According to the charges, the officials abused their authorisation to manage municipal assets and sold the property in the upmarket area of central Budapest at a knock-down price. An application to purchase the property for 328 million forints (EUR 1.07m) was submitted by a limited company to the 6th district council in June 2004.

An assessment of the property at Andrássy Avenue 3 commissioned by the district said the property was in good condition, and estimated its value at 1.2 billion forints.

The main suspect, György Fürst, a deputy mayor of the then ruling Socialists, proposed to the council selling the property for the price quoted by the company in question, including vacating its tenants and refurbishing it. This was accepted in the absence of a tender, the prosecutor said.

The suspects thereby caused the district council damages worth of 574 million forints, he said, adding they could face 5-10 years in prison. The property was built in early eclectic style on commission by the Saxlehner family in 1884-1886.

Source www.hungarymatters.hu

Follow that link to sign-up for MTI’s twice-daily newsletter.