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EU Parliament Considers Legal Action Against Commission Over Unfrozen Funds for Hungary

Updated: Jan 19

The European Parliament is contemplating legal action against the European Commission over its decision to release approximately €10.2 billion in frozen funds to Hungary. Lawmakers reached an agreement to vote on a resolution challenging the Commission's move, asserting that legal action is warranted. In December 2022, the Commission unblocked the funds for Hungary, allowing the country to utilize the money. However, concerns related to the rule of law led the EU to freeze around €30 billion in funds in the same year.

EU Parliament Considers Legal Action Against Commission Over Unfrozen Funds for Hungary

During a meeting today, EU Commission President Ursula von der Leyen will face lawmakers, who intend to contest the Commission's decision to unfreeze the funds. Daniel Freund, a Green Member of the EU Parliament, emphasized that the December deal with Hungarian Prime Minister Viktor Orbán lacked genuine reforms, and negotiators are prepared to take steps for a lawsuit.

"European Parliament negotiators agree to take necessary steps for a lawsuit against the EU Commission. We will challenge the unfreezing of 10 billion Euros of EU funds for Hungary. The December deal with Orban was dirty – not based on actual reform efforts in HU." - Daniel Freund

The Parliament's resolution underscores its call for the Commission to utilize available tools to address the risk of breaches by Hungary. It also emphasizes that legal and political measures may be employed to ensure the full implementation of relevant legislation and protect the EU's financial interests.


"The European Parliament recalls the possibility for Parliament to use any of the legal and political measures at its disposal if the Commission releases funding without the criteria being fulfilled or if it fails to ensure the full implementation of the relevant legislation, considering its responsibility to act as the guardian of the Treaties and to protect the EU’s financial interests." - EU Parliament

Lawmakers are set to vote on the matter on Thursday, with a decision expected shortly. The freeze on funds has had a notable impact on Hungary, particularly affecting Hungarian students in the Erasmus program, with 21 universities suspended from receiving funds and around 9,000 students impacted.


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