; European Parliament and Council Regulation No 1306/2013, Art. 52(3))

(see paras 57, 76-78, 134-136)

5. 

Agriculture — EAGF and EAFRD financing — Clearance of accounts — Disallowance of expenses arising from irregularities in applying EU rules — Finding of defects in the control system established by a Member State — Challenge by the Member State concerned — Obligation on the Commission to respond to evidence put forward by the Member State concerning the financial consequences of the defects

(European Parliament and Council Regulation No 1306/2013, Art. 52)

(see para. 79)

6. 

Agriculture — EAGF and EAFRD financing — Accounts clearance procedure — Conciliation procedure — Opinion of the conciliation body — No binding effect

(European Parliament and Council Regulation No 1306/2013, Art. 52(3))

(see paras 80, 120, 137, 146)

7. 

Agriculture — EAGF and EAFRD financing — Clearance of accounts — Disallowance of expenses arising from irregularities in applying EU rules — Assessment of losses suffered by the funds — Irregular expenses not capable of being determined with sufficient precision — Assessment based on flat-rate corrections — Whether permissible — Breach of principle of proportionality — None

(European Parliament and Council Regulation No 1306/2013, Art. 52)

(see paras 156-158)

1. 

Dismisses the action;

2. 

Orders the Hellenic Republic to pay the costs.