corruption

Sándor Kerekes: Letter to Angela Merkel

Dear Chancellor Merkel:

I am impelled to write to you on the occasion of your impending visit to Prime Minister Viktor Orbán of Hungary in February. I have no doubt that your able staff is more than adequately preparing your visit; however, I wish to add to that a point of view representing the Hungarian perspective.

Surely, you are aware that the government of PM Orbán and his Fidesz Party have relentlessly attacked and emasculated most institutions of the democratic state ever since their election in May 2010. But, just to keep up appearances, they have maintained them as a façade, populating them with their own appointees, often for nine and twelve-year terms, thus rendering them unable and unwilling to carry out their original, constitutional functions, since the appointees only follow Fidesz instructions. From the outside they look like checks and balances to the unsuspecting viewer. However, nothing could be further from the facts. All those institutions are interconnected through the invisible network of personal and party connections, all serving to promote the political and financial interests of a selected few of Viktor Orbán’s friends. In fact, those institutions are only there to serve as a disguise, hiding the actual operations of a government whose single and concentrated aim is to siphon as much of the country’s resources to the hands of this small coterie, as possible.

The street demonstrations of recent days mobilizing tens of thousands of people almost every other day, demanding democracy and fair government, are largely concerned with the ever-increasing corruption of the government. Those thousands are in dire need of help that could surely come from you Madame Chancellor. This monumental, institutional corruption is seemingly unassailable by the people, because Parliament, as the Prime Minister’s voting machine, legislates and legalizes the constant, obvious thievery. And as it so often happens, if a superficially constructed piece of legislation should prove insufficient to cover up the crime, either a subsequent retroactive law will bend the rules after the fact, or all complaints will be rejected or ignored by the Prosecutor’s Office. Since the election in 2010, not one single corruption case was launched against any corrupt government official, despite the numerous cases submitted. It is not surprising; therefore, if many consider the government of Viktor Orbán as a well-functioning Mafia operation.

The presently concluded contract with Vladimir Putin’s Russia for the building and financing of the Paks 2 nuclear power plant is hugely disadvantageous to Hungary and yet a most rational pact in view of the rapacious corruption system. The contract includes a 20% Hungarian share in the financing – 2.5 billion Euros – that is available for stealing. Since the Hungarian state otherwise has run out of sources for available money to steal, this gigantic project will provide a copious source of corruption money for the coterie. At the same time, it may bankrupt the country, but by the time that will become clear, this Mafia will be long gone.

Under these circumstances, even the government of the United States raised a strenuous complaint and took the unprecedented step of banning certain government officials from its territory for reasons of corruption. At the same time, the United States government made it clear that it will not shirk from the confrontation, and insists that the Hungarian government must address the systemic corruption. So far, Viktor Orbán has resorted to lies, denial, and communications trickery, but taken no action.

Apart from some prestige projects, such as football stadiums and municipal beautifications, public investments ground to a halt years ago. Private capital is fleeing the country. If there is any investment at all in Hungary today, it is funded by European Union transfer money. In fact, over 90% of all public investment projects are financed by the European Union. But invariably, those projects are “one-off” short term ones that create neither lasting effect, nor permanent jobs for people. In fact, all that European Union financing is squandered on useless, short-term veneer, merely creating appearances and an opportunity for kickbacks. Presently, any government public bidding process is tailor-made for the single, Orbán-friendly bidder, and the general consensus is that the “usual” kickback is between 20 and 40%. Despite all this, the Orbán government is conducting an unrelenting verbal and political campaign against the European Union, the United States and most of all the ideals of liberal democracy.

The barren Hungarian puszta

The barren Hungarian puszta

When the European Parliament commissioned the Tavares Report, it was assumed in good faith that the problems of the Orbán Government were mere mistakes and with the help of the Report itself, with some good advice, and genteel prodding, the system could be corrected. Today it is clear that the Orbán government is by no means acting in good faith. In fact, the Tavares Report failed to recognize that Hungary is rapidly and intentionally sliding towards a one-party, single-ruler, authoritarian, illiberal regime. The Report was to no avail; the Hungarian government not only ignored it, but also legislated its rejection. All this was done in front of the uncaring eyes of the European Union.

