Brussels, 12/04/2000 (Agence Europe) - The European Commission asked Germany to recuperate state aid (DM 140.1 million) paid to System Microelectronic Innovation (SMI) and to the companies to which the shares where transferred. This decision closes the investigation running since 1997.
SMI, a company producing customised microchips, filed for bankruptcy in 1997. Nevertheless, its administrator maintained the activities through a new company called Silicium Microelectronic Integration (SIMI) and its 100% owned subsidiary, Microelectronic Design & development (MD&D). MD&D acquired in July 1999 the SIMI shares and the SMI assets. In the mean time, the Treuhandanstalt paid a subsidy of DM 64.8 million to SMI and DM 1 million to SIMI and the Land of Brandenbourg granted a loan of close to 70.3 million to SMI to cover the losses accumulated between 1993 and 1997 and an aid of 4 million to SIMI. The company having since then been sold to Megaxess (United States), the Commission called on Germany to recuperate the aids from the American company.