EU has not yet reclaimed misused funds
Monday, August 1, 2005, 11:51
Because of financial misappropriation, 13 EU member states have to pay back a total of Euro 244,4 million EU subsidies originally issued for rural development, business daily Napi Gazdaság reported. The EU is not yet claiming back from Hungary the agricultural subsidies that have been misused, however, Minister Without Portfolio József Grál warned that Hungary may be forced to do so in December. The money paid back by countries is then returned to the common budget. Regarding the date of demand of payment he added: controls are carried out non-stop, and it is only a matter of chance whether the EU detects that funds have been used in an unsatisfactory way. After our first year in the EU, Hungary has received Ft 300 billion in EU subsidies, topped up by Ft 160 billion-170 billion by the government, and supplemented by another Ft 100 billion through the SAPARD program.