{
  "url": "https://openlegislation.uk/eu-decision-2012-838/annex/division-2/division-3/division-3.3",
  "json_url": "https://openlegislation.uk/eu-decision-2012-838/annex/division-2/division-3/division-3.3.json",
  "legislation": "eudn/2012/838",
  "legislation_title": "Commission Decision of 18 December 2012 on the adoption of the Rules to ensure consistent verification of the existence and legal status of participants, as well as their operational and financial capacities, in indirect actions supported through the form of a grant under the Seventh Framework Programme of the European Community for research, technological development and demonstration activities and under the Seventh Framework Programme of the European Atomic Energy Community for nuclear research and training activities (Text with EEA relevance) (2012/838/EU, Euratom) (revoked)",
  "legislation_url": "https://openlegislation.uk/eu-decision-2012-838",
  "path": "annex/division/2/division/3/division/3.3",
  "kind": "division",
  "number": "3.3",
  "heading": "Categories of legal entities subject to (or exempted from) a verification of their financial capacity",
  "text": "In compliance with the FR and its IR (article 176(4)), the following categories of legal entities are not subject to a verification of their financial capacity:\nnatural persons in receipt of scholarships;\npublic bodies;\ninternational organisations referred to in Article 43(2) of the IR:\ninternational public-sector organisations set up by intergovernmental agreements, and specialised agencies set up by such organisations;\nthe International Committee of the Red Cross (ICRC);\nthe International Federation of National Red Cross and Red Crescent Societies;\nthe European Investment Bank and the European Investment Fund.\nMoreover, due to the introduction in the FP7 RP of a Participants' Guarantee Fund:\nin compliance with article 38 of the FP7 RP (paragraphs 5 and 6), the following categories of legal entities are not subject to a verification of their financial capacity:\nlegal entities whose participation in the indirect action is guaranteed by a Member State or an Associated country;\nhigher and secondary education establishments.\nIn addition, in compliance with paragraph 6 of article 38 of the FP7 RP, any other category of legal entities applying for an EU financial contribution in an FP7 indirect action inferior or equal to EUR 500 000, are also not subject to a verification of their financial capacity, except if:\nthe legal entity is the coordinator of the indirect action and it does not belong to one of the above-mentioned categories; and/or\nin exceptional circumstances, according to information already available to the services implementing FP7, there are justified grounds to doubt the financial capacity of an applicant (eg.: if there are findings of serious administrative errors or fraud involving the entity; or if the entity is subject to pending legal procedures or judicial proceedings for serious administrative errors or fraud; or if the entity is subject to an attachment order or significant recovery order for an outstanding amount issued by the Commission on which the payment is significantly overdue); or\nit has been subject to substantial financial findings relating to its financial capacity following a financial audit carried out by the Commission, the Court of Auditors or their duly authorised representatives within the last 2 years).\nFor any other legal entity participating in an FP7 indirect action, a verification of its financial capacity is mandatory.\nA decision tree to identify categories of legal entities subject to a verification of their financial capacity is provided in the next page.",
  "extent": "E+W+S+N.I.",
  "status": "repealed",
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "Decision revoked (1.1.2024) by The Retained EU Law (Revocation and Reform) Act 2023 (Revocation and Sunset Disapplication) Regulations 2023 (S.I. 2023/1143), reg. 2(3), Sch. 2 Pt. 2"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/eudn/2012/838/annex/division/2/division/3/division/3.3",
    "retrieved_at": "2026-11-01T15:15:13.177377+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}