EU Adopts Criminal Liability for Money Laundering Offences

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The EU Council has formally received a mandate requiring all Member States to introduce criminal liability arrangements against any tax avoidance penalties.

The new Directive imposes a 4-year imprisonment sentence for the worst cases of money laundering offenses; enabling European countries to penalise or liquidate any legal entities found to be avoiding taxation. The Directive has also cleared up which member states have precedence in cross-border examinations.