Hungary joins EU prosecutor's office; recovery plan and billions approved

Hungary has officially joined the European Public Prosecutor's Office (EPPO), a move welcomed by EU Commission President Ursula von der Leyen as a "welcome step in the fight against fraud and corruption." The accession makes Hungary the 25th member state of the EPPO, signaling a renewed commitment to the rule of law within the country.

This development coincides with the EU finance ministers greenlighting the release of 10 billion euros to Hungary. Approximately 6.5 billion euros will be in grants, with the remaining 3.5 billion euros as loans. This funding is contingent upon Hungary's new recovery and resilience plan, which outlines national reform and investment programs under the EU's 'NextGenerationEU' initiative. The EU had previously blocked around 17 billion euros for Hungary due to numerous rule of law violations under the former Viktor Orbán government.

The EPPO, headquartered in Luxembourg, is tasked with investigating financial crimes affecting the EU budget, including fraud, corruption, and serious cross-border VAT fraud. The office was established in 2021 and has handled over 3,600 cases. The EPPO will maintain a permanent presence in Hungary to safeguard EU funds from financial crime. Following his party's electoral victory, Hungarian Prime Minister Peter Magyar had applied for EPPO membership in May. With Hungary's participation, 25 out of 27 EU states are now members of the EPPO; Ireland and Denmark are the exceptions.

Von der Leyen emphasized that Hungary's participation provides its citizens with a safeguard to ensure EU funds are utilized in their best interest. The Commission's decision integrates the EPPO regulation fully into EU law. This means all future EU accession candidates will be mandated to join the EPPO. The decision takes effect 20 days after its publication in the EU's official journal. Hungary is required to nominate three candidates for the position of European Public Prosecutor in Hungary, from whom the EU Council will appoint one after reviewing an independent body's opinion.