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ECJ rejects France’s appeal and confirms that PMOI’s fundamental rights were breached by the Council

21/12/11

Case C-27/09 P France v People's Mojahedin of Iran and Council of the European Union

The European Court of Justice has rejected the appeal brought by France against the judgment of the General Court in Case T-284/08 PMOI [2008] ECR I-3487.  In its judgment, the General Court had annulled a Council Decision freezing the assets of the People's Mojahedin of Iran on the basis that it was a terrorist organisation.

The Council placed the PMOI on its list on the basis of an order of the Home Secretary but, after this order was quashed by the POAC and the Court of Appeal on the ground that no rational person could reach the conclusion that the PMOI was involved in terrorism, the Council proscribed the organisation on the basis of a French investigation begun in 2001.  The General Court held that the Council failed to give the PMOI a fair hearing in that it did not inform the PMOI in advance of its intention to maintain the listing on the basis of the French investigation.

In this appeal, the French Government argued that the requirement of prior notification admits of exceptions and that the Council was justified by consideration of urgency in not providing the PMOI with information relating to the grounds for its decision before taking it.  This argument was roundly rejected by the ECJ which held that it is "fundamental and essential to the rights of defence" that the Council must, before taking any decision to maintain a person on its asset-freezing list, notify that person of the incriminating evidence against it and give it the opportunity to make representations.

This marks the end of nearly 10 years of litigation in which the PMOI challenged a long succession of Council decisions which were all annulled.

The judgment is here.

David Vaughan CBE QC, Maitre J-P Spitzer (Paris Bar) and Marie Demetriou represented the PMOI.