While the officials and friends of the Orbán government are getting obviously and obscenely rich, the population of the country is sliding into deep poverty. Today, four million people are living under the poverty level, hundreds of thousands are starving and tens of thousands of children cannot get enough to eat. Poverty today is endemic in Hungary and it is increasing. Over the last four years, 500,000 of the mobile, enterprising people of Hungary have emigrated to other countries in the European Union, Germany amongst them.

Not wanting to extend needlessly the list of reasons for writing this letter, I wish to come to the obvious implications.

Hungary today is a disturbing foreign object in the very middle of the European Union. But because its transformation, running counter to everything European, is far from complete, it is likely that in the future she will be a cause for much more, and much more painful headaches within the European Union. The process of transformation is accelerating unbridled, and Hungary will be a source of an unhealthy inspiration, inviting any self-appointed tin-pot dictator to repeat the exercise: build an illiberal, single-ruler dictatorship and do it at the expense of the European Union. Why not? Nobody is raising any objections and the money keeps flowing to finance the process.

Madame Chancellor:

The interest of the European Union, the people of Hungary, and basic common sense dictate to submit to you the humble request that you, a dominant person in the European Union and in the World, give an unmistakable expression of disapproval to Mr. Orbán about what is happening in Hungary. It is inconceivable, and yet a strange fact of life, that the European Union and its citizenry should generously finance Hungary’s corruption, its war against Western Values and Mr. Orbán’s campaign against the people of his own country. Why should the European Union pour billions of Euros into a few people’s pockets, just to enable them to steal even more?

The suspension or denial of the transfer payments would bring the insane policies of the Orbán government to a screeching halt since nothing but these payments keeps it going.

The European Union, on the other hand, would greatly benefit from saving those billions by using them for more worthy purposes than stuffing the pockets of a corrupt regime that uses them as an opportunity to conduct a surreptitious anti-European, anti-liberal, people-busting war in peace time.

Dear Madame Chancellor:

I fervently hope that my suggestions coincide with your own intentions, and that your highly anticipated visit to Hungary will bring the beneficial results most of us are hoping for. It would be a bitter disappointment for the entire country if Prime Minister Orbán could in any way interpret your visit as a public relations success and a stamp of approval on his policies.

Very truly yours,

Sándor Kerekes

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Sándor Kerekes is a freelance journalist whose articles regularly appear in Kanadai Magyar Hírlap. He also wrote several articles in the past for Hungarian Spectrum.

The European Anti-Fraud Office is a bit slow: The case of the Heart of Budapest project

Well, we are back in Budapest’s District V, which is known by many names: Lipótváros (Leopoldstadt), Belváros (Downtown), or lately for a little political propaganda “The Heart of Budapest.” At least this was the name of the mega-project undertaken within the boundaries of the district that made the historic district mostly traffic-free and repaved the streets between Kálvin tér and Szabadság tér, stretching 1.7 km, with fancy cobble stones. Like everything else, the project was largely financed by the European Union.

It was Antal Rogán, the newly elected mayor of the district, who came up with the idea of revamping downtown Pest shortly after the municipal election of 2006. He convinced the City Council of Greater Budapest to apply to Brussels for a grant, and it seemed that at least on the surface the SZDSZ-MSZP city and the Fidesz district were of one mind. We mustn’t forget that at this time Antal Rogán was considered to be a moderate and reasonable man. Later the Fidesz media praised him as a truly remarkable Fidesz mayor who managed, despite the fact that the city of Budapest and the government were in SZDSZ-MSZP hands, to receive a huge sum of money for the development of his district. Well, the Heart of Budapest project really was impressive. A good portion of District V became something of a showcase.

