PURPOSE: to effectively combat fraud and
counterfeiting of non-cash means of payment.
LEGISLATIVE ACT: Directive (EU) 2019/713 of the
European Parliament and of the Council on combating fraud and
counterfeiting of non-cash means of payment and replacing Council
Framework Decision 2001/413/JHA.
CONTENT: credit card or online shopping fraud is on
the rise. It undermines consumer’s trust and makes consumers
more reluctant to make online purchases. In addition, the proceeds
of this type of fraud are used to finance criminal
groups.
This Directive establishes minimum rules concerning
the definition of criminal offences and sanctions in the areas of
fraud and counterfeiting of non-cash means of payment. It
facilitates the prevention of such offences, and the provision of
assistance to and support for victims.
The Directive is technology-neutral and covers not
only traditional non-cash means of payment, such as bank cards or
cheques, but also new payment methods that have emerged in recent
years, such as electronic money, mobile payments and virtual
currencies.
The Directive updates and complements existing rules
by including new provisions relating in particular to:
- the harmonisation of definitions in the areas of fraud
and counterfeiting of non-cash means of payment, including hacking
into a victim's computer, to ensure a consistent approach by Member
States of the application of the Directive and to facilitate the
exchange of information and cooperation between competent
authorities;
- the extension of the scope of punishable criminal
offences where they are intentional to include, for example,
transactions in virtual currencies, fraud relating to information
systems, as well as the use or provision of a device, computer data
or other means mainly designed or specifically adapted to commit an
offence;
- harmonisation of the rules on penalties applicable to
natural persons: the minimum penalties shall range from 1 to 5
years' imprisonment depending on the type of offence. For legal
persons, sanctions shall include criminal or non-criminal fines,
and possibly sanctions such as temporary or permanent exclusion
from access to public funding, prohibition of commercial activity
or closure of establishments which have been used to commit the
offence;
- clarification of the scope of competences in order to
ensure more effective treatment of cross-border fraud as well as
the obligation for Member States to put in place procedures to deal
promptly with urgent requests for assistance and measures to ensure
that appropriate reporting channels are made available to
facilitate reporting to law enforcement authorities and other
competent national authorities, without undue delay;
- assistance and support to ensure that victims who have
suffered harm as a result of offences committed through the misuse
of personal data are sufficiently informed of their rights and that
citizens are provided with advice on how to protect themselves
against fraud. Member States are encouraged to set up single
national online information tools to facilitate access to support
and assistance measures for victims;
- the collection of statistics on, as a minimum,
covering existing data on the number of offences registered by the
Member States and on the number of persons prosecuted for and
convicted of the offences. By 31 August 2019, the Commission shall
establish a detailed programme for monitoring the outputs, results
and impacts of this Directive.
ENTRY INTO FORCE: 30.5.2019.
TRANSPOSITION: no later than 31.5.2021.