Order of the General Court (Fourth Chamber) of 29 January 2013 —
Sagar v Commission

(Case T‑269/00)

Action for annulment — State aid — Reductions in social security contributions for undertakings in Venice and Chioggia — Decision declaring the aid scheme incompatible with the common market and requiring the recovery of aid paid — Action manifestly lacking any foundation in law

1.                     Judicial proceedings — Objection of inadmissibility — Power of the General Court to dismiss an action on the merits without ruling on the objection of inadmissibility — Extent of its discretion (Rules of Procedure of the General Court, Arts 111 and 114(4)) (see paras 19-22)

2.                     State aid — Concept — Measures intended to compensate for structural disadvantages borne by undertakings established in a given region of a Member State — Included — Adverse effect on competition — State measures seeking to approximate the conditions of competition, in a certain economic sector, with those prevailing in other Member States — Not permissible (Art. 87(1) EC) (see paras 28, 29)

3.                     State aid — Commission decision finding an aid scheme incompatible with the common market — Obligation to state reasons — Limits (Art. 88 EC) (see paras 31, 32, 35)

4.                     State aid — Examination by the Commission — Examination of an aid scheme in its general characteristics — Lawfulness — Low amount of aid and exercise of activities of undertakings beneficial at the local level — Aid capable of affecting intra-Community trade and causing a distortion of competition — Irrelevant (Arts 87 EC and 88 EC) (see paras 35-37)

5.                     State aid — Prohibition — Exceptions — Aid which may be considered compatible with the common market — Aid for the development of particular areas — Exclusion of operating aid save in exceptional circumstances — No infringement of the principles of non-discrimination and legal certainty (Art. 87(3)(c) EC; Commission Notices 88/C 212/02 and 98/C 74/06) (see paras 48-50)

6.                     State aid — Recovery of unlawful aid — Restoration of the prior situation — Commission decision ordering repayment of the aid — Obligation to state reasons — Scope — Obligation of the Commission sufficiently to monitor the individual situation of each beneficiary — Possibility of leaving to the national authorities the task of determining without excessive difficulty the undertakings concerned (Arts 87 EC and 88 EC) (see paras 57, 61)

Re:

APPLICATION for annulment of Commission Decision 2000/394/EC of 25 November 1999 on aid to firms in Venice and Chioggia by way of relief from social security contributions under Laws Nos 30/1997 and 206/1995 (OJ 2000 L 150, p. 50).

Operative part

1. The plea of inadmissibility raised by the European Commission is joined to the main proceedings.

2. The action is dismissed as manifestly lacking any foundation in law.

3. Sagar Srl, in addition to bearing its own costs, is ordered to pay the costs incurred by the Commission.

4. The Italian Republic is ordered to bear its own costs.