On 9 June 2023, the EU Council announced that it had finalised its general position on legislation to introduce criminal offences and penalties for violations of EU sanctions. This general position forms the basis for negotiations with the European Parliament to reach a common position on the draft Directive.
Currently, EU Member States are not required to criminalise sanctions violations. According to the announcement, the draft Directive defines the conduct EU Member States will need to criminalise. In particular, actions which EU Member States will label as criminal offences will include:
- Helping persons subject to EU restrictive measures to bypass an EU travel ban.
- Trading sanctioned goods.
- Running transactions with states or entities which are hit by EU restrictive measures.
Ensuring that violations of EU sanctions are punishable by effective, proportionate and dissuasive criminal penalties, the draft Directive envisages that penalties will vary depending on the offence. EU Member States will also have to update their national laws so that aggravating circumstances are taken into account when determining the penalty.
The measures are also geared towards ensuring stricter enforcement and application of EU sanctions. As part of this, EU Member States will also have to:
- Introduce a limitation period that allows for proper law enforcement.
- Take measures to freeze and confiscate the proceeds from EU sanctions violations.
- Guarantee cooperation and coordination between various law enforcement and judicial authorities. Cooperation on criminal investigations into EU sanction violations will also happen at European level, between EU Member States, the Commission and EU agencies such as Europol or the European Public Prosecutor’s Office.
A copy of the draft Directive is available here.
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