Hungary violated European Union law by allowing 2,525 convicted people smugglers to be released early from prison under a controversial government decree, the Court of Justice of the European Union (CJEU) ruled on Thursday.

Court of Justice of the European Union slams Hungary

The Luxembourg-based court upheld the European Commission’s legal action against Hungary, finding that the country’s system of replacing prison sentences with a special reintegration regime failed to provide effective, proportionate and dissuasive penalties.

The ruling concerns a 2023 government decree that allowed foreign nationals sentenced to imprisonment and expulsion for people-smuggling offences to be transferred automatically to so-called “special reintegration detention”.

Why did the EU court rule against the Hungarian government?

Under the scheme, those released had to leave Hungary within 72 hours and were prohibited from returning for the remainder of their original prison sentences. A total of 2,525 convicted individuals were placed under the regime before the decree was repealed on 19 August 2025.

The European Commission, led by Ursula von der Leyen, argued that the measure created a systemic risk of people-smuggling offences going effectively unpunished. It also warned that the policy undermined the effectiveness of EU migration and border-control policies. The Commission subsequently brought infringement proceedings against Hungary before the CJEU, which has now upheld its action.

Prison sentences effectively replaced by expulsion

The judges ruled that the special reintegration regime could not be considered an effective sanction because the prison sentences imposed by final court judgments were not actually served. Instead, they were effectively replaced by an obligation to leave Hungary and a temporary ban on returning.

The court also found that the measure lacked a sufficient deterrent effect. Potential offenders could anticipate that, even if caught and convicted in Hungary, they might ultimately face little more than expulsion and a temporary entry ban.

Furthermore, the automatic release procedure failed to meet the principle of proportionality. Authorities did not individually assess the circumstances of the offences or the personal situations of those concerned before releasing them. The judges stressed that matching the return ban to the length of the original prison sentence was not sufficient, in itself, to ensure a proportionate punishment.

Never miss a headline: join Daily News Hungary’s official WhatsApp channel!

Serious offences also covered by the decree

The court identified an additional breach involving particularly serious offences for which EU law requires prison sentences of at least eight years. These include facilitating the entry into or transit through an EU Member State of non-EU nationals for financial gain, as part of a criminal organisation or in circumstances that endanger the lives of those being smuggled.

The judges found that Hungary’s decree could also apply to such offences, contrary to the country’s obligations under EU law.

More on Hungary’s EU relations: PM Magyar seeks EU funds for Hungary’s border fence as he vows to recover billions lost under Orbán

What happens next?

Although Hungary repealed the measure in August 2025, the court proceeded with its assessment and formally established that the country had breached EU law while the scheme was in operation. The judgment does not impose an immediate financial penalty on Hungary. However, the country must comply with the obligations arising from the ruling.

Importantly, the decision does not determine what should happen to the 2,525 convicted people smugglers who were released under the scheme. The ruling represents a legal setback for Hungary’s approach to punishing foreign people smugglers, while leaving the future of those released unresolved.

Read also: Fidesz claims Péter Magyar has given up EUR 2.1 billion in EU funds