Case T-270/08: Action brought on 8 July 2008 — Germany v Commission
Date: 2008-07-08
Institutions: Court of First Instance
Subjects: European Commission, European Regional Development Fund, Germany, action for annulment (EU), aid system, operational programme

27.9.2008

EN

Official Journal of the European Union

C 247/15

— incorrect assessment of the economic value of the share

issues of the privatised bank by the Commission; and

— erroneous application of Article 87(1) EC by the Commis-
the determination of a State aid

sion in the context of
component.

Action brought on 8 July 2008 — Germany v Commission

(Case T-270/08)

(2008/C 247/28)

Language of the case: German

Parties

Applicant: Federal Republic of Germany (represented by: M.
Lumma, assisted by C. von Donat, lawyer)

Defendant: Commission of the European Communities

Form of order sought

— Annul Commission Decision C(2008) 1615 final of 29 April
the European
2008 reducing the
to
Regional Development Fund (ERDF) granted pursuant
Commission Decision C(94) 1973 of 5 August 1994 for
the Operational Programme Berlin (East) Objective 1
(1994-1999) in the Federal Republic of Germany;

contribution under

— Order the Commission to bear the costs.

Article 274 EC. According to the applicant it is also not possible
to find a corresponding administrative practice which has
existed over many years and is generally accepted.

that

The applicant claims moreover
the contested decision
infringes Article 24(2) of Regulation No 4253/88 as no irregu-
larities in the sense of that provision have occurred. It also
claims in that context that even if the conditions for a reduction
in accordance with Article 24(2) of Regulation No 4253/88 are
met, the Commission should have used the discretion available
to it and weighed up whether the reduction was proportionate.

In the alternative, the applicant argues that the flat-rate correc-
tions are disproportionate and that the Commission carried out
the extrapolation on an inadequate factual basis.

Furthermore, the applicant claims that the defendant infringed
its obligation to provide sufficient reasons for the contested
decision.

Finally, the applicant asserts that the Commission infringed the
principle of partnership since, notwithstanding numerous
checks by its
financial controllers during the 1994-1999
Programming Period, at no point were financial consequences
contemplated on account of systemic weaknesses.

(1) Council Regulation (EC) No 1260/1999 of 21 June 1999 laying
down general provisions on the Structural Funds (OJ 1999 L 161,
p. 1).

(2) 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 Invest-
ment Bank and the other existing financial instruments (OJ 1988
L 374, p. 1).

Pleas in law and main arguments

Action brought on 17 July 2008 — Communauté
d'agglomération du Douaisis v Commission

By the contested decision the Commission reduced the financial
contribution from the ERDF for the Operational Programme for
the Objective 1 region of the Land of Berlin in the Federal
Republic of Germany (1994-1999).

In the reasoning for its action the applicant claims first that the
Commission erroneously evaluated the factual situation. The
applicant alleges in particular that the Commission misjudged
the results of particular verifications and unjustifiably found
systematic errors in management and control arrangements.

Parties

(Case T-279/08)

(2008/C 247/29)

Language of the case: French

Second, the applicant argues that there is no legal basis for the
application of flat-rate or extrapolated financial corrections to
in the Programming Period
the Operational Programme
1994-1999 as there were no rules available in respect of that
period similar to those laid down in Article 39 of Regulation
(EC) No 1260/99 (1). Furthermore, nor can a sufficiently precise
legal basis be found in the provisions of Article 24 of Regu-
lation (EEC) No 4253/88 (2),
the
Commission of 15 October 1997 on net financial corrections
within the framework of Article 24 of Regulation No 4253/88
or the principles of sound financial management provided for in

the internal guidelines of

Applicant: Communauté d'agglomération du Douaisis (repre-
sented by: M.-Y Benjamin, lawyer)

Defendant: Commission of the European Communities.

Form of order sought

— Annul the decision No C 38/2007 of the Commission of

2 April 2008.