L 329/22 Official Journal of the European Communities 5.12.2002 COMMISSION DECISION of 10 July 2002 on the ais scheme implemented by Finland for Aland Islands captive insurance companies (notified under document number C(2002) 2410) (Only the Finnish and Swedish texts are authentic) (Text with EEA relevance) (2002/937[EC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Community, and in particular the first subparagraph of Article 88(2) thereof, Having regard to the Agreement on the European Economic Area, and in particular Article 62(1)(a) thereof, Having called on interested parties to submit their comments pursuant to the provisions cited above (%), Whereas: I. PROCEDURE By letter EUEC020-284 dated 15 July 1998 (registered under number SG A[38452), the Finnish authorities notified to the Commission an aid scheme for so-called captive insurance companies in the County of Aland. Since the measure had already entered into force in 1993, Finland's notification was late and could not be deemed valid under Article 88(3) of the EC Treaty. By letters dated 15 October 1998, 5 February 1999 and 2 June 1999, Finland provided the Commission with additional information. On 13 July 2000 the Commission sent a further letter (D/53912) to the Finnish authorities asking for confirmation that the State aid measure in question had never been applied. The Finnish authorities replied by letter EUEC096-217 of 25 August 2000 (A/37109), confirming that the measure had indeed not been applied since its entry into force. By letter dated 11 July 2001 (SG 2001 D/289763), the Commission informed Finland that it had decided to initiate the procedure laid down in Article 88(2) of the EC Treaty in respect of the aid. Comments from Finland () OJ L 309, 1.11.2001, p. 4. ) were received by letter EUEC206-94 dated 9 August 2001. The Commission's decision to initiate the procedure was published in the Official Journal of the European Communities (3. The Commission invited interested parties to submit their comments on the measure. The Commission received no comments from interested parties. II. DETAILED DESCRIPTION OF THE AID 1. Provisions of the scheme The aid measure in question was introduced in Finland by the County of Aland for implementation on the latter's territory. An amendment to the Aland Local Government Taxation Law entered into force on 9 December 1993 (AFS 109/93). Under that amendment, captive insurance companies meeting certain criteria could benefit from lower taxation that would normally apply to companies and collective advantages. At the time the amendment was adopted, the tax advantage was equal to 10 percentage points. Captive insurance companies paid a lower overall rate of corporation tax than the standard rate of 25 % applicable at that time. The net advantage enjoyed by captive insurance companies in Aland Islands changed in 1996 and 1998 as a result of the decision by the relevant authorities to amend the standard rate of corporation tax. These changes and their subsequent adjustments are the subject of the present decision. (3) See footnote 1.