Judgment of the General Court (Seventh Chamber) of 21 December 2021

1. EU budgetEU financial assistanceObligation on the beneficiary to comply with the conditions for grant of the assistanceJustification of costs incurredProceedings by the Commission for recovery of advances paidAllocation of the burden of proof

(see para. 36)

2. EU budgetEU financial assistanceObligation on the beneficiary to comply with the conditions for grant of the assistanceFinancing covering only expenses actually incurredNo demonstration that the costs have actually been incurredIneligible costs

(see para. 47)

3. EU budgetEU financial assistanceObligation on the beneficiary to comply with the conditions for grant of the assistanceFunding only for expenses actually incurredProof of the reality of the expenses declaredStaff costsProduction of the time recordsUnreliable owing to a conflict of interests between the beneficiary and his contractual partnersProduction of documents requiring considerable investment on the part of the Commission in order to determine the time actually workedDisregard of the obligation for the beneficiary to work together with the Commission in good faith

(European Parliament and Council Regulation No 2321/2002, Art. 14(2)(a))

(see para. 52)

4. EU budgetEU financial assistanceObligation on the beneficiary to comply with the conditions for grant of the assistanceContracts concluded under a specific research, technological development and demonstration programmeConditions of ineligibility of costsConflict of interests on the part of the beneficiaryConceptConsequencesRecovery of the sums advanced to the beneficiary

(European Parliament and Council Regulation No 2321/2002, Art. 18(2); Commission Regulation No 2342/2002, Art. 183)

(see para. 65)

Operative part

The Court:

1. Dismisses the action;

2. Orders Ethniko Kentro Erevnas kai Technologikis Anaptyxis to pay the costs.