Czech auditors warn of up to six-billion-euro repayment over land-use rights

The State Agricultural Intervention Fund (SZIF) spokesperson Eva Češpiva confirmed that EU auditors are requesting further information on the operation of the LPIS agricultural system, especially the verification of land-use rights and checks against circumvention of agro-environmental rules. Ministry press officer Marek Otava described the process as an early stage of audit proceedings, noting that the European Commission has issued a preliminary view and awaits the Czech side’s reply, which must be submitted by the end of the year.

Otava warned that the Commission’s approach exceeds current EU regulations, making a clash likely before a final Commission decision is issued. Past audits in 2020 and 2023 were resolved without financial penalties after the Czech side provided explanations, but one outlet case involves a potential repayment of about six billion euros. Agricultural Union chairman Martin Pýcha called the proposed fine disproportionate and warned of added administrative burdens for farmers, while agrarian analyst Petr Havel said penalties can often be overturned and that the EU may be looking to recover funds for other budgetary needs.