This document is an excerpt from the EUR-Lex website
The Court of Auditors, based in Luxembourg, was established in 1975. It is the EU's independent external auditor and financial watchdog. It operates according to rules laid down in the Treaty on the Functioning of the EU (Articles 285-287).
It comprises 1 member from each EU country. The members are appointed for 6 years (renewable). They appoint the President, whose mandate is for 3 years (renewable). All members must perform their duties in the general interest of the EU and in complete independence.
The Court checks that EU revenue and spending (including that of bodies created by the EU and external bodies managing EU funds) is legal and regular. It ensures that financial management is sound. It provides the European Parliament and the Council with a statement of assurance as to the reliability of the accounts and the legality and regularity of the underlying transactions. At the end of each budgetary year, it publishes a report in the Official Journal of the European Union.
If it discovers fraud or irregularities, it must inform the European Anti-Fraud Office.