Common use of CONTROL OPERATIONS Clause in Contracts

CONTROL OPERATIONS. The provisions of Clause 14 are complemented as follows: Due to the co-funded nature of the activity in the frame of the GMES Space Component Programme carried out in cooperation with the European Union (EU) the Contractor agrees the following, for those activities in respect of which the Agency will have informed the Contractor that they are to be opened for competition to Companies and Organisations from both ESA and FP7 Member/Participating States, and that will therefore be co- funded by the EU: - The right of checks and audits provided for under the General Clauses and Conditions shall be extended to the competent bodies of the European Union, the European Commission, the Court of Auditors and inter alia the European anti-fraud Office (OLAF) or any representative authorized by them. In particular, the Commission and OLAF shall be authorized to carry-on on-the- spot checks and inspections in accordance with the provisions of Council Regulation (EC, Euratom) No. 2185/96. - This right includes access to all relevant information in accordance with the provisions of Council Regulation (EC,EURATOM) No. 2185/96. This obligation remains valid until 31st December 2020. It is recalled that the Contractor will be excluded from participation in ESA programmes funded by the EU and from any other procurement or grant procedure financed by the EU, if the Contractor is found guilty of fraud, corruption, involvement in a criminal organization or any other illegal activity detrimental to the financial interests of the EU. In the event the Contractor has made false declarations to the detriment of the financial interest of the EU, ESA may, with immediate effect, request reimbursements of payments made on the basis of these false declarations and terminate the Contract with immediate effect at the conditions foreseen under Clause 34 of the General Conditions. The Contractor agrees and accepts that the EU may, in this event or in any other event of irregularity or fraud, take any further necessary action (including prosecution) to recover such unduly paid funds.