Latest news with #GreekConstitution
Euronews
a day ago
- Business
- Euronews
Greek farm fund scandal to impact discharge of Commission's budget
A scandal involving Greek use of EU agricultural funds is set to play a role in the EU Parliament's discharge of the Commission budget later this year, the co-chair of the European Parliament's Intergroup on Anti-Corruption has told Euronews. German Green MEP Daniel Freund was commenting on the "fake farmer" fraud scandal, a sprawling case that has triggered political turmoil in Greece and raised questions over the management of EU agricultural subsidies. The European Public Prosecutor's Office (EPPO) announced in May that it has an ongoing investigation into an alleged organised fraud scheme involving agricultural funds and corruption involving public officials of the Greek Payment and Control Agency for Guidance and Guarantee Community Aids (OPEKEPE). Five high-ranking Greek government officials, including a minister and three deputies, resigned on Friday following allegations of involvement in the case, which stems from the alleged mismanagement of EU subsidies for agriculture between 2019 and 2022 by OPEKEPE, a government agency tasked with handling the funds. According to the EPPO, a "significant number of individuals" received subsidies through the agency based on false declarations, including claims of owning or leasing pastures that were in fact public land. 'In September 2024, Greek authorities placed OPEKEPE's accreditation on probation, and an action plan was designed to address the deficiencies identified,' a European Commission spokesperson told Euronews, adding: 'The Commission is working closely with the Greek authorities in this context.' Freund called on the European Parliament's budget control committee to investigate whether the alleged fraud points to deeper structural issues in Greece's management of EU funds. 'This issue will for sure play a role into the discussion on the discharge of the Commission's budget after the summer,' he said. The Commission said it could not comment on ongoing EPPO criminal investigations or criminal trials. Under EU law, member states must accredit only those paying agencies that meet minimum standards for managing EU funds, and if an agency fails to meet these conditions, it must be placed under probation and eventually stripped of its accreditation. Greek Prime Minister Kyriakos Mitsotakis has publicly acknowledged the scandal as 'evidence of the state's inadequacy' in addressing corruption, pledging to establish a special taskforce to conduct a swift and thorough investigation. 'Clientelism cannot govern the way we conduct business,' he told his cabinet, vowing that 'since OPEKEPE didn't manage to do its work, the state will do it centrally.' In June the Athens-based EPPO referred to the Hellenic Parliament information regarding the alleged involvement of two former Ministers of Rural Development and Food in criminal offences. The Greek Constitution provides that only the national Parliament has the power to investigate and prosecute serving or even former members of the Greek government. This legal limitation has forced EPPO to split its investigation, a move the office argues undermines its mandate under EU law. EPPO has reported this issue to the European Commission, suggesting that national legal protections for ministers could limit the EPPO's competence and therefore be in breach of the EU's prosecutorial framework. Former agriculture minister Makis Voridis, who was serving as migration minister until recently, was one of those who resigned last week. 'I hope that the Greek Parliament lifts the immunities of MPs involved, in order to allow a proper investigation,' Freund said.
Euractiv
2 days ago
- Politics
- Euractiv
EU prosecutor Laura Kövesi haunts Greece's rotten system
Recent scandals revealing the misuse of millions of euros in EU funds have thrown Greece's New Democracy government into turmoil, as it struggles to contain mounting public anger. Many citizens now view the EU prosecutor as a rare beacon of hope in the country's fight against entrenched corruption. Greek Prime Minister Kyriakos Mitsotakis came to power pledging to eradicate corruption and promote 'excellence.' However, reality has painted a very different picture – one that revives painful memories of the corruption scandals that fueled Greece's 2009 economic crisis. Two major corruption cases that triggered public outrage emerged only after intervention by EU Chief Prosecutor Laura Kövesi. The story is far from over The latest scandal centres on OPEKEPE, the Greek agency responsible for distributing EU agricultural subsidies. The agency stands accused of processing falsified land leases and submitting false declarations – channeling millions of euros to non-existent farmland between 2019 and 2022. In another case, the European Commission imposed a record €415 million fine on Greece for the mismanagement of agricultural funds between 2016 and 2023 – once again involving OPEKEPE. Wiretapped phone conversations, recorded by Greek police at the request of the EU prosecutor, have further shocked the public – evoking a past many hoped was buried. In mafia-style language, those involved named right-wing New Democracy ministers, claiming they were aware of the fraud and were even asked to 'get rid of' the EU prosecutor. Public frustration intensified after it was revealed that Greek taxpayers will ultimately bear the cost – an estimated half a billion euros in damages. An EU source told Euractiv that Greek authorities will need to draw from the national budget to compensate farmers in the coming years. Another investigation led by Kövesi concerns the infamous '717 contract,' funded by the EU to install signalling and surveillance systems on Greek railways. The contract was never implemented. Its absence played a role in a deadly train crash that killed 57 people. Legal proceedings remain ongoing, as the opposition accuses the government of attempting a cover-up. Brussels insiders warn that 'too many issues are piling up,' raising serious concerns over Greece's ability to manage EU funds. Local media report the story is far from over, with the EU prosecutor now scrutinising large-scale projects linked to cohesion funds and the EU Recovery Fund. Local justice under fire In Athens, the prevailing view is that without the EU prosecutor, these scandals would never have come to light. Public mistrust of the Greek judiciary is widespread. An opinion poll published in March found that seven in ten Greeks do not trust the judicial system, where top positions remain government-appointed. Four ministers have already resigned, but Article 86 of the Greek Constitution shields them from prosecution. Only parliament can lift a minister's immunity, but the governing majority can easily block such motions. Kövesi has openly criticised the article and even lodged a complaint with the European Commission, arguing it hinders her ability to fully pursue investigations. The Commission, however, remains silent. An EU spokesperson declined to comment, citing 'ongoing criminal investigations or trials.' The Greek government, for its part, has pushed back – accusing Kövesi of exceeding her mandate by focusing on Article 86. In November 2020, the conservative government abolished the office of the corruption prosecutor, which had been handling more than 500 active cases. One of those was the Novartis scandal, in which the pharmaceutical giant allegedly bribed Greek healthcare professionals to promote its drugs. In the United States – where the scandal was first exposed – Novartis was fined with more than €700 million. In Greece, no one has been prosecuted. Eleni Touloupaki, the former corruption prosecutor, was herself indicted for abuse of power after New Democracy came to office in 2019. She was acquitted in March 2023. (aw)
