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Hungarian Integrity AuthorityPolice in Hungary have raided the offices of the Integrity Authority, a state body that oversees the use of EU funds abroad.
The Prosecutor General has announced that its chairman, Ferenc Biro, is suspected of corruption and abuse of power.
The police also raided Biro’s home and took away documents.
He admitted he had “lent his company car to his wife to go shopping”, but denied the allegations and said he was targeted for political reasons, “from the top”.
That statement alone raised eyebrows in Hungary.
Ferenc Biro and his wife Judith are insiders in the ruling Fidesz party, with excellent relations at the highest level. His position and salary is equivalent to that of a minister in the government.
The Integrity Authority was set up in early 2023 to prove to the European Commission that EU funds are properly spent and audited. Its leaders are appointed by the President of the Republic.
The General Prosecutor’s Office also accuses him of obstructing the work of his two vice presidents.
The allegations rock the government for three reasons.
They come just 10 days after Antal Rogan, the minister in charge of government communications and secret services in Prime Minister Viktor Orbán’s office, was placed on a sanctions list by the US Treasury Department as “the main architect, implementer and beneficiary of this system of corruption”.
The move was heavily criticized by the government as a “personal vendetta” against outgoing US ambassador David Pressman.
The second reason is that Attorney General Peter Polt has long been accused by the opposition of failing to investigate corruption in the ruling Fidesz party.
The third reason is that Hungary permanently lost €1 billion (£845 million) in EU funds on December 31, and billions more are at risk if it fails to meet strict EU criteria for granting funds, which have now been suspended.
“Throughout my career, I have fought against corruption and fraud, as well as ethics and integrity,” Biro wrote in his October 2022 presidential bid letter.
According to a statement released by the Attorney General, in addition to his official vehicle, Biro rented a second luxury car, running up a bill of 14 million Hungarian forints (€34,000; £29,000).
Hungarian media claim that funds from the office were used to renovate his luxury home and build a fence several hundred meters long around it.
Short on EU funds, with the Hungarian currency losing value and annual inflation soaring to 4.6% last month, Hungary’s economy is in trouble.
Critics of the government believe that Ferenc Biro may be right – that Viktor Orbán is trying to sacrifice one of his chess pieces to access much-needed cash.
The bureau responded to the investigation in a statement.
“Today they specifically attacked my personality and by doing so tried to make the work of the Integrity Authority impossible,” he said on Thursday evening.
“Our organization has always operated and continues to operate to the highest ethical and legal standards.”