VIENNA, Austria (AP) _ Karl Habsburg, the grandson of Austria's last emperor, was ordered Friday to pay a $14,000 fine for smuggling a tiara across the Austrian border in 1996, the Austria Press Agency reported.

A financial appeals court in the western town of Feldkirch upheld a lower court ruling, ordering Habsburg to pay the fine.

Habsburg, a descendant of Charles I, said he ``may have made a mistake,'' but he insisted he had never wanted to smuggle anything across the border.

Habsburg and his wife arrived by plane in Austria's westernmost Vorarlberg province and customs officials found the jewels, which the couple had failed to declare.

In 1995-99, Habsburg served in the European Parliament, but was barred by conservative party leaders from running again because he was linked to a financial scandal.

Habsburg lives in Salzburg.