The renovated Károly körút - Photo András Földes

The renovated Károly körút – Photo András Földes

As we know, Antal Rogán has had his share of his political trouble ever since Péter Juhász, who was Együtt’s candidate for mayor last October, decided to investigate shady real estate deals during Rogán’s tenure. I wrote about corruption in the district in December and again in January. Juhász, unlike most Hungarian politicians, doesn’t give up. Whether he will succeed in putting Rogán in jail remains to be seen.

What Rogán did not need was another scandal. But he’s under attack yet again, this time in connection with the Heart of Budapest project. The internet site vs.hu reported yesterday that OLAF, the European Anti-Fraud Office working under the aegis of the European Commission, found serious irregularities in connection with Rogán’s project. According to vs.hu, OLAF finished its investigation at the end of last year and called upon the Hungarian Chief Prosecutor’s Office to begin an investigation of the case. Naturally, OLAF’s findings were also sent to the European Commission. The Chief Prosecutor’s Office admitted that they received the documentation that supports OLAF’s case but said that “currently work is being done on the translation of the material.” Knowing the Chief Prosecutor’s Office, they will work on that translation for months if not years. Moreover, some opposition politicians learned that in the last few years the Chief Prosecutor’s Office received several dozen such complaints, but as far as we know Chief Prosecutor Péter Polt’s crew did nothing about them.

This is not the first time that questions have been raised about the project. At the end of 2012 OLAF found that not everything was in order. There was a good possibility that both District V and the city of Budapest would have to pay sizable fines: about 900 million forints each. The charge? The officials of the district and the city who were handling the bidding process demanded such unnecessary qualifications from the applicants that only one combined firm, Reneszánsz Kőfaragó Zrt and Bau Holding 2000, forming the Heart of Budapest Consortium, could possibly undertake the work. The bidding was theoretically open to foreign firms as well, but I doubt that much effort was put into finding non-Hungarian companies for the job.

What kinds of unreasonable demands did the authorities insist on? To qualify, a company had to have references for 1.2 billion forints worth of work on historic buildings even though the new project focused on repaving streets. There was absolutely no restoration of historic buildings. This ploy is commonly used in Hungary to make sure that the “right” company is the successful bidder. In Hungary 40% of all projects end up with a single bidder. Every time such a thing happens we can be pretty sure that corruption is not far away.

In 2012, when this story broke, Rogán and his deputy András Puskás, who has since left the district under the cloud of possible corruption, argued that there was nothing wrong with the project. It was done properly. The problem, they countered, was that the European Commission didn’t like the Orbán government and concocted this case to attack Viktor Orbán and his politics.

Now that OLAF finally got to the point of calling on the Chief Prosecutor, the district is trying to shift the blame to the current opposition. After all, the argument goes, the first phase of the project was finished in 2009 when Gordon Bajnai was prime minister. And Gordon Bajnai was present at the official opening. I guess that, according to the brilliant logic of the editorial offices of Magyar Nemzet, Bajnai had something to do with passing on the job to an earlier designated firm just because he cut the tricolor ribbon at the opening ceremony. For good measure, Magyar Nemzet added that Viktor Szigetvári, co-chair of Együtt and then Bajnai’s chief-of-staff, participated in the negotiations. Szigetvári calls the accusation a lie.

In addition, Magyar Nemzet blames the SZDSZ-MSZP administration of the city of Budapest. “All this happened during the era of Demszky-Hagyó-Steiner.” Pál Steiner was the whip of the MSZP caucus on the city council while Miklós Hagyó was the MSZP deputy mayor. Hagyó was later accused in a vast corruption case, which is still pending. The lurid details of the case tarnished MSZP and helped Fidesz coast to an overwhelming victory, resulting in a two-thirds majority in 2010.

OLAF has been investigating for the last six years. Right now, the Chief Prosecutor’s office is busily, or not so busily, translating. When do you think we will know exactly what happened? If you ask me, never.

