2001/88/EC: Commission Decision of 21 April 1999 concerning aid granted by Greece to two fertiliser companies (Text with EEA relevance) (notified under document number C(1999) 1120)
The State guarantees in favour of Lipasmata Drapetsonas (Drapetsona Fertilisers) AE to cover two loans of GRD 1,2 billion and GRD 600 million respectively, granted pursuant to ministerial decisions of 16 January 1996 and 23 June 1996, constitute State aid within the meaning of Article 92(1) of the Treaty.
The capital injection of GRD 1 billion by the Agrotiki Trapeza Ellados (Agricultural Bank of Greece) into its subsidiary Viomihania Azotouhon Lipasmaton (Nitrogen Fertiliser Industry in 1995) also constitutes State aid within the meaning of Article 92(1) of the Treaty.
The aid measures in question are hereby found to be unlawful in that they were put into effect without prior notification to the Commission, in violation of Article 93(3) of the Treaty.
The aid measures in question are, furthermore, incompatible with the common market, in that they do not qualify for any of the exemptions provided for in Article 92(2) and (3) of the Treaty.
Greece shall take the measures necessary to recover the aid referred to in Article 1. Recovery from Lipasmata Drapetsonas shall be effected after deduction of the commission, equivalent to 1 % of the sums guaranteed, which the company in question was required to pay in order to secure the State guarantees.
Recovery shall be effected in accordance with the substantive and procedural requirements of Greek law. The sums to be recovered shall bear interest from the date on which the aid was disbursed until its actual recovery. The interest shall be calculated on the basis of the reference rate used to determine grant equivalent under the regional aid system in Greece.
Within two months of notification of this Decision, Greece shall inform the Commission of the measures it has taken to comply with it.
This Decision is addressed to the Hellenic Republic.
Done at Brussels, 21 April 1999.
For the Commission
Karel Van Miert
Member of the Commission
(1) OJ C 82, 14.3.1997, p. 5.
(2) footnote 1.
(3) OJ C 72, 10.3.1994, p. 3.
(4) Refs FEK 876, 20.10.1995; FEK 34, 19.1.1996; FEK 658, 30.7.1996.
(5) Office for Official Publications of the European Communities, 1997.
(6) Office for Official Publications of the European Communities, 1995.
(7) OJ C 307, 13.11.1993, p. 3.
(8) According to Fertiliser Week of 23 March 1998, NFI was put up for sale by the receiver at the beginning of 1998.
(9) Fertiliser Week of 12 June 1995.
(10) Letter from the Greek authorities dated 21 November 1997.
(11) OJ C 266, 15.10.1992, p. 5.
(12) See footnote 3.
(13) OJ C 368, 23.12.1994, p. 12.
(14) OJ C 212, 12.8.1988, p. 2.
(15) [1972/1973] ECR 609.
(16) [1987] ECR 901.
(17) [1990] ECR I-3437.
Source: EUR-Lex (Publications Office of the EU), Β© European Union, reuse permitted under Commission Decision 2011/833/EU.
