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Departmental Legal Costs

Dáil Éireann Debate, Friday - 16 September 2016

Friday, 16 September 2016

Questions (296, 303)

Catherine Murphy

Question:

296. Deputy Catherine Murphy asked the Minister for Finance the amounts expended on legal fees and associated costs to date on providing a legal team to observe the European Commission's case against a bank (details supplied) when it reached the European Court of Justice; the names of the legal and financial companies contracted; and if he will make a statement on the matter. [25609/16]

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Pearse Doherty

Question:

303. Deputy Pearse Doherty asked the Minister for Finance the legal fees incurred by the State to date as a result of its decision to join a case (details supplied) before the European Court of Justice; and if he will make a statement on the matter. [25718/16]

View answer

Written answers

I propose to take Questions Nos. 296 and 303 together.

The State's intervention in case C-21/15P Commission v Banco Santander and Santusa was lodged in January 2016, following the Government Decision to approve the intervention on 30 April 2015.

The appeal in this case follows on from annulment proceedings brought by Banco Santander SA against a European Commission decision that a provision of Spanish tax law constituted illegal state aid contrary to Article 107 of the Treaty on the Functioning of the European Union.  Banco Santander won in the General Court (judgment of 7 November 2014 in Case T-399/11) and the European Commission has appealed to the Court of Justice of the European Union.

All Member States have legal standing to intervene in cases that go before the European courts and do so from time-to-time if it is considered that the case raises points of relevance and in order to influence the jurisprudence.  This case is considered to be important for Ireland as it relates to the interpretation of selectivity and state aid, with a particular regard to tax measures.

The associated costs for the State in this case have amounted to approximately €21,500.

The legal costs in this case have been met from existing resources in the Attorney General's Office. There were additional costs including translation services, travel and other associated costs, incurred by officials of the Department of Finance, Attorney General' s Office and the Chief State Solicitors Office.

There has been no engagement with private law firms or private financial firms in this case. The legal case has been undertaken by the Attorney General's Office who have engaged legal counsel as appropriate.

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