European Parliament to legally challenge EU funds paid to Hungary

The European Parliament is exploring legal avenues to block the EUR 10.2 billion made available to Hungary. On Thursday, the EP adopted a resolution asserting that the European Commission should not have disbursed part of the cohesion funds, claiming that Hungary did not fully meet the rule of law requirements.

EUR 10 billion already paid to Hungary – EP to challenge this?

On December 13, the European Commission decided to accept Hungary’s judicial reforms. At that time, the commission stated that Hungary complied with several European Union expectations, unlocking nearly half of the cohesion support, EUR 10.2 billion out of 22 billion, for the Hungarian government.

However, during its Thursday session, the European Parliament approved a resolution seeking the legal means to prevent the disbursement of the EUR 10.2 billion allocated to Hungary. The resolution passed with 345 in favor, 104 against, and 29 abstentions, Világgazdaság reports.

No funds before meeting all requirements

In its resolution, the European Parliament voted against acknowledging that the changes in Hungary meet the expected rule of law standards set by the EU. Moreover, they expressed concerns about the erosion of fundamental rights due to the sovereignty protection law.

According to the EP resolution, the European Commission cannot release funds partially in cases where the rule of law expectations towards member states are inadequately met. Members of the Parliament voted in favor of making the support funds available only when all requirements are fully met, insisting on no disbursement until then.

The European Parliament argues that there is a possibility of the European Commission violating the financial interests of the Union when unlocking part of the funds allocated to Hungary.

Reaction by the PM’s chief of staff

Gergely Gulyás, the minister leading the Prime Minister’s Office, stated in Budapest during Thursday’s Cabinet Briefing that the European Parliament debate on Wednesday provided a clear picture for everyone. The European Commission, he noted, acknowledged the steps taken by the Hungarian government primarily in the interest of judicial independence. However, the Commission’s president linked the release of additional EU funds to changes in LGBTQ and migration issues.

In cases that are not harmful, the Hungarian government is willing to reach an agreement. But in matters where Hungarians have clearly expressed their views, it would be undemocratic and unacceptable to concede, he emphasised.

Read also:

• Just in: Hungary receives another EUR 140 million in EU funding
• European Commission to withhold EUR 20 billion until Hungary fulfills all requirements