Judgment of the Court of First Instance (Second Chamber) of 11 July 2007 – Al-Aqsa v Council

(Case T-327/03)

Common foreign and security policy – Restrictive measures against certain persons and entities with a view to combating terrorism – Freezing of funds – Action for annulment – Statement of reasons

1.                     Procedure – Decision replacing the contested decision during the proceedings (see paras 33-36)

2.                     Acts of the institutions – Statement of reasons – Obligation – Scope (Art. 253 EC; Council Regulation No 2580/2001; Common Position of the Council 2001/931, Art. 1(4) and (6)) (see paras 53-55, 56-58)

3.                     Acts of the institutions – Statement of reasons – Obligation – Correction of an error of reasoning during the proceedings before the Court – Not permissible (Art. 253 EC) (see para. 65)

Re:

ACTION for annulment in part, first, of Council Decision 2003/480/EC of 27 June 2003 implementing Article 2(3) of Regulation (EC) No 2580/2001 on specific restrictive measures directed against certain persons and entities with a view to combating terrorism and repealing Decision 2002/974/EC (OJ 2003 L 160, p. 81), and, second, of Council Decision 2003/646/EC of 12 September 2003 implementing Article 2(3) of Regulation No 2580/2001 and repealing Decision 2003/480 (OJ 2003 L 229, p. 22).

Operative part

The Court:

1. Annuls Council Decision 2006/379/EC of 29 May 2006 implementing Article 2(3) of Regulation (EC) No 2580/2001 on specific restrictive measures directed against certain persons and entities with a view to combating terrorism and repealing Decision 2005/930/EC in so far as it concerns Stichting Al-Aqsa;

2. Declares that there is no need to rule on the claim for a declaration, pursuant to Article 241 EC, that Council Regulation No 2580/2001 of 27 December 2001 is unlawful;

3. Orders the Council to bear, in addition to its own costs, the costs of Stichting Al-Aqsa;

4. Orders the Kingdom of the Netherlands to pay its own costs.