System for protecting the euro against counterfeiting

SUMMARY OF:

Regulation (EC) No 1338/2001 — protecting the euro against counterfeiting

WHAT IS THE AIM OF THE REGULATION?

It sets up a system allowing European Union (EU) countries to gather and exchange information on counterfeit notes and coins among themselves, with the European Central Bank (ECB), the European Commission, the European Police Office (Europol) and non-EU countries, where appropriate.

KEY POINTS

Scope

Council Regulation (EC) No 1339/2001 extends the scope of the regulation to cover non-euro area EU countries.

Main features of the system for the protection of the euro

The systematic transmission of technical data on counterfeit euro notes and coins by EU countries’ authorities (mainly national central banks) to the ECB; the ECB is responsible for their storage and processing.
EU countries’ authorities must allow their national analysis centre to examine suspect counterfeit notes and allow the Coin National Analysis Centre to examine suspect coins. These bodies must send all new types of suspect notes to the ECB and all new types of suspect coins to the European Technical and Scientific Centre (ETSC).
Credit institutions, other payment service providers and other institutions that process and distribute notes and coins to the public have certain obligations. EU countries must provide for effective, proportionate and dissuasive penalties applicable to institutions that fail to comply.
Cooperation (among other things, via the Pericles programme, set up under Regulation (EU) No 331/2014) between the relevant authorities of EU countries (in particular the national central offices established under the International Convention for the Suppression of Counterfeiting Currency), the ECB, the Commission and the Europol.
Centralisation of the information on euro counterfeiting cases nationally and its transmission to Europol.
Cooperation with non-EU countries and international organisations (including Interpol).

EU countries must communicate the list of authorities that they designate as competent to identify counterfeit notes and coins to the Commission and the ECB.

The European Commission set up the Euro Counterfeiting Experts Group to:

assist in drafting proposals for legal acts or policy initiatives relating to notes and coins counterfeiting;
cooperate closely with the Commission, EU countries, the ETSC, the ECB and Europol;
exchange information and establish good practices on preventing and combating counterfeiting, as well as analyse its impact;
advise the Commission on implementing Regulation (EC) No 1338/2001 and the Pericles programme.

FROM WHEN DOES THE REGULATION APPLY?

It has applied since 1 January 2002. However, it applied from 4 July 2001 to notes and coins which had not yet been issued but which it was intended to issue.

BACKGROUND

Introduced prior to the introduction of the euro in 2002, Regulation (EC) No 1338/2001 seeks to protect euro banknotes and coins against counterfeiting.

It complements a series of decisions taken previously:

setting up national analysis centres;
setting up the Counterfeit Analysis Centre;
gathering technical information on euro counterfeiting by the ECB and by the ETSC responsible for analysing euro coins;
introducing penal sanctions against euro counterfeiting.

For more information, see:

legislation and other measures to protect the euro on the European Commission’s website
protection of the euro on the ECB’s website
anti-counterfeiting on the ECB’s website

MAIN DOCUMENT

Council Regulation (EC) No 1338/2001 of 28 June 2001 laying down measures necessary for the protection of the euro against counterfeiting (OJ L 181, 4.7.2001, pp. 6-10)

Successive amendments to Regulation (EC) No 1338/2001 have been incorporated into the original document. This consolidated version is of documentary value only.