EU to propose punishment for deficit sinners

[June 17, 2010]  BRUSSELS (AP) -- The European Union's executive says it will propose sanctions for governments that break rules on debt and deficits as part of an overhaul of economy oversight.

EU leaders are debating long-term fixes to their debt crisis to prevent countries overspending and allowing their economies become less competitive in the wake of a bailout for Greece and worries about other states.

The European Commission says it will lay out its reforms on June 30 and make a detailed proposal in September for leaders to agree in October.

[Associated Press]

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