 

Corruption at the University of Szeged

It was about a year and a half ago that Hungarian Transparency International released a study on the “Lack of Transparency in Hungary’s Higher Education” which, despite its title, was mostly about corruption in Hungarian higher education and in the student unions, Hallgatói Önkormányzatok (HÖK). Transparency International interviewed 500 students and conducted a number of in-depth interviews with teachers and administrative professionals. The result? According to the students, corruption is highest in political life but is also present in higher education. Thirty-two percent of students believed that the faculty was not at all or was only partially honest.

When this study was published I wrote a post entitled “Corrupt student leaders, corrupt politicians” in which I drew a parallel between corruption in politics and corruption in the student unions. In that piece I did not go into the details of how these student leaders operate, what kinds of illegal activities they pursue, and in what way they are assisted by corrupt university officials. Today, inspired by several recent newspaper articles on the “untouchable student leader” Márk Török of the University of Szeged, I would like to concentrate on these aspects of Hungarian university life, using the University of Szeged as a prototype.

The student union (HÖK) at the University of Szeged is notorious. Szeged is a large university, with an enrollment of 30,000. The yearly budget of the student union is 3.5 billion forints, an enormous sum for undergraduates to dispose of. However, seasoned HÖK leaders are no ordinary undergraduates. They have held their leadership positions for years. Since student leaders must actually be students, they are perpetual undergraduates. Often it takes them years to get a degree and, when they receive it, they immediately enroll in another department or school. So, for example, Márk Török began his university career as a history major. Once he got a degree in history he enrolled as an undergraduate in the School of Pedagogy and then moved over to the Law School. By now Török is 30 years old and has been enrolled as a student at the University of Szeged for the last twelve years. Between 2004 and 2008 he was the student union president of the Faculty of Arts; after that, he became president of the student union of the whole university. There was only one break in his presidential career when in 2008, as a result of disciplinary action against him, he could not attend college for two semesters. But apparently even then he was running the show from behind the scenes.

The powerful student leader, Márk Török

The powerful student leader Márk Török

The 3.5 billion forints allocated to the student union are spent without any oversight. It is the “president” of the student union who, with associates of his own choosing, decides how much money will be spent on what. In early 2011 first- and second-year students in Szeged signed a petition to demand more transparency but got nowhere.

People who know the inner workings of the university are convinced that the university administration has been cowed by the student union leaders, who can blackmail them in the university senate where promotions or/and appointments are being decided. If a professor gives them trouble, with their votes and some clever finagling they can ruin the person’s university career. It is impossible that the university administration doesn’t know of the alleged Ponzi-scheme that urged students to enroll in an association to receive a monthly stipend from HÖK of which ten percent would be paid as a membership fee in the association. The students were told to recruit five others. Upon closer investigation, it was determined that this was Török’s business venture. They also must know that HÖK, through a business venture, runs two pubs in Szeged.

Inside of the university Török can do practically anything he wants. For example, he made renovations in the building of the Faculty of Arts without university approval or obtaining a building permit. He is powerful enough to make administrative changes that are to his advantage. The deputy president in charge of the student unions who was responsible for Török’s expulsion paid dearly for daring to challenge the almighty student leader. Eventually even his post was eliminated. By now, without Török’s permission no student can expelled for either academic or disciplinary reasons.

In 2013 Török was again reelected president of the university’s student union. He was the only candidate and his platform was not publicly available. Átlátszó Oktatás (Transparent Education) is suing the university.

Abcug.hu published a surprisingly positive portrait of Márk Török. The reporter, Illés Szurovecz, went to his old high school in Veszprém where his former teachers spoke highly of him, describing him as mature beyond his years. He was always a leader with a flair for the theatrical. He was fiercely independent: “he had his own plans. What he decided on he carried through” even if it meant serious conflicts. He was his own man and did not need “allies.” He did not care what other people thought of him.

