EU court annuls order for Spanish clubs to repay state aid

(iStock)
(iStock)

A European court on Thursday overturned an order that two Spanish football clubs, Valencia and Elche, must repay millions of euros in public subsidies. 

In July 2016, after concluding an investigation into alleged breaches of EU state aid rules, the European Commission had demanded the clubs repay Spain.

La Liga outfit Valencia was supposed to refund €20.4 million ($22.9 million) and second division Elche €3.7 million.

But the General Court of the European Union has now found that the commission, the EU's executive arm, had made a "manifest error of assessment" in issuing the order.

The EU had argued that loan guarantees provided to the clubs by public bodies had allowed them to obtain finance at unfairly advantageous rates.

But the court ruled that Brussels' calculations were off and cancelled the order.

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For only R75 per month, you have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today.
Subscribe to News24
Voting Booth
What is your favourite sport to watch on TV?
Please select an option Oops! Something went wrong, please try again later.
Results
Rugby
42% - 8900 votes
Cricket
11% - 2292 votes
Football
19% - 4065 votes
Athletics
2% - 527 votes
Boxing
1% - 189 votes
Cycling
2% - 493 votes
Golf
5% - 1039 votes
Motorsport
9% - 1800 votes
Tennis
3% - 724 votes
Water sports
1% - 196 votes
American sports
1% - 264 votes
MMA / WWE / UFC
3% - 668 votes
Vote