to Dr. Tibor Navracsics

Minister of Public Administration and Justice

Budapest

Kossuth tér 2-4.

1055

Subject:  Recommendations

 Dear Minister, 

Please be informed that the Council on Geopolitics Foundation has completed its research on corruption number NEA-E-12-0086. I would like to take this opportunity to thank you for your personal support that has contributed to the possibility of the research.

The most important finding of the research is that corruption has been transformed and by 2010, Hungary has been taken hostage by corruption networks showing signs of the operation of organised crime. This is also the main reason for the ineffectiveness of the domestic war on corruption, as political parties and bodies appointed for supervision are the main targets for these networks. In my opinion, networks of corruption can only be eliminated gradually, by maintaining the current high level of political determination and by concurrently applying several measures.

The most dangerous among the corruption risks identified during the research, being the areas to be treated first are:

A: justice

B: media

C: workplace corruption

1. A:

The justice system was not reviewed after the fall of communism, the members of the former nomenclature system remained in place, some even continuing in senior positions. Neither the investigated cases of corrupt prosecutors, judges, attorneys, nor the article of Dr. Bertalan Kaposvári, the vice president of the Supreme Court acting as president, and not even isolated cases of action by certain prominent judges have been enough to lead at least to a debate of the topic. In addition, the peripheral touch of the judiciary by the Parliament has triggered violent reactions abroad, which shows the power of corruption networks.

Solution Suggestion:

For ten years, with one billion forints annually, the government of Hungary should support truly independent civil activity that reviews valid and final judgments on the basis of a specific request, or performs civil control over closed cases of administration of justice regarding matters where no charges were made by prosecutors (disappeared documents).

ad B:

Mass media has become an independent power in the past century without its constitutional guarantees being developed and implemented. Because it has a direct influence on the other branches of power, especially on free and independent elections, certain media outlets have become targets of international and domestic corruption networks. At the same time, however, we need to distinguish between corruption related to challenges affecting the owner side of the media, related to editorial teams and those affecting individual journalists. However, the increased sensitivity of international corruption networks must be taken into account, as stated by Jeremy Pope in the 1995 TI Handbook: bribed reporters write articles that serve political and business interests. In these situations, the press cannot fulfil its role of a “watchdog”.

Solution Suggestion:

• Providing continuous open tenders for media research institutes, universities, colleges and individual researchers to investigate corruption networks found in the media;
• Make better use of the potential of NMHH (National Media and Infocommunications Authority) regulation to protect the freedom of the press;
• Enhanced monitoring of content providers and establishing effective legal protection for fair journalism;
• Establishing a financial fund to support journalists who have suffered disadvantages due to their ethical behaviour.

ad C:

Any shortage significantly increases corruption. In the current global production environment, there is a continuing lack of jobs. International regulation of the situation is delayed. Peripheral states suffer from recurring financial/economic crises, unlike multinational financial institutions and companies that earn surplus profits. These winners hinder the emergence of solutions that are in conflict with their interests on a global level. Strengthening negative processes, it is a local characteristic of workplace corruption that courts are not able to protect honest workers who have been removed by corruption networks, and often do not even recognize corruption in the workplace.

Solution Suggestion:

• Launching an extensive educational program to raise awareness of workplace corruption;
• Extending the powers of the EBH (Equal Treatment Authority) in this respect;
• Strengthening the judicial protection of honest workers;
• Increased protection of the middle management level by the government and civil servants, consistent enforcement of the ban on withdrawal of powers;
• Chapter VIII.   Performing Employment Agreements of Act I of the year 2012 on the Labor Code should be amended to include the following underlined text: 

29. Basic Obligations

Section 51 (1) Employers shall employ their employees in accordance with the rules and regulations pertaining to contracts of employment and employment regulations and – unless otherwise agreed by the parties – provide the necessary working conditions. Employers shall also provide a corruption-free working environment..

Section 52 (1) The employee is obliged…

(2) Employees may not accept and may not lay claim to any remuneration from third parties in connection with their activities performed during their employment without the employer’s prior consent. Such offers must be reported to the employer immediately, in writing. 

31. Disobeying Instructions

Section 54 (1) Employees shall refuse to carry out an instruction if it would result in direct and grave risk to the health of others or to the environment. Employees shall also refuse to carry out instructions related to corruption, bribery, money laundering, and must not be penalized for such refusal. 

Dear Minister,

The suppression of corruption networks is essential to protect Hungary’s independence and democratic system. Therefore, outside the above-mentioned priority areas, I suggest the following:

• Make better use of our opportunities arising from international treaties, especially in the field of the OECD’s Anti-Bribery Convention regarding foreign public officials;
• The National Anti-Corruption Office should be established to carry out its activities under the supervision of the Parliament;
• The limitation period for corruption-related offences should be extended significantly;
• The Hungarian government should provide three billion forints to set up an independent research institute for the purpose of identifying international corruption networks and coordinating the international fight against them.

I would kindly ask you to support my amendment proposal to the draft Code of Professional Conduct of Hungarian Government Officials’ Corps, which would prohibit holding foreign accounts and conducting business with offshore sites for government officials. I trust that with your help, most of my suggestions can be utilized in the anti-corruption efforts of the government.

Budapest, April 29, 2013

Yours faithfully,

1.       István Pintér

          research worker