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News Releases
No. 67/07
June 14, 2007
Persons Entering or Leaving EU Must Declare Cash
Movements
Under a new European Union law, travelers entering or
leaving the EU will be required as of June 15 to declare
sums of €10,000 or more. The new Union-wide approach to
controlling
cash movements complements the EU's
Money
Laundering Directive, which already provides for
monitoring of transactions made through credit and
financial institutions.
 "The new rules will make it more difficult for
terrorists to enter or leave the Community with the
cash
required to finance their illegal actions while at the
same time it will not put disproportionate
administrative formalities on the majority of travelers
and traders given that the €10,000 threshold is high
enough," said
Taxation and Customs Commissioner
László
Kovács. "A single uncomplicated system of this type will
also be fairer to legitimate travelers who will no
longer be faced with control measures that vary
depending on where they enter or leave the Community."
Under the new rules, customs authorities are empowered to
undertake controls on people and their luggage and
detain cash that has not been declared. They are
required to initiate proceedings against people who fail
to declare cash of an amount of €10,000 or more (or its
equivalent in other currencies or easily convertible
assets such as non-crossed checks). As for penalties
resulting from such proceedings, it is up to EU Member
States to ensure that they are proportionate to the
offense, so as to have a deterrent effect.
Member States must record information obtained through
declaration or through control and make it available to
the authorities fighting money laundering and financing
of terrorism. Where there is evidence that cash is being
carried for the purpose of money laundering or terrorist
financing, Member States may exchange information.
For further information:
http://ec.europa.eu/eucashcontrols
Further Contact Information
Press and Public Diplomacy
Delegation of the European Commission
2300 M Street, NW
Washington, DC 20037
http://www.eurunion.org/PressRoom
Tel: 202-862-9552
Fax: 202-429-1766
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