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M4 motorway project to be put on hold

The Hungarian government has decided that it will stop construction of the M4 motorway, cabinet chief János Lázár said at a weekly press conference yesterday, according to Hungarian news agency MTI.

During a cabinet meeting held on Wednesday, the government ordered National Development Minister Miklós Sesztak to recover HUF 22 bln in pre-payments made to the contractors for the project, according to Lázár.

The government suspended construction of the M4 late in March, after the European Commission voiced concerns about suspected cartel activity in the project. The M4 was part of a network that was to connect Szolnok and other cities in eastern Hungary with Budapest.