According to a report in the UK's Independent this week, jibes made by Ryanair chairman Michael O'Leary last month in response to EC demands to repay EUR4 million in illegal state aid paid to the airline by the Walloon authorities may have cost the firm its legal subsidy arrangement as well.
Challenging the EC ruling on the subsidies received by the airline in return for flying to the Charleroi regional airport in Belgium, Mr O'Leary branded the Commission "Stalinist" and "psychologically and morally bankrupt", and replied in colourful language to a request to repay the EUR4 million deemed to be the illegal portion of the state aid.
However, the Independent report suggested that the EC may have another card up its sleeve, and may be planning to block the EUR4 per passenger subsidy that Ryanair receives from the Walloon government perfectly legally, in order to collect what it feels to be an outstanding debt.
The regional authorities have additionally threatened to take legal action against the low cost carrier if it does not repay the disputed portion of the subsidies.
Ryanair has filed an appeal with the Court of First Instance seeking to overturn the ruling. However, the Independent revealed that the case may not be heard until the end of next year.
.
Network Tweets
Network BlogsContent
provided by
|
Archive | Resources | Partners | Site Map | Links | Newsletter Archive | Contact | RSS Feeds | About | Syndication | Advertising & Marketing | Recruitment | Terms & Conditions | Privacy & Cookies
Copyright © 2012 - All Rights Reserved - Tax-News.com
IMPORTANT NOTICE: Tax-News.com has taken reasonable care in sourcing and presenting the information contained on this site, but accepts no responsibility for any financial or other loss or damage that may result from its use. In particular, users of the site are advised to take appropriate professional advice before committing themselves to involvement in offshore jurisdictions, offshore trusts or offshore investments.
Write a comment