Firms with High Public Procurement Revenue in Hungary to be Investigated

  • 23 Jun 2026 8:59 AM
Firms with High Public Procurement Revenue in Hungary to be Investigated
The National Asset Recovery and Protection Office (NVVH) will investigate companies that derive 75 percent of their annual revenue from public procurement, Prime Minister Peter Magyar said on Monday evening in an interview to commercial broadcaster ATV.

Magyar described the NVVH as an unprecedented agency in Europe, capable of delivering real results.

The office will place such companies under state control if there is a risk that these funds are misused or disappear, Magyar said.

He added that the asset recovery office would receive detailed annual reports from the tax authority on all relevant organisations and companies.

Magyar said this would not mean seizing private property. Investigations will rely on tax data from the past five years, respecting statute of limitations rules, he added.

The NVVH will have the power to take over ongoing criminal cases, collaborate with police and tax authorities on investigations, seizures or detentions, and escalate cases to other bodies where relevant.

"The goal is to act faster in cases involving public assets and prevent illicitly acquired wealth from disappearing before proceedings conclude," he explained.

Staff at the agency will face strict integrity rules, which means they will also have immunity, and the office's leaders will receive round-the-clock police protection, he said.

Magyar expressed satisfaction with the public response to the 17th constitutional amendments proposal posted on the government website kormany.hu, saying it had already received thousands of comments. 

"This is a good method, and we've received many excellent suggestions," he said.

He drew parallels between Hungary's "Operation Reckoning", a package of measures aimed at removing corrupt and politically compromised officials from state positions, and Italy's fight against the Cosa Nostra, calling it an "unprecedented anti-mafia and anti-corruption struggle" with striking similarities between the Italian mafia and Hungary’s former Fidesz-led system.

The prime minister confirmed plans to restore the Constitutional Court's former powers - which he said had been stripped away under the Orban government - including allowing judges to elect their own president.

On constitutional amendments, he said the government had sought a simple solution to quickly end the current president's mandate.

"Within 30 days, Tamas Sulyok will no longer be president, and by August 20, we will have a new one," he said, linking national unity to Sulyok's departure.

He also addressed term limits for MPs, saying that the new 12-year cap was not retroactive but would prevent those who have already served 12 years from running again.

Asked about potential loopholes, such as re-election in individual constituencies, Magyar said such exceptions could complicate the system.

The prime minister said the constitutional reform process, set to begin in September, will start with public consultations on issues like environmental protection, family rights and the freedom of assembly. 

"First, we want to hear from the people. Then, a professional body will compile societal, expert and stakeholder feedback before drafting begins," he said.

"The goal is a constitution that every Hungarian truly feels is their own."

He also proposed giving judges a greater role in appointing and removing the presidents of the Kuria, Hungary's supreme court, and the National Judicial Office, saying such rights had previously been denied to them.

He said the new constitution had to be built on broad consensus and must prevent the re-emergence of the old structures, "meaning the kind of mafia state we’ve seen".

Asked about the future of the chief public prosecutor, Magyar said he had heard "very serious" allegations. 

"If even half of them are true, he cannot remain in office." He added that he was awaiting the prosecutor’s response to publicly known cases.

Regarding the Budapest Pride parade to be held on Saturday, Magyar confirmed that police have acknowledged the event, so "no one will be disadvantaged", and it could proceed as planned.

Given that the government will hold a mobile cabinet meeting in the countryside on the weekend, neither he nor the other cabinet members will be attending the event, he said.

Magyar: National Asset Recovery Office to have four deputy presidents

The National Asset Recovery and Protection Office will have four deputy presidents, Prime Minister Peter Magyar told parliament on Monday.

The organisation will handle high-priority cases, act within its own authority and take over certain cases from other authorities, he said.

In response to parliamentary group MPs reacting to his speech before the agenda, the prime minister said one deputy president would hopefully -- depending on the tender -- be "a prominent financial guard from the tax authority (NAV)", while the other three posts would be filled by prosecutors, one specialising in investigations, one in indictments and one in appeals.

"This is not the [communits-era state security apparatus] AVH -- I suggest you open your history books," Magyar remarked in response to a heckle from the opposition.

According to the prime minister, the office will include a pre-criminal procedure unit that will conduct risk assessments, access bank accounts and registers, and, if it deems it necessary, initiate public asset protection proceedings or, if there is well-founded suspicion of a crime, "convert the case into a criminal procedure".

He said the office would be able to use the resources of the police, the prosecution service, the tax authority and all law enforcement agencies, and would take over certain cases.

As an example, he cited the case of the foundations of the National Bank of Hungary, in respect of which, he said, the prosecution service and the police had done nothing for years.

MTI Stock Photo

Source: MTI – Hungary’s national news agency since 1881.

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