Article 3Financial on-the-spot controls
1.
Financial on-the-spot controls shall aim at providing a sufficient level of assurance as to the legality and regularity of the transactions and contracts underlying the financial declarations.
2.
The Responsible Authority shall verify that:
(a)
the expenditure in relation to the financial declarations corresponds to the accounting records and supporting documents held by the project beneficiaries;
(b)
the expenditure in relation to the financial declarations satisfies the eligibility requirements set out in the grant agreement and the applicable Union and national rules;
(c)
the sources of financing comply with Article 16(2) of Regulation (EU) No 514/2014.
3.
Without prejudice to Article 4(2) of this Regulation, financial on-the-spot controls shall cover a minimum of 10 % of the cumulated Union contribution to the projects declared as finalised in the annual accounts referred to in Article 39 of Regulation (EU) No 514/2014.