29.6.2002 Official Journal of the European Communities L 170/73 (Acts whose publication is not obligatory) COMMISSION COMMISSION DECISION of 28 June 2002 excluding from Community financing certain expenditure incurred by the Member States under the Guarantee Section of the European Agricultural Guidance and Guarantee Fund (EAGGF) (notified under document number C(2002) 2263) (Only the Spanish, German, Greek, English, French, Italian, Dutch, Portuguese, Finnish and Swedish texts are authentic) (2002/523[EC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Commu- nity, Having regard to Council Regulation (EEC) No 729/70 of 21 April 1970 on the financing of the common agricultural pol- icy (4, as last amended by Regulation (EC) No 1287/95 (3), and in particular Article 5(2)(c) thereof, Having regard to Council Regulation (EC) No 1258/1999 of 17 May 1999 on the financing of the common agricultural pol- icy (°), and in particular Article 7(4) thereof, After consulting the Committee for the European Agricultural Guidance and Guarantee Fund, Whereas: (1)  Article 5(2)(c) of Regulation (EEC) No 729/70 and Arti- cle 7(4) of Regulation (EC) No 1258/1999 stipulate that the Commission is to exclude expenditure from Commu- nity financing where it finds that it has not been incurred in accordance with Community rules. (2)  The above Articles of Regulation (EEC) No 729/70 and Regulation (EC) No 1258/1999 as well as Article 8(1) and (2) of Commission Regulation (EC) No 1663/95 of 7 July 1995 laying down detailed rules for the application of Regulation (EEC) No 729/70 regarding the procedure for the clearance of the accounts of the EAGGF Guaran- tee Section (%), as last amended by Regulation (EC) No 2025/2001 (), provide that the Commission is to carry 1 () OJ L 94, 28.4.1970, p. 13. () OJL125,8.6.1995, p. 1. () OJ L 160, 26.6.1999, p. 103. () OJL158,8.7.1995, p. 6. () OJ L 274, 17.10.2001, p. 3. 5 out the necessary checks, forward its findings to the Member States, consider any comments from the latter, enter into bilateral discussions to reach an agreement with the Member States concerned and formally commu- nicate its conclusions to them, referring to Commission Decision 94/442[EC of 1 July 1994 setting up a concilia- tion procedure in the context of the clearance of the ac- counts of the European Agricultural Guidance and Guar- antee Fund (EAGGF) Guarantee Section (%), as last amended by Decision 2001/535/EC (). (3)  The Member States have had the opportunity to request that a conciliation procedure be initiated. That procedure has been applied in some cases and the reports issued on the outcome have been considered by the Commission. (4)  Articles 2 and 3 of Regulation (EEC) No 729/70 and Ar- ticle 2 of Regulation (EC) No 12581999 provide that re- funds on exports to third countries and intervention in- tended to stabilise agricultural markets may be financed only where they are, respectively, granted and underta- ken in accordance with the Community rules governing the common organisation of the agricultural markets. (5)  The findings of checks performed, the results of bilateral discussions and the outcome of the conciliation proce- dures have shown that some expenditure declared by the Member States does not meet those conditions and can- not therefore be financed under the EAGGF Guarantee Section. () OJ L 182, 16.7.1994, p. 45. () OJL 193, 17.7.2001, p. 25.