Miles Fined €25M: Berlin Carsharing Firm Faces Record Penalty for Unpaid Parking Fees

by Chief Editor

Berlin’s city treasury has received a significant boost following a record €25 million fine levied against a carsharing provider by the Berlin Public Prosecutor’s Office. According to reports, the company in question is “Miles,” and the penalty stems from years of unpaid parking fees within the city.

Berlin’s Senator of Justice, Felor Badenberg (CDU), expressed satisfaction with the outcome, stating, “This case is a major success and demonstrates the potential of consistently applying asset forfeiture.”

The Berlin Public Prosecutor’s Office stated the violations occurred between January 2019 and October 2023. During this period, internal controls reportedly failed to reliably detect and prevent parking fee infractions. While the company was not officially named, sources indicate it is “Miles.”

Did You Know? The fine of €25 million is a record amount levied by the Berlin Public Prosecutor’s Office against a carsharing provider.

Specifically, the automatic transmission of parking fee data was temporarily interrupted, resulting in numerous parking violations going unpaid. The case was pursued as an administrative offense, and the fine has been legally finalized following a waiver of appeal, with the full amount already transferred to the city treasury.

Sources within the justice system indicate the case is not linked to organized crime, but it is expected to have a significant deterrent effect.

A Firm Course from the Senator of Justice

Senator of Justice Felor Badenberg (CDU) has significantly expanded the area of asset forfeiture since taking office. 43 additional positions have been created within the investigative authorities, and revenue from asset forfeiture has nearly doubled in 2024 alone. The justice system anticipates a fourfold increase in revenue this year, in part due to this recent case.

The Senator’s initiative is demonstrably effective; in comparison, only €4.9 million in assets were forfeited in all of 2023, while €8.8 million has already been recovered in 2024. Badenberg stated, “We have effective instruments in the area of administrative offenses to confiscate criminal funds. Why these opportunities were not used before is incomprehensible.”

Expert Insight: The substantial fine levied against “Miles” signals a clear intent by the Berlin justice system to aggressively pursue financial penalties for regulatory violations. This approach, coupled with increased staffing and a focus on asset forfeiture, suggests a broader strategy to enhance state revenue and deter future misconduct.

The Senator’s administration stated that the initiative and personnel strengthening are primarily intended to target organized crime in Berlin.

Badenberg emphasized, “Continuous efforts and close coordination between the authorities involved are necessary to demonstrate the state’s ability to act. My department makes a significant contribution to seizing illegally acquired assets and visibly enforcing the rule of law with the cooperation platform for asset forfeiture and specialist expertise.”

Frequently Asked Questions

What prompted the €25 million fine?

The fine was issued due to years of unpaid parking fees in Berlin by the carsharing provider, “Miles,” stemming from a failure to reliably detect and prevent parking fee infractions between January 2019 and October 2023.

Who is Felor Badenberg?

Felor Badenberg is the Senator of Justice for Berlin, representing the CDU. She has spearheaded an expansion of asset forfeiture efforts since taking office.

Has the fine been paid?

Yes, the fine has been legally finalized following a waiver of appeal and the full amount has already been transferred to the city treasury.

As the Berlin justice system continues to prioritize asset forfeiture, it remains to be seen whether this case will prompt other companies to review their compliance procedures and ensure accurate payment of city fees.

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