New National Public Trust Authority to Operate with Gigantic Fines and Company Guardianships

A new National Public Trust Authority (NVVH), to be headed by Anna Unger, is set to operate with significant powers, including the imposition of substantial fines and the placement of companies under guardianship. The president-elect has indicated that, even before final court judgments are rendered, the NVVH could levy fines of up to 5 billion forints without requiring a court order.

A key function of the NVVH will be conducting public trust risk assessments. Although the law specifies that these assessments do not constitute administrative proceedings and cannot establish legal violations, liabilities, or payment obligations, the NVVH intends to publish them on its website. These published assessments are expected to serve as a foundation for subsequent measures or prompt other authorities to initiate investigations.

This operational model bears a resemblance to the methods employed by a previous government body led by Bálint Ruff during his tenure at the Prime Minister's Office. Ruff's office notably mapped approximately 20,000 civil organizations that had received public funds from various state sources over the past four years. At the time, the Prime Minister's Office emphasized that its goal was not stigmatization, but critics argued that the move effectively targeted these organizations.

The introduction of the NVVH and its broad powers signals a new phase in public oversight and financial regulation in Hungary. The authority's ability to impose heavy fines and initiate guardianship proceedings, even based on risk assessments rather than definitive legal rulings, suggests a proactive and potentially stringent approach to managing public funds and corporate accountability.

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The president-elect believes that while waiting for the final court judgments, fines of up to 5 billion forints can be imposed by the new ÁVH without a court order.