Administrative Liability of EU Funding Recipients for Breach of Procurement Rules. Emphasis on the Cases of Romania and Italy

Demis-Marius Sparios, Judge at Brasov Court of Appeal -Chamber for Administrative and Tax Litigation, holds a PhD in Administrative Law from „Babes-Bolyai" University of Cluj-Napoca and the University of Turin (joint PhD).  

This book is based on the PhD thesis publicly defended by the author on 8 July 2019. It approaches the subject-matter of the liability entailed by the commission of irregularities within the projects financed by EU Funds. The analysis performed in the book looks especially at irregularities committed by breach of public procurement rules, with an in-depth and comparative examination of all elements of this liability, as well as of the administrative and judicial proceedings entailed by the finding of these irregularities. 

Reference is made to the general framework of the EU, as well as to the specific situations of Romania and Italy. The book represents an original study in a field that has been rarely approached by the doctrine and may be very useful to practitioners, academics and beneficiaries having an interest with regard to the EU Funds Law. 

ACKNOWLEDGMENTS/ 5

LIST OF ABBREVIATIONS/ 7

CHAPTER 1
INTRODUCTION / 13
1.1. PROLEGOMENA / 13
1.2. THE RELEVANCE AND THE LIMITS OF THE RESEARCH/ 14
1.3. THE STRUCTURE OF THE BOOK /16
1.4. THE RESEARCH METHODOLOGY AND QUESTIONS/ 19

CHAPTER 2
THE LEGISLATIVE FRAMEWORK / 23
2.1. THE EU LEGISLATIVE FRAMEWORK / 23
2.1.1. The Cohesion Policy and its legal framework / 23
2.1.2. Shared management/ 29
2.1.3. Public procurement rules / 37
2.2. THE ROMANIAN LEGISLATIVE FRAMEWORK / 42
2.2.1. „Transposition” of a Regulation / 42
2.2.2. Procedural issues / 45
2.2.3. The temporal application of the national law / 49
2.2.4. Secondary legislation / 53
2.2.5. Public procurement rules/ 58
2.3. THE ITALIAN LEGISLATIVE FRAMEWORK / 58
2.3.1. Direct Application of Regulations / 58
2.3.2. Decrees of the President / 59
2.3.3. Public procurement rules / 65
2.4. CONCLUSIONS TO THIS CHAPTER / 66

CHAPTER 3
THE LIABILITY: CONCEPT AND ELEMENTS / 69
3.1. INTRODUCTION / 69
3.2. IS LIABILITY A SUITABLE CONCEPT? / 70
3.3. THE LEGAL NATURE OF THE LIABILITY FOR MISUSE OF ESI FUNDS/ 74
3.3.1. Criminal vs Non-criminal nature / 74
3.3.2. Fiscal Liability?/ 75
3.3.3. Liability in Tort? / 77
3.3.4. Administrative Liability / 77
3.4. THE CONSTITUTING ELEMENTS OF THE LIABILITY/ 80
3.4.1. The Irregularity / 81
3.4.1.1. Definition(s) and classification(s)/ 81
3.4.1.2. Clasification(s) / 88
3.4.1.3. The Illicit Deed / 92
3.4.1.4. The prejudice / 157
3.4.1.5. The Causal Link/ 161
3.4.1.6. The Guilt / 165
3.4.1.7. Delimitation between the Irregularity and the Fraud / 168
3.4.2. The Financial Correction/ 175
3.4.2.1. General Considerations/ 175
3.4.2.2. The Legal Nature of the Financial Correction / 177
3.4.2.3. Types of Financial Corrections / 180
3.4.2.4. The Proportionality – a Core Principle of the Liability Procedure / 187
3.5. CONCLUSIONS TO THIS CHAPTER/ 195

CHAPTER 4
ADMINISTRATIVE CONTROLS AND OVERSIGHT / 207
4.1. GENERAL CONSIDERATIONS/ 207
4.2. COMPETENT AUTHORITIES / 208
4.2.1. The General Framework / 208
4.2.2. The Romanian Management and Control System / 214
4.2.2.1. The National Agency for Public Procurement / 217
4.2.2.2. The Audit Authority/ 225
4.2.2.3. DLAF / 226
4.2.3. The Management and Control System in Italy / 227
4.2.3.1. General Considerations and the Designated Authorities/ 227
4.2.3.2. The Court of Auditors / 229
4.2.3.3. The Italian National Anti-Corruption Authority (ANAC) / 231
4.3. THE ADMINISTRATIVE CONTROL PROCEEDINGS/ 232
4.3.1. The Administrative Proceedings in Romania/ 233
4.3.2. The Administrative Proceedings in Italy / 239
4.4. CONCLUSIONS TO THIS CHAPTER / 243

CHAPTER 5
REMEDIES AND JUDICIAL PROTECTION / 251
5.1. GENERAL CONSIDERATIONS/ 251
5.2. THE ROMANIAN FRAMEWORK / 253
5.2.1. The Administrative Appeal/ 253
5.2.2. Court Proceedings / 256
5.2.3. The Interim Measures/ 271
5.3. THE ITALIAN FRAMEWORK./ 280
5.4. THE BIG CLASHES: ACTIONS OF MEMBER STATES AGAINST THE ACTS ISSUED BY THE COMMISSION/ 291
5.4.1. The Right to Action/ 291
5.4.2. The Appeal/ 300
5.4.3. Interim Measures/ 302
5.5. CONCLUSIONS TO THIS CHAPTER/ 304

CHAPTER 6
OVERVIEW OF THE RESEARCH AND GENERAL CONCLUSIONS TO THE BOOK/ 309
6.1. OVERVIEW OF THE RESEARCH CARRIED OUT / 309
6.2. GENERAL CONCLUSIONS / 310

BIBLIOGRAPHY: / 326
I. BOOKS AND BOOK CHAPTERS:/ 326
II. ARTICLES AND STUDIES: / 331
III. CASE-LAW OF ECJ AND JUDICIAL PRACTICE OF NATIONAL COURTS:/ 342
IV. REPORTS AND OTHER TYPES OF PUBLICATIONS:/ 344