Within the university Török is unpopular, yet there is no one who can take his place. In any case, normally he is the only applicant for the post. The reason for his lonely position is his centralizing efforts in the last few years. Only his closest friends can have meaningful positions within the organization. Even his critics think that, after his departure from HÖK, Török will be in “some leading position.”

All this reminds me of Viktor Orbán. Purposeful, power-hungry, self-confident, stubborn, someone who keeps tab on everything, who has no allies, only subordinates. Unlike Viktor Orbán, however, Török seems to have business acumen. He is like an Orbán and Simicska combined into a single corrupt political manipulator. He has a promising career in the Hungarian mafia state.

Corruption in District V under Antal Rogán, #3 man in the Orbán regime

I have been so involved with the political aspects of the Orbán regime that I have neglected the suspicious enrichment of some of the most prominent Fidesz politicians. If a researcher had half a year (and a team of investigators) he could easily write a whole book about these people’s wrongdoings.

A quick look at the list of names that crop up most often in the media leads me to believe that being the mayor of a city or a Budapest district offers excellent opportunities for corruption. Just to mention a few politicians who have been the targets of journalistic inquiries: Lajos Kósa, until recently mayor of  Debrecen; János Lázár, who was mayor of Hódmezővásárhely until he became head of the prime minister’s office; and Antal Rogán, who in addition to being the whip of the Fidesz caucus was also mayor of Budapest’s District V. Larger towns or cities offer ample opportunities for city officials, including mayors, to extract kickbacks for municipal contracts. Rumor has it that the average bribe is 10% of the value of the contract. In Debrecen, apparently the price was double that amount.

The finances of Lajos Kósa became the subject of scrutiny of late when his explanation for how he acquired a very expensive apartment in Budapest was found less than convincing or when he was found to have traveled to New Zealand for three days for a Rolling Stones concert.

János Lázár also had some hard times of late when it turned out that he purchased an apartment in Budapest for his ten-year-old son for 60-70 million forints. Naturally, that piece of property did not show up on the financial statement he submitted to parliament.

And finally, there is Antal Rogán, the number-three man in Hungarian politics today. His fraudulent financial statements have been the talk of the town. He greatly minimized the areas of his real estate and landholdings and was forced to correct them several times.

Given the limited space, I will spend less time here on Rogán’s fictitious financial statements and more on the possible sources of his and his political friends’ enrichment.

It was discovered back in March that Rogán, his wife, András Puskás (Rogán’s deputy), and his common-law wife jointly own 490 m² (almost 5,ooo ft²) apartments worth 300 million forints. For Rogán, who has never had any job save that of a politician, such a purchase under normal circumstances would have been beyond his means. And this is not the only piece of real estate he and his wife own.

A month after the revelations about Rogán’s luxury apartment(s) and his other rather shady real estate holdings, Bors, a tabloid, found out that the Central Investigative Prosecutor’s Office is looking into possible corruption in District V. A businessman who has several restaurants in Budapest won a tender for a piece of property in Rogán’s district where he wanted to open another restaurant. When he went to sign the contract, he was told in no uncertain terms that they expect several more million forints “under the table.” The businessman refused the generous offer and and pressed charges against the district, naming the man who approached him. By June Népszabadság learned that at least three real estate sales are under investigation.

There have also been some rather strange comings and goings in the mayor’s office. First, András Puskás, Rogán’s deputy who is implicated in the luxury apartment case, suddenly quit his job because he was “badly needed” in the foreign ministry. Almost at the same time the man in charge of the everyday running of the affairs of the municipality (jegyző, a kind of city manager) quit in a great hurry. His replacement a few months later was seen wearing a pair of Amadeo Testoni shoes worth 980 euros. The man’s monthly salary is 433,000 forints.

