Article 20 Penalties

1.   Without prejudice to the obligations of Member States under Directive (EU) 2024/1203 of the European Parliament and of the Council (22), Member States shall lay down the rules on penalties applicable to infringements of this Regulation and shall take all measures necessary to ensure that they are implemented. The penalties provided for shall be effective, proportionate and dissuasive.

2.   The penalties referred to in paragraph 1 shall include administrative financial penalties that effectively deprive those that committed the infringement of the economic benefits derived from their infringements.

3.   For the most serious infringements committed by a legal person, the maximum level of the administrative financial penalties referred to in paragraph 2 shall be at least 3 % of its annual Union turnover in the financial year preceding the year in which the administrative financial penalty is imposed.

4.   Member States may also, or alternatively, impose criminal penalties, provided that they are equivalently effective, proportionate and dissuasive to the administrative financial penalties referred to in this Article.

5.   Member States shall ensure that the penalties established pursuant to this Article take due account of the following, as applicable:

6.   Member States shall without undue delay notify the Commission of the rules and measures referred to in paragraph 1 and of any subsequent amendments affecting them.