An irregularity is any breach of European Union law or Slovak regulations resulting from an act or omission by an entity involved in implementing the funds, which damages or may damage the EU budget. Typical examples are overpayment of ineligible expenditure, breach of public procurement rules, failure to comply with the conditions of the NFP contract, double financing of the same expenditure, or falsification of documents. Irregularities are identified by checks carried out by the provider, the audit authority, the Supreme Audit Office, and the European Anti-Fraud Office (OLAF); every confirmed irregularity is recorded in a report on the identified irregularity, and its financial consequence is quantified as the amount to be recovered. While administrative irregularities are addressed through a correction or repayment of part of the contribution, suspicions of fraud are referred to the law enforcement authorities and the European Public Prosecutor's Office. Prevention consists of a rigorous internal control system on the part of the recipient, transparent procurement, and prompt reporting of problems to the provider, which can mitigate the sanction consequences.
See also: Financial correction, Return of funds.
