EC Adopts Measures To Clamp Down On Euro Counterfeiting

by Ulrika Lomas, for LawAndTax-News.com, Brussels

19 September 2007

The European Commission has this week adopted a package of measures designed to strengthen the protections against counterfeiting of Euro banknotes and coins.

The Commission announced on Monday that it proposes to make it mandatory for banks and related establishments to ensure the authenticity of Euro banknotes and coins before these are put back into circulation.

The Commission also adopted a report that shows that Member States have largely satisfactorily implemented their obligations with regard to criminal penalties against Euro counterfeiting.

The Commission has now released its 2006 report on the protection of Euro coins against fraud and counterfeiting, detailing the efforts to remove counterfeits from circulation and including recommendations as to what more can be done in terms of cooperation.

This annual report accounts for the Commission's activities to enhance the protection of Euro coins. While Euro coin counterfeiting activity has increased in itself, authentication efforts have largely contributed to the detection of larger numbers of counterfeit Euro coins in 2006, according to the report.

The number of counterfeit Euro coins removed from circulation rose to nearly 164,000 pieces (mainly 2-euro coins, followed by 1-euro and 50-cent coins) in the period under study.

However, the report revealed that the number of Euro coin counterfeits found in circulation is still significantly lower than numbers for pre-Euro currencies.

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