Among the most problematic areas in the integration of the EEC are control of payment fraud among members, lack of clearly defined penalties for Community offenses, and failure to eliminate the classic barriers to successful multilateral cooperation, i.e., double incrimination, nonextradition of nationals, and exceptions for political or economic offenses. Thus, when several nations have equal authority to prosecute Community offenses, it is unclear which state has the right of disposition. Furthermore, no provision in EEC treaties defines whether Community-imposed sanctions are to be considered criminal penalties. Council of Representative regulations state that penalties are non-criminal, but in general the meaning of the penalties is unclear. Attempts of harmonizing the divergence among the vastly different criminal penalties imposed by different member countries for the same offenses under the Community rules have been unsuccessful. Because Community laws are enforced at the discretion of individual countries, offenses are only punishable when committed against national interest, on national territory, by a person residing within the country in question. Efforts have been made to resolve these problems. The Protocol on Criminal Protection of Financial Interests of the Community and the Protocol on the Responsibility and Criminal Protection of other Community Employees specify Community offenses, e.g., offenses defined in treaties, passive corruption, and breaches of confidentiality. The accord among member states of the European Community for application of the European Convention on the Repression of Terrorism establishes the concept of 'European judicial space' for measures against terrorism as well as extradition procedures. Notes are supplied.