Hungary Watchdog Chief Says Corruption May Have Cost Country $194 Billion (Worthy News Investigation)

by Stefan J. Bos, Worthy News Europe Bureau Chief

BUDAPEST (Worthy News) – Hungary’s anti-corruption watchdog chief said Monday that corruption and alleged procurement abuses during the 16 years of rule by former Prime Minister Viktor Orbán may have cost the country as much as 60 trillion forints ($194 billion).

Ferenc Pál Biró, president of the Hungarian Integrity Authority, called for investigations into former senior officials over the alleged misuse of European Union funds and public procurement contracts.

Speaking to several media outlets, Biró said, “High-level politicians can and may well be prosecuted” over their alleged involvement in schemes he said harmed taxpayers. He did not name Orbán or members of his inner circle, citing ongoing investigations.

Biró argued that corruption had become increasingly systemic under the previous administration, referring to allegedly inflated contracts, irregular tenders, and the concentration of state business among politically connected firms.

According to Biró, his office has identified several cases in which Hungary could potentially seek to recover funds linked to procurement irregularities and other suspected abuses.

PRESSURE ALLEGATIONS

The Integrity Authority was established in 2022 under reforms demanded by Brussels after the European Union froze billions of euros in funding over concerns about corruption and the rule of law.

Biró also alleged that his authority faced political pressure, intimidation, and attempts to obstruct investigations while examining sensitive procurement cases under the previous government.

Among other claims, he said former Justice Minister Bence Tuzson and former European Affairs Minister János Bóka urged him in 2024 not to pursue certain lines of inquiry. Tuzson has acknowledged meeting Biró but denied interfering in the watchdog’s work, while Bóka did not immediately comment.

Biró also claimed he faced personal pressure while pursuing sensitive investigations. Among other allegations, he said he was briefly detained over the alleged misuse of a company vehicle, while his wife was offered, he said, a well-paid position requiring little or no work. He said they declined the offer and viewed it as an attempt to influence or undermine the authority’s work.

Biró suggested these incidents formed part of broader efforts to intimidate him and obstruct investigations into suspected procurement abuses.

EU FUNDS AT STAKE

Biró said Hungary continues to lag behind in monitoring and controlling the use of European funds and urged the new administration to investigate allegations of corruption and intimidation.

The comments come as Prime Minister Péter Magyar seeks to persuade the European Union to release frozen funding crucial to Hungary’s economy.

Magyar has said his government hopes to unlock at least 16.4 billion euros ($18.9 billion) in EU funds, including more than 10 billion euros ($11.6 billion) currently withheld over rule-of-law concerns.

Earlier this month, Magyar announced a political agreement with Brussels aimed at releasing the funds. However, disbursement remains contingent on Hungary meeting all outstanding rule-of-law conditions and other agreed milestones.

Officials have said Hungary must implement key reforms by August 31 or risk losing access to 6.5 billion euros ($7.5 billion) in EU recovery grants. Experts say the release of EU funds is vital for Hungary’s economy, which has largely stagnated in recent years, as well as for a state budget under growing financial pressure.

REFORMS AND PROTESTS

Hungary’s parliament is expected to discuss additional anti-corruption measures this week, while the government is also pursuing constitutional changes that could allow the removal of President Tamás Sulyok, who is viewed by critics as closely aligned with the previous administration.

Magyar said Monday that his government would expand the network of foster parents, reduce lengthy hospital stays for children awaiting placement, and increase public oversight of child-protection institutions and orphanages following a series of abuse scandals that emerged under the previous government.

He pledged that “every cry for help will be heard,” saying reforms were needed after failures in Hungary’s child-protection system.

However, Magyar’s reform agenda has also sparked opposition.

In recent days, an estimated 2,000 people joined separate demonstrations against plans to remove Sulyok through constitutional changes.

OPPOSITION RESISTS CHANGES

One protest took place outside the presidential palace, while demonstrators also gathered near the prime minister’s office.

Magyar briefly greeted supporters and critics from a balcony overlooking the crowd.

He was seen waving a Hungarian flag and making a heart sign with his hands, prompting some protesters to respond with obscene hand gestures.

The developments underscore the challenges facing Hungary’s new government as it seeks to investigate past allegations of corruption, unlock billions in EU funding, and implement sweeping political and institutional reforms.

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