HM Treasury News Release
143/97                                       18 November 1997
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           LIDDELL PLEDGES TO USE UK'S EU PRESIDENCY
                 TO DEAL WITH FRAUD AND WASTE 

The Government will make full use of its Presidency of the
European Union during the first half of next year to push
forward an active agenda to deal with fraud and waste, Economic
Secretary Helen Liddell made clear today. 

Commenting on the publication of the Annual Report of the
European Court of Auditors she said;

"This report makes disturbing reading, but it is also a useful
tool in the UK's fight against fraud and mismanagement in the
Community Budget. This report highlights the good sense of the
Government in making fighting fraud a key priority of our
Presidency of the EU.

Our determination to make better use of taxpayers money was
highlighted in our manifesto. At the Amsterdam
Intergovernmental Conference we obtained Treaty changes which
strengthen the powers of the European Court of Auditors and
will make it easier to fight fraud in the Community Budget.

A modern European Union must be fair and strong, fraud and
waste hold back the achievement of our aspirations."   
 


NOTES TO EDITORS
  
Publication of European Court of Auditors' Annual Report and
Statement of Assurance on the financial year 1996.

The European Court of Auditors is the institution of the
European Community responsible for the external audit of other
Community institutions.  It is required to report annually on
the implementation of the Community's budget (the Annual
report) and on the reliability of the accounts and the legality
and regularity of the underlying transactions (the Statement of
Assurance).  The Annual Report deals with revenues, operational
programmes and administrative expenditure.  The Annual Report
does not cover every area of the budget each year, but focuses
on particular areas and makes observations and recommendations
on the financial management of these areas.  The Statement of
Assurance covers the whole of the accounts, with testing
carried out based on statistical sampling to enable an opinion
to be given on the overall position.

The report for the financial year 1996 is published in the
Official Journal of the European Communities, 18 November 1997.