The Council of the European Union is considering the possibility of introducing criminal liability for helping Russia circumvent sanctions, including up to 5 years in prison, the EU Council said, UNN reports.
Details
The Spanish presidency of the Council and the European Parliament have finalized negotiations on an EU law that would introduce criminal offenses and penalties for violating EU sanctions. This directive ensures that those who violate or circumvent EU sanctions will be held accountable. This is of particular importance in the context of Russia's war of aggression against Ukraine
Member states will have to define certain actions as criminal offenses, which include:
- assisting persons subject to EU restrictive measures to circumvent travel bans;
- trading in sanctioned goods and conducting transactions with states or entities subject to EU restrictive measures;
- providing financial services or conducting financial activities that are prohibited or restricted;
- concealing the ownership of funds or economic resources by a person, organization or body subject to EU sanctions.
Aiding and abetting these crimes will also be punishable as a crime. Trade in war materials will constitute a criminal offense not only in the case of intentional commission, but also in the case of gross negligence
Addendum
The law will provide for criminal penalties, in particular, "Member States shall ensure that the offenses defined in this directive are punishable by a maximum penalty of one to five years' imprisonment, depending on the offense."
In addition to imprisonment, those who violate EU restrictive measures can be fined. European countries can also adopt laws that provide for more severe penalties.
In addition, companies will also be liable for violating the law, which will include the revocation of permits and powers to conduct business activities.
States should also step up their efforts to ensure compliance with EU sanctions. To this end, they will be obliged to provide for a limitation period, i.e. a time period within which legal proceedings must be initiated to ensure proper enforcement. States should also take measures to freeze and confiscate proceeds derived from violations of sanctions
To recap
The UK government has announced a new agency to combat the circumvention of sanctions against Russia - the Office for Trade Sanctions Implementation (OTSI).