Euro millions stolen from those in need: Hungarian Integrity Authority exposes overpricing in EU-funded projects
Hungary’s Integrity Authority on Monday announced the close of a probe in which it uncovered “extreme” overpricing in two European Union-funded projects to provide food assistance to materially deprived people.
The probe showed a consortium led by Haller Kft overpriced staples in the food assistance by 70pc, or HUF 7.6bn (EUR 19m), while Kata-Mill Plusz Kft inflated prices in its contract by 37pc, or HUF 2.6bn (EUR 6.5m).
The authority said the overpricing resulted in the delivery of 2.3 million food assistance packages, instead of 3.7 million, to the needy.
“The outrage of the whole of society that the people involved in these abuses have profited from those who are most in need and vulnerable – the elderly and the poor – is justified. The network, which bears the names of two companies, has effectively stolen 10.2 billion forints from the poor. The case is a clear example of what you have often said in public: that the abuse of power and corruption harms precisely the most vulnerable in society. Unfortunately, this case will probably be one of many in which, by the time any real progress is made, the perpetrators and the stolen money will have disappeared without a trace, with virtually no consequences,”
Ferenc Biró, President of the Integrity Authority, commented on the outcome of the investigation, adding: “Given the appropriate powers, the Authority can investigate such cases in a timely and complete manner, follow through with these procedures, recover the stolen money and help bring the culprits to justice. This is why it is essential that the powers of the Authority are clarified as soon as possible.”
In total, the four SCIF-related projects under review received 31.2 billion forints in funding, 85 percent of which was EU funding. The projects concerned were implemented between 1 October 2016 and 31 December 2023.
The Integrity Authority will file criminal complaints in the matter.
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5 Comments
The article describes the stealing and over-pricing as something that happens, like the rain or sunset. However, the people responsible for this are Fidesz members.
Everyone that has even tried to get EU-fund in Hungary has realized that the money is only routed to friends and the project proposals are ridged.
Crestfallen.
Hungary – “driven” to the position we are presently, that realistically – factually can only WORSEN, by a Government, under a Prime Minister – Victor Mihaly. Orban and his Fidesz Government that sees us “fighting ” for our survival.
Hungary – under this Orban – Fidesz Government, the FACT we have 3.1 and rising million or 3% of our Ageing – decreasing population living in POVERTY.
Appalling.
History never Lies – and on POVERTY words written by Martin Luther century’s past, in this time, in this country, throughout the Global World have POTENCY.
Luther said ;
” As long as there is Poverty in this World, no man can be totally RICH – even if he has a billion dollars.”
Mahatma Gandhi said ;
” The true measure of any society can be found in how it treats its most Vulnerable.”
Hubert H. Humphrey said;
” It was once said that the Moral test of Government, is how that Government treats those, who are in the dawn of life, the children; those who are in twilight of life, the elderly; and those who are in the shadows of life, the sick, the needy and the handicapped.”
St. Francis of Assisi said ;
“The Deeds you do may be the only Sermon some person may Hear to-day.”
Maya Angelou said ;
“Try to be a Rainbow 🌈in someone’s Cloud.”
Hungary – there is NO escaping it, for it GROWS does POVERTY – in our Cities, Towns, Villages and Hamlets.
Why are private companies distributing aid to the poor when there have always been Church based assistance programs and aid organizatioins which operate on a non-profit basis? This is heinous Fidesz corruption literally taking food out of the mouths of poor children. The EU should not give a single forint to Hungarian private companies or the Fidesz government for EU projects unless the EU can exert control over how the money is used and with clear accountability.
Let us use reason for once. Let us find out how the money was spent and who spent the money indiscriminately; then jail the offenders if they broke the laws.
Larry, the EU shouldn’t give Hungary a cent while the current lot are in power, period. They are not only unwilling to change their ways, they’re incapable of reform. Cronyism and corruption is the very bedrock of their modus operandi, you might as well talk to them about football scores or the weather instead of reform. In fact, it’ll probably lead to a more productive and engaging discussion for both sides. Hungary is free to go its own way, just leave European taxpayers’ funds alone. The exit door is that way and Hungary should be encouraged to walk through it. I get the impression the majority of Fidesz supporters would be entirely positive about this course of action which is rare in today’s world, a win-win.