IDEAS home Printed from
   My bibliography  Save this article

Fraud adversely affecting the budget of the European Union: the forms, methods and causes


  • Zlata Djurdjevic

    (Faculty of Law, Zagreb)


The paper analyses the forms, methods and causes of fraud that are perpetrated to the detriment of the budget of the European Union. The forms in which EU fraud appears are shown according to the criterion of kind of budgetary resource. Crime affecting the budgetary revenue of the EU tends to appear in the form of customs duty-evasion and false declarations concerning the customs-relevant information about goods. Crime adversely affecting the expenditure side of the EU budget appears in the form of subsidy fraud in the area of the Common Agricultural Policy, and subsidy fraud in the area of the structural policies. The methods used for the EU fraud committed and considered in the paper are document forgery, concealment of goods, corruption, violence and fictional business and evasion of the laws. In conclusion an explanation is given of the main exogenous criminogenic factors that lead to the EU frauds commonly perpetrated.

Suggested Citation

  • Zlata Djurdjevic, 2006. "Fraud adversely affecting the budget of the European Union: the forms, methods and causes," Financial Theory and Practice, Institute of Public Finance, vol. 30(3), pages 253-282.
  • Handle: RePEc:ipf:finteo:v:30:y:2006:i:3:p:253-282

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. Mitja Cok & Ivica Urban, 2007. "Distribution of Income and Taxes in Slovenia and Croatia," Post-Communist Economies, Taylor & Francis Journals, vol. 19(3), pages 299-316.
    2. Anderson, John E. & Roy, Atrayee Ghosh & Shoemaker, Paul A., 2003. "Confidence Intervals for the Suits Index," National Tax Journal, National Tax Association, vol. 56(1), pages 81-90, March.
    3. Ivica Urban, 2006. "Progressivity of personal income tax in Croatia: decomposition of tax base and rate effects," Financial Theory and Practice, Institute of Public Finance, vol. 30(3), pages 207-231.
    Full references (including those not matched with items on IDEAS)

    More about this item


    EU fraud; customs duty-evasion; subsidy fraud; smuggling; methods of EU fraud; corruption; fictional business; etiology.;

    JEL classification:

    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ipf:finteo:v:30:y:2006:i:3:p:253-282. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Martina Fabris). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.