Euro Panel Boss Denies Fraud Charge BRUSSELS, Belgium (AP) -- The president of the European Commission admitted Wednesday that the European Union's executive body has had management flaws, but defended it against allegations of fraud. The European Parliament is due to hold a Jan. 14 no-confidence vote that could force the resignation of all 20 commissioners over suspicions of fraud and spending irregularities in the 1996 budget. ``I admit we've had management problems but to question the commission's work as a whole, frankly, is intolerable,'' EC President Jacques Santer told a news conference. The commissioners must resign if a vote of no confidence is upheld by a two- thirds majority in parliament. The European Union has long been hounded by reports and allegations of fraud. In November, the EU Court of Auditors estimated fraud and financial irregularities amounted to 5 percent of the EU's 1997 budget of $97 billion. The 626-member European Parliament last month rejected the commission's 1996 accounts due to irregularities, and Socialist legislators began the process for a no-confidence vote. Santer defended individual commissioners and himself against a barrage of questions over alleged irregularities, including a probe into the extent of his real estate assets in his home nation of Luxembourg. He said he had full confidence in two EU commissioners, Edith Cresson and Manuel Marin -- who have been targeted by fraud allegations. The EU's Budget Commissioner, Erkki Liikanen, also denied claims that his wife, a Finnish official, has benefited indirectly from EU funds through a company contract.
