Here is the explanation why public money is spent on TV2 and Kopaszi dam

According to origo.hu, CEO of Eximbank admitted that they gave money to the company of Andy Vajna for the purchase of TV2 and also supported the company of István Garancsi who payed for the Kopaszi dam. He said it was legal, the money was given as a loan in order to  help Hungarian entrepreneurs buy from foreign investors. The reason for allowing an extremely short 10 days long application time for HUF 16 billion capital fund was that they wanted to test how quick the applicants are able to work.

Zoltán Urbán, CEO of Eximbank told that they gave the loan to Market Építő Zrt. associated with István Garancsi in order to buy the empty area owned by foreigners and to build a neighborhood and create jobs.

He also said that the state-owned bank lent money to a Hungarian entrepreneur (Andy Vajna) in order for him to buy the TV2 group and set it to a new growth path. However, it does not include subsidy, the loan has strict conditions – Urbán emphasized.

According to index.hu, Eximbank did not reveal which fund management company won the tender, which had unusual conditions anyway. Private capital was not needed, there was only a 10-day deadline, but the announcement of results had been postponed.

Weekly Figyelő wrote on Thursday that the parties have not said anything because of banking secrecy. According to Eximbank the negotiations had been protracted and if they failed to agree, the runner-up would “jump forward”.

Zoltán Urbán answered that the publication of the call was preceded by five months of preparation. The short deadline was explained by that they wanted to work with a company that was able to make such an application within 10 days. He added: 9 fund management companies satisfied the conditions, 8 bought the package, 4 issued it, and the bank began to negotiate with the one offering the best conditions, origo.hu wrote.

Photo: MTI

Copy editor: bm

Source: http://www.origo.hu