But the story doesn’t end here. Puskás’s replacement, Péter Szentgyörgyvölgyi, became the owner of an apartment in a stately apartment building in Szerb utca which he purchased for a mere 19 million forints, paying in monthly installments of 63,000 forints. The market value of such an apartment in a historic district is worth many times that amount. Meanwhile Szentgyörgyvölgyi became the new mayor, and on November 21 he decided to give the apartment back to the District. He claimed to be perfectly innocent in the affair; “he just got tired of all the attacks against him.”

Szerb utca 9 where Péter Szentgyörgyvölgyi currently mayor of District V purchased ab apartment for 19 million forints

Szerb utca 9 where Péter Szentgyörgyvölgyi, current mayor of District V, purchased an apartment for 19 million forints

Upon closer observation, investigators found that during Rogán’s eight-year-long tenure as mayor of District V one-third of all the real estate owned by the municipality was sold to individuals. One especially egregious case that surfaced lately is the business real estate that was sold to the common-law wife of Tamás Portik, a convicted murderer, back in 2011. The scheme seemed to have been the following. According to a city ordinance, the tenant of a property owned by the municipality has the right to purchase the property at a reduced price. Portik’s common-law wife became a tenant of a 212 m² business site in October 2011, and by December it was hers for 52 million forints. In July 2012 Portik and girlfriend sold the property for 102 millions, its fair market value.

Rogán’s bad luck is that Péter Juhász (Együtt), who was Szentgyörgyvölgyi’s opponent in the municipal elections in October, is a former human rights activist with vast experience as an investigator of corruption cases. And he is now a member of the District V city council. According to Juhász, under Rogán’s watch downtown Pest was the scene of incredible corruption. By now Rogán is a member of parliament and because of his immunity he himself is untouchable. However, András Puskás and Zoltán Sélley, who actually ran the municipality’s affairs and who prepared the contract with Portik’s girlfriend, can be sued, and Juhász is on their case.

This is only the tip of the iceberg, just one of hundreds. Tomorrow I’ll take a look at the spectacular enrichment of Lőrinc Mészáros, Viktor Orbán’s pipefitting friend from Felcsút. He also seems to be forgetful. Just lately he forgot about more than 1 billion forints he happened to have in his bank account.

No wonder that struggling Hungarians are outraged. Even some of the Fidesz true believers are angry. Yet the people involved don’t seem to realize that their conspicuous flaunting of their riches is not exactly going over well in one of the poorest nations in the European Union.

The first sign of opposition in the Fidesz parliamentary caucus: No compulsory urine tests

The furor over John McCain’s harsh words about Hungary’s “neo-fascist dictator” and his “illiberal state” hadn’t subsided when a new Hungarian bombshell exploded: Máté Kocsis, a two-bit district mayor in Budapest, had a great idea which he immediately made public on his Facebook page last Friday. Given the widespread use of drugs, it would be a good idea, he claimed, to introduce compulsory yearly drug tests for teenagers between the ages of 12 and 18 as well as for elected politicians and journalists. Why politicians and journalists? Politicians’ decisions have a lasting impact on the citizens while journalists have the power to influence public opinion. He promised that he would suggest to the Fidesz parliamentary delegation that they discuss the idea and prepare a legislative proposal to this end.

From what we have learned about this latest brainstorm of Kocsis, it looks as if the idea did not originate with the mayor of District VIII (at least not in his role as mayor) but with Viktor Orbán’s communication staff. It was, it seems, part of a desperate effort to devise a strategy that could neutralize the growing public dissatisfaction with Viktor Orbán and his government.

Directly after the election Orbán talked about creating a “new communication team” headed by the chief communication adviser, Árpád Habony. I wrote about Habony earlier. He’s a shadowy figure with enormous influence within the party and the government but without an official title or an official salary. This new group apparently meets every Friday to discuss some of the issues that cropped up during the previous week. Máté Kocsis, who is no longer a member of parliament but besides being mayor of District VIII is communication director of Fidesz, is an ex officio member of the staff. So it’s no wonder, claim investigative journalists, that Kocsis’s bright idea was published on Facebook on Friday night.

