{"id":414583,"date":"2024-12-16T17:10:54","date_gmt":"2024-12-16T16:10:54","guid":{"rendered":"https:\/\/www.eunews.it\/2024\/12\/16\/ungheria-fondi-congelati-stato-di-diritto\/"},"modified":"2024-12-16T20:04:39","modified_gmt":"2024-12-16T19:04:39","slug":"hungary-will-not-get-back-european-funds-frozen-for-rule-of-law-violations","status":"publish","type":"post","link":"https:\/\/www.eunews.it\/en\/2024\/12\/16\/hungary-will-not-get-back-european-funds-frozen-for-rule-of-law-violations\/","title":{"rendered":"Hungary will not get back European funds frozen for rule of law violations"},"content":{"rendered":"<p class=\"p1\">Brussels &#8211; No dice: <strong>Corrections made by Budapest to safeguard the independence of public bodies<\/strong> (especially universities and related entities) do not convince the European Commission. Therefore, it continues to <strong>keep frozen over \u20ac6 billion in EU funds destined for Hungary<\/strong>, believing that the national legislation\u00a0<span style=\"margin: 0px; padding: 0px;\"><strong>violates<\/strong><\/span><strong>\u00a0EU rules on the protection of the rule of law<\/strong>.<\/p>\n<p class=\"p1\">With a note published today (Dec. 16), the EU executive <a href=\"https:\/\/ec.europa.eu\/commission\/presscorner\/detail\/en\/ip_24_6465\" target=\"_blank\" rel=\"noopener\">stated<\/a>\u00a0that it is going its own way and <strong>doesn&#8217;t deem adequate the guarantees provided by the Magyar government<\/strong>, led by ultranationalist and pro-Russian Prime Minister <strong>Viktor Orb\u00e1n<\/strong>, regarding the <strong>contested regulations on &#8220;public interest trusts&#8221;<\/strong>.<\/p>\n<p class=\"p1\"><span style=\"text-align: inherit; color: var(--body-color); font-family: var(--body-font-family); font-weight: var(--body-font-weight);\">The case started two years ago when the Council adopted a measure to\u00a0<\/span><strong style=\"text-align: inherit; color: var(--body-color); font-family: var(--body-font-family);\">avoid violations of the rule of law established in Hungary damaging the financial interests of the Union<\/strong><span style=\"text-align: inherit; color: var(--body-color); font-family: var(--body-font-family); font-weight: var(--body-font-weight);\">.<\/span>\u00a0A formula that, in essence, implies the <strong>suspension of transfers from Brussels to Budapest<\/strong>\u2014which, incidentally, is currently the only capital city against which a <strong>procedure <i>ex <\/i>Article 7 of the Treaty (TEU) is open for violations of the rule of law<\/strong>.<\/p>\n<p class=\"p1\">As a result, <strong>55 per cent of the budget commitments for three different programs<\/strong> under the heading of cohesion policy (for the 2021\u20132027 budget) were <strong>suspended for a total of about \u20ac6.3 billion<\/strong>, as well as the Commission was prohibited from entering into new financial commitments with the aforementioned trusts and the entities they manage.<\/p>\n<p class=\"p1\">The areas affected by that decision were mainly <strong>public procurement<\/strong>, criminal prosecution, <strong>conflict of interest law<\/strong>, <strong>combating corruption<\/strong> and, precisely, <strong>public interest trusts<\/strong>. Specifically, with regard to the latter, the issue is that of the <strong>presence on the boards<\/strong> of universities, research institutes and foundations <strong>of personnel close to <i>Fidesz<\/i><\/strong>, the governing party that is effectively a machine for maintaining Orb\u00e1n&#8217;s power, with obvious problems of transparency and conflicts of interest between politics and academia.<\/p>\n<p class=\"p1\">On 2 December, Budapest tried to patch up the situation\u00a0<strong>by notifying the Commission of the adoption of an amendment to the law regulating conflicts of interest<\/strong>, which was supposed to reduce the risks flagged by Brussels. But the Commission responded in spades because, it says, <strong>the Magyar executive&#8217;s assurances are not enough<\/strong>, and the risk remains that trusts and related entities remain subject to undue political control.<\/p>\n<p class=\"p1\">So, the Berlaymont today confirmed its earlier decision: in order to protect the EU budget from embezzlement, <strong>the so-called conditionality mechanism remains in place and will prevent Hungary from accessing the EU funds <\/strong>in question. After all, the statement says, the EU executive &#8220;clearly indicated the adjustments needed to adequately remedy&#8221; the critical issues identified two years ago.