Govʼt declares Malév GH of ʼstrategic importanceʼ

Government

Uskarp / Shutterstock.com

The government has declared state-owned ground handling company Malév GH, a "company of strategic importance", requiring the application of a special bankruptcy procedure, in a decree published in the latest issue of the official gazette Magyar Közlöny.

Photo by Uskarp / Shutterstock.com

The Hungarian National Asset Management Company (MNV) said earlier during the week that the government has decided to wind up Malév GH without a legal successor.

Malév GH, which earlier provided ground handling services to Malév, has "struggled with fundamental financing problems since 2012", when the former national carrier went bust, MNV said, adding that strong competition at Liszt Ferenc International Airport has aggravated the companyʼs liquidity situation.

The European Commission launched the probe in October 2019 to scrutinize some EUR 21 million in support from various state-owned companies for Malév GH.

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