Budapest, June 10 (MTI) – State-owned FHB Bank has come under the scrutiny of police investigators, government spokesman Zoltán Kovács said on public television late on Thursday.
The probe is in the early stages, thus nothing can be said about it at present, Kovács told news channel M1. It is the task of the investigators to weigh questions related to the integration of Hungary’s savings cooperatives, he added.
Daily Magyar Nemzet said on its website late on Thursday that the National Investigation Office had launched a probe of FHB. The National Police Headquarters (ORFK) confirmed for the paper that the investigation had started, on January 11, on suspicion of criminal activity.
National Bank of Hungary spokesman István Binder on Thursday dismissed a report that the central bank had reported FHB. Binder also denied that the NBH, as financial market watchdog, had reported state-owned Magyar Posta to the authorities.
Magyar Posta said on Thursday it was informed of the launch of a probe against it by authorities on the basis of a report by the NBH made on suspicion of graft.
Earlier this week the central bank fined FHB Mortgage Bank 105 million forints (EUR 340,000) for violating rules on the prohibition of illegal market manipulation. The NBH said FHB Mortgage Bank published misleading information concerning the subscription of its euro bonds, issued in December 2012 and May 2013. The NBH found in a comprehensive audit that the issuer’s extraordinary communications, published in public disclosures, which said the bonds were issued “for non-resident investors” were fit to mislead investors. In a statement published on the BSE website after the close of trading, FHB said it is considering whether it will exercise its right to appeal to court against the resolution.
