Background: Fines against Lithuanian e-money institution
At the center of the proceedings was a Lithuanian e-money institution that was fined eight separate times by the Bank of Lithuania. All violations of national anti-money laundering regulations were identified during the course of a single inspection. Nevertheless, the regulatory authority evaluated each individual one as separate systematic violation pursuant to the Lithuanian Anti-Money Laundering Law and consequently imposed individual penalties totaling 370,000 euros.
The affected company filed a lawsuit, arguing that this accumulation violated the EU law prohibition of double jeopardy (ne bis in idem) as well as the principle of proportionality.
Central legal question: How far may national authorities go?
The referring court – the Supreme Administrative Court of Lithuania – requested clarification from the ECJ on the interpretation of Art. 59 of the Money Laundering Directive (EU) 2015/849. This focused in particular on the following questions:
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Can multiple fines be imposed if all violations were discovered during a single inspection?
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Does every systematic violation automatically count as a separate violation with its own sanction?
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What restrictions under Union law apply to the accumulation of fines?
Important clarifications by the ECJ
1. Multiple individual fines permitted in a single audit
The ECJ ruled that Article 59 of the AMLD does not preclude national provisions under which systemic violations—even if established collectively—may each be penalized separately.
✅ Each systematic violation can lead to a separate fine, even if all of them were discovered in the course of the same AML audit.
2. Minimum harmonization allows for stricter national regulations
The Anti-Money Laundering Directive expressly provides for minimum harmonization only. National legislators are therefore permitted to enact more stringent sanctions, provided they are proportionate, effective, and dissuasive.
✅ Cumulative fines – as in the Lithuanian case – are permissible under EU law, provided they are preventive and deterrent in nature.
3. Safeguarding of Union law principles required
The ECJ judges emphasize that the following principles of Union law must also be observed in the case of multiple fines:
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Proportionality (no excessive sanctioning)
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effectiveness (effective enforcement of AML rules)
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Double jeopardy (no double punishment for identical facts)
✅ National practice must be examined and justified on a case-by-case basis.
Relevance for companies and compliance officers
The verdict has far-reaching consequences for all entities obligated under the Money Laundering Act (GwG) – including:
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Credit institutions and financial services institutions
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crypto service provider
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Notaries, lawyers and auditors
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other entities subject to AML obligations
Key takeaways for practice:
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Multiple violations can be penalized separately.
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An audit can lead to multiple fines.
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Professional compliance structures are essential to prevent systematic violations or detect them at an early stage.
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The amount of the sanction depends on the economic situation, willingness to cooperate, and risk of recurrence.
Conclusion: Clear guidelines for supervisory authorities and obliged entities
The ECJ ruling of June 19, 2025 brings legal certainty to the interpretation of Art. 59 of the Anti-Money Laundering Directive. It strengthens the operational capability of national supervisory authorities and clarifies that every single breach of duty can carry significant weight – even if it takes place as part of the same examination.
For companies and obligated parties, this results in:
➡️ Every gap in the internal anti-money laundering compliance system can become costly.
For Anti-money laundering specialists and Lawyers focusing on financial market regulation new challenges are arising – for example in defense against cumulative sanctions and the optimization of internal control systems.
For further information and individual consultation, please feel free to contact us Anela Blöch and Roman Taudes available at any time. Contact us at office@atb.law or by phone at +43 1 39 123 45.
