No L 158/6 Official Journal of the European Communities 8.7.95 COMMISSION REGULATION (EC) No 1663/95 of 7 July 1995 laying down detailed rules for the application of Council Regulation (EEC) No 729/70 regarding the procedure for the clearance of the accounts of the EAGGF Guarantee Section THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, Having regard to Council Regulation (EEC) No 725/70 of 21 April 1970 on the financing of the common agricul- tural policy ('), as last amended by Regulation (EC) No 1287/95 (), and in particular Articles 4 (6) and 5 (3) thereof, Whereas the reform of the procedure for the clearance of the accounts, put into effect by Council Regulation (EC) No 1287/95, provides for the establishment of detailed rules regarding the certification and clearance of the annual accounts of accredited paying agencies; Whereas changes in the number and nature of measures financed by the EAGGF Guarantee Section, together with changes in techniques for recording and transmitting information, are such as to require a revision of the nature and content of the information to be provided to the Commission for the purpose of the clearance of accounts ; Whereas Commission Regulation (EEC) No 1723/72 (), as last amended by Regulation (EEC) No 295/88 (%), should therefore be repealed ; Whereas the EAGGF Committee has not delivered an opinion within the time limit set by the chairman, HAS ADOPTED THIS REGULATION : Article 1 1. The limit to the number of paying agencies accre- dited by each Member State, pursuant to Article 4 (2) of Regulation (EEC) No 729/70, shall be set by the Member State after consulting the Commission. The Commission ‘may in particular make known any obstacle which this number presents to compliance with the time limit laid down in Article 5 (2) (b) of that Regulation, and to the transparency of checks on the operation of the Fund. The Commission shall inform the Fund Committee of the paying agencies accredited in all Member States. () OJ No L 94, 28. 4. 1970, p. 13. () OJ No L 125, 8. 6. 1995, p. 1. () OJ No L 186, 16. 8. 1972, p. 1. () O No L 30, 2. 2. 1988, p. 7. 2. For each paying agency, the Member State shall inform the Commission of the authorities (‘the competent authority’) which issue and withdraw accreditation, and which set the period allowed for any necessary adjust- ments within the meaning of Article 4 (4) of Regulation (EEC) No 729/70. 3. Before accrediting any paying agency, the competent authority shall be satisfied that the administrative and accounting arrangements of the body concerned offer the guarantees referred to in Article 4 (1) (a) of Regulation (EEC) No 729/70. The criteria shall be established by the Member State and applied by the competent authority for the purpose of accreditation, taking account of the Commission’s guidelines for those criteria as set out in the Annex. Failure to meet any criteria of significant rele- vance to the paying agency’s operations shall lead to the application of Article 4 (4) of the abovementioned Regula- tion. The decision on accreditation shall be taken on the basis of an examination covering the administrative and accounting conditions, including those adopted to protect the Community’s interests regarding advances paid, guarantees obtained, intervention stocks and amounts to be collected. The examination shall include, in particular, the arrangements regarding the execution of payments, the safeguarding of the treasury, the security of computer systems, the maintenance of accounting records, the divi- sion of duties and the adequacy of internal and external controls, in respect of transactions financed by the Guarantee Section of the EAGGF. 4. If the competent authority is satisfied that the paying agency examined complies with all relevant requi- rements, it shall proceed with its accreditation. Otherwise, it shall address to the paying agency instructions relating to the administrative and accounting arrangements, and in particular to any conditions the paying agency is required to fulfil before accreditation may be granted. Accreditation may be provisionally granted for a period to be fixed in relation to the seriousness of the problem pending the implementation of any requisite changes to the administrative and accounting arrangements. 5. If accreditation is withdrawn, the Member State shall designate another paying agency in accordance with the conditions in Article 4 of Regulation (EEC) No 729/70 and in paragraphs 3 and 4 of this Article and ensures that payments to beneficiaries are not interrupted.