# C_2006294EN.01000401.xml

| 2.12.2006 | EN | Official Journal of the European Union | C 294/4 |
| --- | --- | --- | --- |

2.12.2006

EN

Official Journal of the European Union

C 294/4

---

Judgment of the Court (Second Chamber) of 5 October 2006 — Commission of the European Communities v Portuguese Republic

(Case C-84/04) (1)

1

(Failure of a Member State to fulfil obligations - Regulation (EEC) No 4253/88 and Article 10 EC - Structural funds - Coordination between activities of the Structural Funds and operations of the EIB - Systematic reduction of amounts paid by way of aid from the Guidance Section of the EAGGF - Charges levied by IFADAP during the programming period 1994-99)

(2006/C 294/06)

Language of the case: Portuguese

Parties

Applicant: Commission of the European Communities (represented by: A. Alves Vieira and G. Braun, acting as Agents, and by N. Castro Marques and F. Costa Leite, advogados)

Applicant:

Defendant: Portuguese Republic (represented by: L. Fernandes, acting as Agent, and by C. Botelho Moniz and E. Maia Cadete, advogados)

Defendant:

Re:

Failure of a Member State to fulfil obligations — Article 10 EC and Council Regulation (EEC) No 4253/88 of 19 December 1988 laying down provisions for implementing Regulation (EEC) No 2052/88 as regards coordination of the activities of the different Structural Funds between themselves and with the operations of the European Investment Bank and the other existing financial instruments (OJ 1988 L 374, p. 1) — Systematic reduction of amounts paid by way of aid from the Guidance Section of the EAGGF — Compulsory charges levied by IFADAP during the programming period 1994-99

Operative part of the judgment

The Court:

| 1. | Declares that, by permitting the Instituto de Financiamento e Apoio ao Desenvolvimento da Agricultura e Pescas (Financing and Supporting Institute for the Development of Agriculture and Fisheries) to introduce, and by allowing to remain in force, a procedure for granting financial assistance from the Community Structural Funds that includes essential requirements involving the payment of charges which are neither voluntary nor optional and which do not constitute remuneration for services rendered, but rather serve to finance tasks for which the Portuguese State is responsible, particularly under Community law, the Portuguese Republic has failed to fulfil its obligations under Council Regulation (EEC) No 4253/88 of 19 December 1988 laying down provisions for implementing Regulation (EEC) No 2052/88 as regards coordination of the activities of the different Structural Funds between themselves and with the operations of the European Investment Bank and the other existing financial instruments, as amended by Council Regulation (EEC) No 2082/93 of 20 July 1993; |
| --- | --- |

1.

Declares that, by permitting the Instituto de Financiamento e Apoio ao Desenvolvimento da Agricultura e Pescas (Financing and Supporting Institute for the Development of Agriculture and Fisheries) to introduce, and by allowing to remain in force, a procedure for granting financial assistance from the Community Structural Funds that includes essential requirements involving the payment of charges which are neither voluntary nor optional and which do not constitute remuneration for services rendered, but rather serve to finance tasks for which the Portuguese State is responsible, particularly under Community law, the Portuguese Republic has failed to fulfil its obligations under Council Regulation (EEC) No 4253/88 of 19 December 1988 laying down provisions for implementing Regulation (EEC) No 2052/88 as regards coordination of the activities of the different Structural Funds between themselves and with the operations of the European Investment Bank and the other existing financial instruments, as amended by Council Regulation (EEC) No 2082/93 of 20 July 1993;

| 2. | Orders the Portuguese Republic to pay the costs. |
| --- | --- |

2.

Orders the Portuguese Republic to pay the costs.

---

(1)  OJ C 94, 17.04.2004.

1

---