<\/p>\n<p class=\"p1\">Further funds remain locked up as part of payments from the <strong>National Recovery and Resilience Plan (NRRP)<\/strong> for post-pandemic recovery, which likewise will remain in mothballs until Budapest takes steps to <strong>restore the rule of law<\/strong>\u00a0that has been battered by Orb\u00e1n for nearly a decade, <a href=\"https:\/\/www.eunews.it\/en\/2024\/07\/24\/rule-of-law-eu-italy-slovakia-hungary\/\" target=\"_blank\" rel=\"noopener\">to the point of making<\/a> the Central European country &#8220;<strong>a real systemic problem<\/strong>&#8221; in this area (as said by former EU Justice Commissioner <strong>Didier Reynders<\/strong>).<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Budapest had tried to convince the EU Commission of reforms to conflict-of-interest legislation in an attempt to unlock several billion whose disbursement the EU executive had suspended precisely because of fears that Hungarian rules would harm the Union&#8217;s financial interests. But Brussels responds in spades and will not release cohesion funds<\/p>\n","protected":false},"author":7876,"featured_media":414551,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"episode_type":"","audio_file":"","podmotor_file_id":"","podmotor_episode_id":"","cover_image":"","cover_image_id":"","duration":"","filesize":"","filesize_raw":"","date_recorded":"","explicit":"","block":"","jnews-multi-image_gallery":[],"jnews_single_post":{"source_name":"","source_url":"","via_name":"","via_url":"","override_template":"0","override":[{"template":"1","single_blog_custom":"","parallax":"1","fullscreen":"1","layout":"right-sidebar","sidebar":"default-sidebar","second_sidebar":"default-sidebar","sticky_sidebar":"1","share_position":"top","share_float_style":"share-monocrhome","show_share_counter":"0","show_view_counter":"0","show_featured":"1","show_post_meta":"1","show_post_author":"1","show_post_author_image":"1","show_post_date":"1","post_date_format":"default","post_date_format_custom":"Y\/m\/d","show_post_category":"1","show_post_reading_time":"0","post_reading_time_wpm":"300","post_calculate_word_method":"str_word_count","show_zoom_button":"0","zoom_button_out_step":"2","zoom_button_in_step":"3","show_post_tag":"1","show_prev_next_post":"1","show_popup_post":"1","number_popup_post":"1","show_author_box":"0","show_post_related":"1","show_inline_post_related":"0"}],"override_image_size":"0","image_override":[{"single_post_thumbnail_size":"crop-500","single_post_gallery_size":"crop-500"}],"trending_post":"0","trending_post_position":"meta","trending_post_label":"Trending","sponsored_post":"0","sponsored_post_label":"Sponsored by","sponsored_post_name":"","sponsored_post_url":"","sponsored_post_logo_enable":"0","sponsored_post_logo":"","sponsored_post_desc":"","disable_ad":"0"},"jnews_primary_category":{"id":"","hide":""},"jnews_override_counter":{"override_view_counter":"0","view_counter_number":"0","override_share_counter":"0","share_counter_number":"0","override_like_counter":"0","like_counter_number":"0","override_dislike_counter":"0","dislike_counter_number":"0"},"footnotes":""},"categories":[25681],"tags":[25835,25833,27378,26302,30023],"class_list":["post-414583","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-politics","tag-viktor-orban-en","tag-funds-en","tag-state-of-right-en","tag-conditionality-state-of-law-en"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/posts\/414583","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/users\/7876"}],"replies":[{"embeddable":true,"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/comments?post=414583"}],"version-history":[{"count":4,"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/posts\/414583\/revisions"}],"predecessor-version":[{"id":414627,"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/posts\/414583\/revisions\/414627"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/media\/414551"}],"wp:attachment":[{"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/media?parent=414583"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/categories?post=414583"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.eunews.it\/en\/wp-json\/wp\/v2\/tags?post=414583"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}