A STATE aid inquiry has been launched by the European Commission into concerns that restrictions on the payment of further state aid by the Spanish government to porcelain manufacturer Grupo de Empresas Álvarez, (GEA), in Vigo, Galicia, have been circumvented.

In a statement, the Commission said that previous aid to this company had been cleared on condition that it would receive no new subsidies while the restructuring - that the aid was helping to pay for - was carried out. Brussels now says it has "serious doubts as to whether ...

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