Former Greek Agriculture Minister submits memorandum to Parliament on OPEKEPE case
Former Greek Minister of Rural Development and Food, Alexandros Kontos, has submitted a detailed memorandum to the Hellenic Parliament’s Investigative Committee examining the OPEKEPE case, outlining the systemic failures of the past, the reforms undertaken between 2004 and 2009, and expressing deep concern over the recent revelations described as the “OPEKEPE scandal.”
In his written statement, Kontos emphasized that he appeared before the committee “with a sense of responsibility”, drawing on his experience as both Deputy Minister and later Minister of Rural Development during the governments of former Prime Minister Kostas Karamanlis.
EU Agricultural Subsidies Before 2004: Structural Weaknesses
Kontos recalled that under the Common Agricultural Policy (CAP) 1997–2003, EU subsidies were granted based on:
- Declared production volumes,
- Declared agricultural land and livestock,
- Administrative and on-site controls.
However, he acknowledged that these safeguards failed in practice, citing:
- False declarations of production volumes, particularly in olive oil and cotton,
- The absence of a reliable land registry system, allowing multiple claims on the same parcels,
- Insufficient and ineffective controls, contrary to EU regulations.
These deficiencies, he noted, led to EU financial corrections exceeding €1 billion and placed Greece at serious risk of losing agricultural funding under the CAP’s First Pillar.
The Absence of OSDE and the Turning Point
Kontos underlined that when New Democracy took office in 2004, Greece did not have an Operational Integrated Administration and Control System (OSDE) — known at EU level as LPIS-GIS — despite the system being mandatory in all older EU member states since 1995.
He described the creation of OSDE as “essential for transparency, credibility, and compliance”, particularly after the EU shifted away from production-based subsidies to historical entitlements during the 2004–2009 CAP reform period.
EU Ultimatum and the 2006 Action Plan
According to Kontos, despite initial tolerance from the European Commission, Greece faced a de facto ultimatum by the end of 2005, with the threat of 100% subsidy suspension unless concrete results were delivered.
In response, the Ministry of Rural Development signed a binding Action Plan in 2006, committing to fully operationalize the land parcel identification system by December 31, 2008.
“This was a race against time, under constant pressure and supervision by the European Commission,” Kontos noted.
Building OSDE from Scratch
The former minister detailed the “titanic effort” undertaken by ministry services and OPEKEPE, including:
- Recruitment of specialized staff,
- Acquisition of orthophotos and advanced control software,
- Expansion of on-site and remote sensing inspections,
Continuous data updates on livestock and land use.
By October 2007, the number of inspectors had risen to 1,358, involving OPEKEPE personnel, regional services, and affiliated agencies.
Kontos also highlighted close cooperation with EU officials, including regular correspondence with the Agriculture Commissioner and ongoing audits in Athens and Brussels.
December 31, 2008: A Critical Milestone
Kontos stressed that by December 31, 2008, Greece had:
- Fully completed the OSDE system,
- Secured formal approval from EU committees,
- Met all obligations under the Action Plan.
“The country ceased to be treated as a defendant,” he wrote. “Above all, we saved the subsidies.”
As a result, for the first time, Greek farmers received EU payments within the same year they submitted their applications — a significant improvement over previous delays.
Concerns Over the Current OPEKEPE Scandal
Turning to recent developments, Kontos expressed “sadness and disappointment” over allegations that a previously safeguarded system had been undermined.
He pointed to:
- Uncertified private submission centers operating without oversight,
- Technical solutions lacking adequate security safeguards,
- Weak internal controls.
Most critically, he warned that illegally obtained funds were allegedly taken from the national reserve, which is intended to support young farmers and agricultural investment.
“This sends a devastating message to young people considering a future in agriculture,” Kontos stated.
Call for Immediate Action and Accountability
Kontos concluded by calling for:
- Immediate corrective measures to protect the system,
- Comprehensive criminal investigations,
- Swift prosecution and punishment of those responsible.
He stressed that accountability is owed first and foremost to “the thousands of honest Greek farmers and livestock breeders” who continue to sustain the country’s primary sector under difficult conditions.
