Results of audit on the drawing of EU funds to be available in October

09-08-2004

Finance Ministry spokesman Marek Zeman has said that the results of an audit of the Czech Republic's readiness to draw money from EU funds will be available in October. On the basis of the results the Finance Ministry will then check each programme separately and decide whether the application for the funds can be sent. Some sources said last week that the Czech Republic was threatened with the suspension of payments from EU funds, if the results of the audit were as bad as interim results had suggested.

On August 4th the European Commission suspended the payment of some 2 billion crowns to the Czech Republic from the pre-accession Phare fund.

Spokeswoman for the EC representation in the Czech Republic Katharina von Schnurbein said the Czech Republic failed to supply all required information.

If the results of the audit prove poor, Brussels could react by suspending advance and further payments, some sources have told the country's news agency CTK. However, the Finance Ministry has denied this.