Viktor Orbán’s defying declaration: Hungary will not pay EU fines!

Viktor Orbán and the Hungarian government’s asylum policies have long been criticised within the EU, as they often contradict EU regulations. The EU Commission has stressed that respecting EU rules on migration and asylum is a shared responsibility of all member states, as the transfer of the problem from one country to another threatens EU unity and solidarity.

A few months ago, Hungary received a EUR 200 million payment notice from Brussels, requiring the government to pay the asylum fine within 45 days. This fine was due to non-compliance with EU migration rules. The country also owes Brussels EUR 1 million for every day it does not pay the fine. Hungary had until 31 October to comply with the 45-day payment notice sent by the European Commission on 13 September. By the end of the summer, EUR 93 million had been collected in daily fines.

The EUR 1 million a day fine was reached in three months and the penalty was ordered following a 2020 ruling by the European Court of Justice. According to Szabad Európa, this follows Hungary’s failure to comply with changes to its asylum system, which has now led the European Commission to consistently enforce the payment notices.

Orbán cabinet may continue to block EUR 45 billion loan scheme for Ukraine until the US elections safety
Photo: FB/Orbán

Viktor Orbán’s letter to the EU

Days before the deadline, Hungarian Prime Minister Viktor Orbán sent a letter to the European Commission, which hinted that Hungary might resist paying. Although the letter’s details haven’t been disclosed, the Commission’s response pointed to Hungary’s obligation to comply, with a spokesperson reminding Member States that EU court rulings are binding. If Hungary misses payments, the debt will increase, leaving Hungary with little choice but to settle it or face more severe financial penalties.

According to Euronews, Hungary’s next deadline is set on the 18th of November, when an additional EUR 60 million fine will be added, potentially bringing Hungary’s debt to EUR 150 million by mid-November. If unpaid, the Commission could deduct these funds from Hungary’s future cohesion funding, as it has done before with other penalties.

european union eu flag hungary
Photo: Daily News Hungary

Fines and penalties inside the EU

In the European Union, a Member State does not have the right to refuse to pay a fine imposed by the European Court of Justice, to change the amount of the fine or to change the conditions set by the court. A spokesman for the European Commission made it clear that Member States must comply with EU court rulings or the daily fine will continue to increase. This is to ensure that member states take responsibility for enforcing court judgments and avoid possible further sanctions.

By imposing a fine of EUR 1 million a day, the European Union is trying to force Hungary to bring its legislation into line with EU standards. The fine will remain in place until Hungary makes substantial changes to its asylum system. The European Commission will keep a close eye on payment deadlines and is ready to withdraw additional funds if Hungary does not settle its debts.

According to the Hungarian government, the European Union owes Hungary approximately EUR 2 billion for border protection expenses incurred since 2015. As Portfolio reported back in August, the Hungarian government argues that EU institutions have been launching politically charged criticisms regarding Hungary’s border security measures. In light of this, they view the EUR 200 million fine imposed by the European Commission as part of ongoing pressure tactics.

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