S.L. 146.4 Art. 16Aid reductions resulting from checks on area.

(1) If the area checks referred to in regulation 12(1)(a)

and in regulation 13 reveal that the area declared is larger than that actually determined, at the level of the total area checked, the aid payable shall be reduced as follows, unless the difference is, to the satisfaction of the Director, clearly due to error:

(a) by the percentage of the discrepancy established, if it is more than 5% but no more than 20% of the area determined,

(b) by 30% if the discrepancy is more than 20% of the area determined:

Provided that where the area declared is less than the area actually determined, and the discrepancy is more than 10% of the area determined, the aid payable shall be reduced by half the percentage of the discrepancy established.

(2) The reductions provided for in subregulation (1) shall not apply where the individual producer or producer organisation has submitted factually correct information or can prove, to the satisfaction of the Director, that it is not at fault: Provided that the reductions provided for in subregulation

(1) shall not apply to data which the individual producer, producer organisation or its members inform the competent authority in writing are incorrect or have become incorrect since the information referred to in regulation 12(1) of the 2003 Regulations was sent, provided that the individual producer, producer organisation or its members were not informed of the Director’s intention to carry out an on-the-spot check and that they were not informed by the Director of any irregularity found.

(3) Where a producer organisation commits a repeated infringement, the Director shall withdraw that organisation’s recognition, or preliminary recognition in the case of a producer group granted preliminary recognition.