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Tisza Government Scraps Mészáros Rail Contract Amid EU Probe

The Hungarian state has officially suspended the Budapest southern circular railway project, severing ties with V-Híd—the construction firm owned by billionaire Lőrinc Mészáros. The decision follows findings by the European Court of Auditors regarding systemic irregularities and potential collusion in the original tender process that threatened vital EU funding.

Tisza Government Scraps Mészáros Rail Contract Amid EU Probe

Prime Minister Péter Magyar and Transport Minister Dávid Vitézy confirmed the state will launch a fresh procurement procedure to avoid losing Brussels-backed capital. This marks the latest in a series of setbacks for Mészáros, whose business empire has faced mounting scrutiny since the Tisza government took office, including the loss of motorway operations and the withdrawal of energy project grants.

Simultaneously, the administration is navigating a tense transition in the judiciary. President András Baka nominated Péter Fejes as the new chief prosecutor, seeking to move past the failed candidacy of Zoltán Szathmáry. The move coincides with explosive claims from former prosecutor Pál Fürcht, who alleged that previous high-profile investigations were politically motivated by the Orbán administration. Prime Minister Magyar has publicly challenged Fürcht’s credibility, citing his past proximity to the former regime, while acknowledging the former official may soon provide testimony in ongoing investigations.

Legislative activity remains equally intense. Parliament recently passed a revised child-protection law, effectively purging the homophobic provisions introduced under Viktor Orbán in 2021. The new measures focus on shielding minors from sexual exploitation and reforming abandoned infant placement protocols. While the bill passed, it faced opposition from Fidesz, the KDNP, and the Mi Hazánk party. Tensions within the executive branch also surfaced this week with the abrupt resignation of András Tótth, the state secretary for energy and a key lieutenant to Minister István Kapitány.

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