2002/458/EC: Commission decision of 1 March 2002 on the aid schemes implemented by Greece in favour of the settlement of debts by the agricultural cooperatives in 1992 and 1994 including the aids for reorganisation of the dairy cooperative AGNO (notified under document number C(2000) 686)

• Articles: 4

Article 1

1. The tax provisions in favour of cooperatives pursuant to Greek laws No 2238/94 and No 2169/93 and the debt rescheduling arrangements in Act of the Governor of the Bank of Greece No 1620 of 5 October 1989 do not in themselves constitute State aid within the meaning of Article 87(1) of the Treaty.

2. The following State aids are incompatible with the common market:

(a) Article 32(2) of Greek law No 2008/92;

(b) Article 5 of Greek law No 2237/94;

(c) The grant to the dairy cooperative AGNO pursuant to Article 19 of Greek law No 2198/94, of an amount of GRD 529,89 million;

(d) The rescheduling of the debt of the cooperative AGNO to the Agricultural Bank of Greece amounting to GRD 1,899 billion, in the framework of Act of the Governor of the Bank of Greece No 1620 of 5 October 1989.

Article 2

1. The Greek authorities shall take all the measures necessary to recover from the recipients the aids referred to in Article 1(2) and unlawfully made available to them, within two months of the notification of this Decision.

2. Recovery shall be effected in accordance with the procedures of Greek law. The sums to be recovered shall bear interest from the date on which they were made available to the recipients until their actual recovery. Interest shall be calculated on the basis of the reference rate used for calculating the grant-equivalent of regional aids.

Article 3

1. Greece shall inform the Commission, within two months following notification of this Decision, of the measures taken to comply with it.

2. Within the same time period, the Greek authorities are requested to supply to the Commission:

(a) a full list of beneficiaries for all shcemes, the amounts to be recovered and the interest due;

(b) all information available about the taking over of AGNO by the Agricultural Bank of Greece, as well as a demonstration that this operation does not include further State aids in favour of AGNO;

(c) all information allowing the Commission to initiate an investigation pursuant to Articles 87 and 88 of the Treaty of the relations between the Greek State and the Agricultural Bank of Greece and its competitive impact in the agricultural sector. For that purpose, Greece should transmit to the Commission all relevant legislation, balance sheets of the Bank for the last 10 years and its eventual comments on the subject;

(d) A report covering all debt settlement arrangements made by the ABG to agricultural cooperatives pursuant to Act of the Governor of the Bank of Greece No 1620 of 5 October 1989, as well as an appraisal as to their conformity with the rules of Articles 87 and 88 of the Treaty.

Article 4

This Decision is addressed to the Hellenic Republic.

Done at Brussels, 1 March 2000.

For the Commission

Franz Fischler

Member of the Commission

(1) OJ C 100, 2.4.1998, p. 7 and OJ C 107, 7.4.1998, p. 19.

(2) OJ C 376, 4.12.1998, p. 2.

(3) OJ C 120, 1.5.1999, p. 16.

(4) See footnote 1.

(5) OJ L 215, 30.7.1992, p. 91.

(6) OJ L 195, 29.07.1980, p. 35, Directive as last amended by Directive 93/84/EEC (OJ L 254, 12.10.1993, p. 16).

(7) OJ C 368, 23.12.1994, p. 12.

(8) SEC (89) 343/2, 7 March 1989.

(9) Aid N 54/87 - Commission letter SG (87) D/5035 of 15 April 1987.

(10) OJ L 79, 23.3.1994, p. 29, repealed by Regulation (EC) No 1750/1999 as from 1.1.2000.

(11) OJ L 195, 29.07.1980, p. 35, Directive as last amended by Directive 93/84/EEC (OJ L 254, 12.10.1993, p. 16).

(12) Source Eurostat.

(13) Judgment of the Court of 29 June 1999 in Case C 256/97 - DMT. Not yet published in the Official Journal.

(14) OJ C 307, 13.11.1993, p. 3.

(15) Bulletin EC 9-1984 and see fn. 14, point 3.2, third indent, mutatis mutandis (as to the private contribution).

(16) See aid C 47/95 where Italy obtained from the Council under the procedure of Article 88(2) third subparagraph of the Treaty an authorisation to grant aid in order to prevent banks from claiming personal assets of cooperative members, in case of bankruptcy of these cooperatives.

(17) OJ C 384, 10.12.1998, p. 3.

(18) See precedent C 51/96.

(19) OJ C 28, 1.2.2000, p. 2.

(20) Judgment of 17 September 1989 in Case C 730/79, Philip Morris [1980] ECR p. 2671-2693.

(21) In particular, Judgment of the Court of First Instance of 8 June 1995 in Case T-459/93, Siemens v Commission [1995] ECR II-1675, and the case law cited therein.

(22) OJ C 212, 12.8.1988, p. 2. Guidelines for national regional aid - point 2. (OJ C 74, 10.3.1998, p. 10).

(23) Judgment of the Court of 14 January 1997 on case C-165/97 - Spain v. Commission (Piezas y Rodajes SA) ECR [1997] p. I-0135.

(24) Judgment of the Court of 12 June 1990 in case 35/88, KYDEP, [1990] ECR page I-3125.

(25) Judgment of the European Court of Justice in Case 177/78 Pigs and Bacon, Commission v. McCarren [1979] ECR 2161.

(26) See footnote 7.

(27) OJ C 283, 19.9.1997, p. 2.

(28) OJ C 288, 9.10.1999, p. 2.

(29) See footnote 8 and precedent cases N 864/97, C 65/97.

(30) OJ L 142, 2.6.1997, p. 1.

(31) OJ C 29, 2.2.1996, p. 4.

(32) OJ C 213, 19.8.1992, p. 10, presently OJ C 213, 23.7.1996, p. 4.

(33) See footnote 10.

(34) Judgment of the Court of 17 June 1999 in Case C-295/97 Piaggio. Not yet published.

(35) [1973] ECR 611.

(36) [1973] ECR 1471.

(37) [1977] ECR 595.

(38) [1991] ECR I-5505.

(39) OJ L 83, 27.3.1999, p. 1.

(40) OJ C 74, 10.3.1998, p. 9.