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Whereas, pursuant to Article 8 of Council Regulation (EEC) No 729/70 of April 1970 on the financing of the common agricultural policy, as last amended by Regulation (EEC) No 2048/88, the Member States are to take the measures necessary to satisfy themselves that transactions financed by the European Agricultural Guidance and Guarantee Fund (EAGGF) are actually carried out and are executed correctly, to prevent and deal with irregularities and to recover sums lost as a result of irregularities or negligence; Whereas on 1 January 1991 financing by the EAGGF Guarantee Section will extend in Portugal to products subject to transition by stages and the tasks incumbent on the departments responsible for controls and authorized to pay expenditure in that Member State will be considerably greater as a result;

Whereas the Instituto Nacional de Intervenção e Garantia Agrícola (INGA) has been designated by the Portuguese Government in accordance with Article 4 of Regulation (EEC) No 729/70 to effect payment of most of the expenditure referred to in Articles 2 and 3 of that Regulation and in addition to ensure the coordination and processing of data concerning all expenditure, including expenditure the payment of which is actually effected by other authorities designated for the purpose; Whereas the INGA does not have sufficient data-processing infrastructure to ensure the optimum collection, processing, checking and transmission of all data on expenditure financed by the EAGGF Guarantee Section; whereas such a shortcoming is likely to hamper the sound management, checks and the prevention of irregularities and fraud; Whereas the INGA has drawn up a project to make good that shortcoming and in view of the costs has requested that the Community contribute financially towards its implementation, HAS ADOPTED THIS REGULATION: