Greece will abide by the decision of the European Tribunal and the European Commission to return the illegal governmental subsidies it received on behalf of Olympic Airlines and Olympic aviation.

The minister of transportation and communications of Greece, Michael Liapis personally bound himself to see that decision be materialised. The amount in question is some 350 million Euros, 160 million Euros that the European tribunal decreed in December 2002 and an additional 190 million Euros. An additional sum of approximately 350 million euros which O.A should have paid as taxes and social security between December 2002 and December 2004 is still to be discussed. Mr M. Liapis promised the sum of 30 million euros will be returned and that he will put in writing the way which this sum will be paid back. He promised too, that he will inform in writing the E.C in the course of the next week, if the government will continue trying to find a future solution for O.A within the framework of a new invitation for tenders for the sale of O.A or proceed with another solution (acceptable and preferred by the E.U), stipulating the disbanding of O.A. as it stands today and the creation of a new, smaller company provided all actions taken will be in accordance with the rules of the E.C regarding the airlines.

The E.C pointed out to Mr M.Liapis that the latter’s proposals should be in writing accompanied with all the necessary documentation to allow the EU.C to study all the legal implications – before giving the “go-ahead” green light.


Source: Flight International