Austria faces a potential fine of nearly ten million euros after missing a deadline to implement an EU sanctions directive. Despite an extension to November 4, 2024, negotiations between the OVP, SPO, and Neos ended Wednesday without a legislative agreement.
The directive targets businesses trading with Russia or circumventing sanctions, requiring fines based on turnover rather than profit. While the Ministry of Justice submitted a draft in 2023, the OVP warns that turnover-based fines could cause bankruptcies.
A European Court of Justice conviction carries a 4.5 million euro lump sum plus daily penalties. With 65 active infringement procedures, the government now aims to send a draft for review on November 18, 2024, to enact the changes by the start of 2025.
