New EU anti-fraud chief pledges tough scrutiny

The man nominated to become the European Union's fraud buster pledged today to step up the fight against corruption at the bloc…

The man nominated to become the European Union's fraud buster pledged today to step up the fight against corruption at the bloc's institutions and promised protection for whistleblowers who expose irregularities.

Mr Siim Kallas, designated to become the new Administration and Anti-Fraud Commissioner, said tough scrutiny of the way the EU spends its money was key for restoring public trust in the Union, which is increasingly seen as remote and unaccountable.

"We have to create the climate where criticism is welcome. This includes protection of those who speak up," the former Estonian prime minister and central banker told a confirmation hearing at the European Parliament.

"Citizens will not understand if we do not join forces to combat fraud," he added, responding to criticism that the Commission had tried to silence officials who alerted the public of possible graft at EU institutions.

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Many diplomats and analysts complain the EU's complex system of disbursing farm and regional assistance funds, which amount to more than 70 per cent of the bloc's annual budget of some €100 billion, is dysfunctional and prone to irregularities.

Mr Kallas (56) was the last member of the incoming EU executive of President Jose Manuel Barroso taking office on November 1st to be grilled EU legislators.

The EU parliament will vote on Mr Barroso's 25-member Commission late in October.