European Investment Bank Group Fraud Investigations Activity Report 2019

FOREWORD BY 
THE PRESIDENT

Fraud and corruption can affect countries, regions and organisations, and the EIB Group is no exception. Fraud and 
corruption divert funds needed for climate and innovation. They can curtail much-needed resources for health and they 
can wipe out social benefits or undermine public trust in investments. With the COVID-19 crisis, this has never been more 
relevant. The EIB Group will continue to remain vigilant to these situations. 
This is why the EIB Group works hard to ensure its projects and activities are free from fraud and corruption. The EIB 
Group pursues a zero tolerance policy. We adopt clear and comprehensive policies and procedures towards partners and 
clients, we monitor our operations and our staff are well trained. Each department in the EIB Group plays a specific role 
in preventing and fighting fraud and corruption. 
The key internal partner of the EIB Group in this joint effort is the Inspectorate General’s Fraud Investigations Division. 
As President, it is with great pleasure that I present the EIB Group Fraud Investigations Report for 2019. This report 
presents the activities of the Fraud Investigations Division; it clearly demonstrates the value added of its activities within 
the EIB Group. The report provides statistics, examples of fraudsters’ modus operandi and the findings and lessons 
learned from various investigations and Proactive Integrity Reviews. These findings and lessons learned are passed on to 
EIB Group services and governing bodies to support the EIB Group’s decision-making processes. 
The report also aims to raise awareness among staff, clients, partners, and the general public; we have to stay vigilant in 
the fight against fraud and corruption. Besides addressing an increasing number of incoming allegations in a very 
professional manner, our division has finalised the implementation of a sophisticated proprietary fraud detection tool, 
which plays an important role in identifying red flags. 
To enhance its impact and effectiveness, our division needs to work with other partners. In terms of outreach and 
partnerships, 2019 was a very successful year with six new Memoranda of Understanding with partner law enforcement 
authorities and a series of internal awareness events with prominent speakers such as Ville Itälä, Director-General of the 
European Anti-Fraud Office, and Laura Codruța Kövesi, European Chief Prosecutor. 
To conclude, I would like to thank EIB Group staff for remaining vigilant and for promptly reporting any allegations of 
prohibited conduct to the Fraud Investigations Division, thus contributing to the zero-tolerance policy of the EIB Group. 
Finally, I also sincerely thank all the staff of the Fraud Investigations Division, under the leadership of Jan Willem van der 
Kaaij, Inspector General, and Bernard O’Donnell, Head of the Fraud Investigations Division, for their continued hard work 
and commitment. 
Werner Hoyer

ABOUT THE FRAUD 
INVESTIGATIONS DIVISION

ABOUT US

The Fraud Investigations Division (IG/IN) provides the EIB Group with the capacity to professionally and 
objectively investigate allegations of prohibited conduct involving EIB Group-financed activities and/or 
members of governing bodies or staff. It provides the EIB Group services with the relevant facts and 
recommendations to form the basis for appropriate follow-up actions.
The Fraud Investigations Division team is composed of experienced and highly skilled professionals with 
previous experience as law enforcement officers, public prosecutors, integrity officers and auditors.
The European Investment Bank Group (EIB Group) shows zero tolerance to all forms of prohibited conduct, including 
fraud and corruption, and is committed to continuous efforts in fighting prohibited conduct within its operations all 
over the world. A policy and institutional framework ensures a 360-degree approach to fighting fraud, corruption and 
other forms of prohibited conduct, including prevention, detection, investigation and remediation.
The Fraud Investigations Division is the sole office within the EIB Group mandated with conducting all investigations 
into alleged violations of Anti-Fraud Policies approved by the boards of the EIB and the European Investment Fund 
(EIF). Under the EIB Group Anti-Fraud Policies, prohibited conduct includes fraud, corruption, collusion, coercion, 
obstruction, terrorist financing and money laundering.

European Investment Bank Group Fraud Investigations Activity Report 2019