BRUSSELS, Sept 26: European Commission President Romano Prodi on Thursday said he would not sack the bloc’s top monetary affairs official over alleged fraud and corruption at Eurostat, the European Union’s data and statistical agency.

But the Commission chief, fighting against accusations that he turned a blind eye to the festering financial scandal at Eurostat, vowed tougher moves to clean up the agency and fight graft in EU institutions.

Mr Prodi insisted he would not fire EU monetary affairs Commissioner Pedro Solbes as demanded by some members of the assembly who said he was politically responsible for the affair.

“After careful thought and in full awareness of the issues, I consider there is no reason to ask any commissioner to assume the political responsibility and resign,” Mr he insisted.

Mr Prodi insisted that financial mismanagement at Eurostat dated back to 1999 Mr Solbes was not responsible for the agency. The monetary affairs chief therefore had “no cause for personal reproach,” he contended.

But striving hard to cool passions at the Parliament, Mr Prodi promised an overhaul of Eurostat and said he would also improve communication between commissioners and their departments.

It was true that the EU executive had been slow in reacting to reports of misconduct at Eurostat, Mr Prodi admitted, adding: “Signals were not picked up.”

Three reports into the alleged Eurostat fraud released this week said up to 6 million euros in funds had gone missing since 1996.

The charges are that the money was put into secret accounts to pay for contracts concluded with private companies. But no official is being accused of personal enrichment.

The affair is a serious embarrassment to Mr Prodi who took over as Commission chief in 1999 after Luxembourg’s Jacques Santer was forced to resign on charges of nepotism and corruption.

Mr Prodi promised to run a clean administration with “zero tolerance” for corruption.