Government-backed private equity funds stay opaque despite data request
A TIM-led data request revealed that many state-linked private equity funds and their managers are missing from the tax authority’s registry, keeping the identity of investors hidden.
In August, the Magyar Fejlesztési Bank barred Opus Titász Zrt., a company tied to Lőrinc Mészáros, from a nearly 65 billion-forint EU grant, pointing to opacity. Under a law tightened by the Tisza-majority parliament, private funds were supposed to report their ultimate owners to the National Tax and Customs Administration (NAV) by July 31, with a brief extension. TIM’s request for information on 45 private equity funds and 26 managers uncovered a fragmented registry: 12 funds and nine managers were completely missing, while many entries listed incorrect or obsolete ownership details.
The investigation highlighted that the government has pledged 1 536 billion forints through these funds, yet the true private investors remain concealed behind complex structures. Errors were exemplified by conflicting ownership records for the Solva V fund, and by listings that named company executives rather than actual shareholders. TIM concluded that no authority currently verifies the accuracy of the data supplied by banks, leaving a substantial portion of public investment unaccountable.
Why it matters
Without clear ownership data, billions of public funds invested in private equity lack proper oversight.
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