Report on the financial statements of the European Agency for the Evaluation of Medicinal Products (EAEMP- London) for the financial year ended 31 December 1997, together with the Agency's reply
28. 12. 98 EN Official Journal of the European Communities C 406/29 on the financial statements of the European Agency for the Evaluation of Medicinal Products (EAEMP — London) for the financial year ended 31 December 1997, together with the Agency’s reply REPORT (98/C 406/05) 1. 1. This report is addressed to the Management Board of the European Agency for the Evaluation of Medicinal Products in conformity with Article 57(10), of Council Regulation (EEC) No 2309/93 (1). 1. 2. The Court has examined the financial statements of the European Agency for the Evaluation of Medicinal Products for the financial year ended 31 December 1997. In accordance with Article 57(7), of Council Regulation (EEC) No 2309/93, the budget was implemented on the responsibility the Executive Director. This responsibility included the drawing-up and presentation of the financial statements (2) in accordance with the internal financial provisions, as provided for in Article 57(11), of Council Regulation (EEC) No 2309/93. The Court of Auditors is required under Article 188c of the Treaty establishing the European Community to examine these accounts. of 1. 3. The Court performed its audit in accordance with its auditing policies and standards. These have been adapted from generally accepted international auditing standards to reflect the specific characteristics of the Community context. Accordingly, the Court carried out such tests of the accounting records and other audit procedures as it deemed necessary in the circumstances. By means of this audit, the Court obtained a reasonable basis for the opinion expressed below. 1. 4. This examination has enabled the Court to obtain reasonable assurance that the annual accounts for the financial year which ended on 31 December 1997 are reliable and that the underlying transactions, taken as a whole, are legal and regular. This report was adopted by the Court of Auditors in Luxembourg at the Court meeting of 29 October 1998. For the Court of Auditors Bernhard FRIEDMANN President (1) OJ L 214, 24. 8. 1993, p. 1. (2) As required under Article 57(9) of Council Regulation (EEC) No 2309/93, the accounts for all the Agency’s revenue and expenditure for the financial year 1997 were drawn up on 24 March 1998 and forwarded to the Agency’s Management Board, the Commission and the Court of Auditors. These accounts were received by the Court on 31 March 1998. A summarised version of these financial statements is presented in the tables attached to this report. C 406/30 EN Official Journal of the European Communities 28. 12. 98 Table 1 Balance sheet for the financial year 1997 Assets 1997 1996 Liabilities 1997 1996 (ECU 1 000) Fixed assets Equipment and furniture Sub-total 3 257 3 257 1 893 1 893 Fixed capital Own capital Out-turn to be carried over Sub-total 3 257 1 166 4 423 1 893 4 583 6 476 Current assets Sundry accounts receivable VAT to be recovered Expenditure to be charged 759 576 48 Sub-total 1 383 147 728 113 988 Cash accounts Banks — demand accounts Banks — deposit accounts 422 8 165 8 587 756 10 074 10 830 Sub-total Current liabilities Non-automatic carry-overs of appropriations Automatic carry-overs of appropriations Re-use accounts Salary deductions Sundry accounts due VAT refunds Differentiated sums due Exchange-rate profits not realised Sub-total 1 398 3 797 981 33 224 576 1 795 0 8 804 1 620 3 152 328 8 190 728 895 314 7 235 Total assets 13 227 13 711 Total liabilities 13 227 13 711 Source: Prepared by the Court of Auditors on the basis of the Agency’s data. 28. 12. 98 EN Official Journal of the European Communities C 406/31 Table 2 Revenue and expenditure account for the financial year 1997 (ECU 1 000) 1997 1996 14 000 12 945 552 11 000 7 004 372 Total revenue 27 497 18 376 Revenue Subsidy received from the Commission Sums due Miscellaneous revenue Expenditure Staff expenditure — Title I Payments Appropriations carried forward Buildings, equipment and miscellaneous operating expenditure — Title II Payments Appropriations carried forward Operational expenditure — Title III Payments Appropriations carried forward 10 778 392 4 344 1 157 6 726 3 646 6 593 263 2 858 1 698 3 650 2 811 Total expenditure 27 043 17 873 Out-turn for the financial year Out-turn carried over from the previous year Exchange-rate losses Exchange-rate profits Commission repayments Appropriations carried forward from the previous financial year and cancelled 454 4 583 75 − 4 583 637 Out-turn to be carried over 1 166 503 1 551 − 138 0 0 2 667 4 583 Source: Prepared by the Court of Auditors on the basis of the Agency’s data. C 406/32 EN Official Journal of the European Communities 28. 12. 98 REPLY OF THE AGENCY The document entitled ‘Preliminary observations with a view to drawing up a report on the financial statements of the European Agency for the Evaluation of Medicinal Products for the financial year ending on 31 December 1997’ does not call for any comments from us and we can accept it without any modification