Hungarian court hands suspended prison terms to transport firm executives for budget fraud

In a ruling by the Tatabánya criminal court, the managing director of a transport company headquartered in Tata was convicted of orchestrating budget fraud from 2020 through 2023. He submitted false data to obtain a competitive-enhancement grant from the former Ministry of Foreign Economic Affairs and Foreign Affairs, despite the company’s ineligibility. The scheme also included leasing two high-value vehicles on paper to claim VAT refunds and invoicing a non-existent advertising film to deduct VAT.

The court imposed a two-year prison term, suspended for five years, and levied a sizable fine. Six other participants - the accountant, a colleague, and four business partners - received suspended sentences and fines as well. One secondary defendant denied involvement, and the case against him remains open.