08 December 2022
The Hungary Files
The battle over the rule of law in Hungary is coming to a head. Two separate but related dossiers landed on the EU Council’s agenda on Tuesday, 6 December: firstly, whether to suspend 7.5 billion Euros in funds under the EU’s cohesion policy under the new rule of law conditionality mechanism; and secondly, whether to approve the Hungarian national recovery and resilience plan. Both files are currently stuck in a political limbo as the member states cannot agree on a common course of action, complicated by the fact that Orbán is holding his veto over Brussel’s head on an aid package for Ukraine and a global corporate tax, both of which require unanimity in the Council. Now the question is: Who will move first, Orbán or the other member states? Continue reading >>06 December 2022
The Commission’s missed opportunity to reclaim competition law for the Rechtsstaat
On 30 November 2022, the European Commission took two important decisions to protect the EU budget against possible breaches of the rule of law in Hungary. First, the Commission concluded that the conditions for applying the Conditionality mechanism in Hungary remain and Hungary needs to take further and more credible action to eliminate the remaining risks for the EU budget. Second, the Commission has assessed Hungary’s Recovery and Resilience Plan and froze the disbursement of the RRF until the full and effective implementation of 27 ”super milestones” has taken place. Unfortunately, with these measures, missed opportunity to reclaim the importance of competition law in the Rechtsstaat. Continue reading >>05 December 2022
Putting an End to Minority Voter Disenfranchising in Hungary
On 11 November, the European Court of Human Rights published its decision in a case initiated eight years ago, which found that the Hungarian parliamentary electoral system's regulations on the representation of national minorities in parliament violates the right to free elections (Article 3 of the 1st Protocol to the ECHR, Bakirdzi and E.C. v. Hungary). The plaintiffs claimed that the Electoral Act of 2011 was unlawful on three points: the secrecy of the vote, the real election and the preferential quota for minority representation. In its judgment, the Court found in favour of the applicants on all three points and ordered the Hungarian State to pay damages, putting an end to a decade-long violation of voting right. The following analysis is not primarily intended to provide a detailed description of the judgment itself, but to review the unlawful situation and the necessary actions resulting from the judgment. Continue reading >>
0 
01 December 2022
The Good, the Bad and the Ugly
The Commission needs to get its message out to Hungarians loud and clear that it is trying to fight corruption in Hungary so that EU money can be used to benefit the Hungarian people and not just Orbán’s circle of cronies. Hungarians would definitely appreciate that if they knew it. But the Commission’s press release today has been drowned out by Orbán’s use of state funds to flood the zone with his message that the Commission doesn’t care about the Hungarian people and is responsible for all of the economic pain they feel. Continue reading >>
0
30 November 2022
The Pitfalls of Enhanced Cooperation
There has been a public debate among academics and politicians on whether Hungary should be required to join the European Public Prosecutor’s Office as a condition to receive EU funds according to the different milestones. Joining the EPPO would send a clear message that Hungary takes ending public corruption seriously and a more general sign that it wishes to be a part of the European family. However, this proposal will not be legally possible to implement, thus illustrating the key problem with enhanced cooperation as a form of European integration. Continue reading >>
0
28 November 2022
In Hungary, the Law Changes Every Day but It Doesn’t Get Better
The EU Commission has agreed with us that the laws that we have analyzed in our series of four blogposts did not in fact constitute an effective anti-corruption plan. And the Commission has attached a €13.3 billion price tag to non-compliance. Now the Hungarian government is scrambling to unlock this cash by introducing two additional laws that attempt to address the Commission’s concerns. But these new laws repeat the errors of the prior laws. They create the appearance of an independent corruption-fighting system while digging in political allies at all of the chokepoints and tying up whistleblowers and anti-corruption fighters in red tape. The new laws do not make things better and they may even make things worse. Continue reading >>
0
18 November 2022
Trusting Hungary with Billions of Euros
It’s crunch time for the Conditionality Regulation at the European Commission. In its College meeting on 22 November, the Commission is scheduled to discuss whether Hungary has actually made the 17 changes it proposed in order to avoid cuts to its Cohesion Funds. What the Commission chooses to do will depend on whether it believes that Hungary’s anti-corruption program will in fact allow Hungary to be entrusted with billions of Euros without having a sizeable fraction of those Euros pocketed by cronies. We believe that Hungary’s reforms are designed to be ineffective and will not even begin to halt the massive corruption that is the hallmark of Hungary’s kleptocracy. Continue reading >>
0
14 November 2022