Reports of this crazy idea spread like wildfire. The Associated Press immediately picked up the story. Scores of newspapers and television stations carried the news because journalists find such bizarre items outright delicious.

By now the general consensus is that, with this whacky idea, communication strategists were trying to divert the public’s attention from the corruption case of Ildikó Vida and five unnamed others. Apparently, Viktor Orbán himself thought that the idea of yearly drug tests was a capital idea and decided to support it. And of course we know from past experience that if the Hungarian prime minister supports something it will be law in no time. The members of the Fidesz parliamentary delegation will automatically vote for it even if some MPs consider the idea to be of dubious value and/or legally questionable. By Monday, the Fidesz parliamentary caucus decided with some major changes to consider the proposal.

The idea of mandating regular drug tests for politicians and journalists was dropped by the caucus because such a law would clearly be unconstitutional. Even the Fidesz-dominated fake “constitutional court” couldn’t close their eyes to such a law. As for children’s screening, the Fidesz legislators opted to support only voluntary tests initiated by the children themselves or by their parents. This is certainly nothing like what the “communication staff” cooked up last Friday.

I wonder how Viktor Orbán will react to this unheard-of “revolt” of the Fidesz caucus. After all, the Sunday closing of stores will most likely be approved unaltered although the Fidesz delegation was deeply split on the issue. But now it looks as if Fidesz MPs finally balked at orders from above. If I were Viktor Orbán I would ponder the significance of this earlier unimaginable event.

The way Népszava sees Máté Kocsis's proposition

The way Népszava sees Máté Kocsis’s proposition

But let’s go back to the Habony-led communication staff’s activities. It is rumored that leaking the U.S. decision to bar six Hungarian citizens from entering the United States because of charges of corruption was the idea of Árpád Habony. Again, naturally, with Viktor Orbán’s blessing. We who look at events from the outside think that this was a singularly bad idea that created serious tensions between the United States and Hungary. Ever since mid-October major newspapers all over the world have been talking about the Orbán government’s systemic corruption. The leak resulted in massive anti-corruption demonstrations which in turn added to the growing dissatisfaction with the government. A huge drop in popularity followed. In brief, most independent observers would consider this particular idea of Habony outright injurious to Viktor Orbán and his government. Yet not only has Habony not been fired; his position as chief communication adviser has been strengthened. Moreover, his advice about mandatory drug tests was heeded by the prime minister.

How can we explain this seeming contradiction? In my opinion only one way: Viktor Orbán still thinks that leaking the news of the American ban was a good idea. It was a clever communication ploy. Why? Because Hungary’s position in world affairs is a great deal less important to him than his domestic standing with the electorate. And obviously he must think that the contentious American-Hungarian relations actually work in his favor at home. Fidesz supporters who lately have become disenchanted will perhaps return to the flock because of hurt national pride. He thinks that the risk is worth the gamble. After all, it seems to be working in Russia.

So far so good, but there is the growing dissatisfaction of some members of the Fidesz parliamentary delegation as demonstrated during the “stormy debates” that accompanied discussions on the Sunday closing of stores and the compulsory yearly drug test. In yesterday’s debate on drug testing Viktor Orbán came out the loser. What will happen next?

Let me bring up something that might further demonstrate intra-party dissatisfaction with Fidesz directives coming from above. You will recall that the former Fidesz mayor of Ózd, a very poor town in northeastern Hungary, was so unpopular that the citizens went out in hordes to vote for the only electable opponent, a young Jobbik candidate, who was elected with a two-thirds majority. But in the city council Fidesz was in the majority. The members of the caucus were obviously instructed from above to follow the strategy of Fidesz in Esztergom where the Fidesz majority refused to cooperate with the independent mayor and as a result nothing whatsoever could be accomplished for four long years. Within a few days it became obvious that Ózd had become ungovernable due to the refusal of the Fidesz council members to cooperate. But this time some of the Fidesz city fathers revolted. Three of the eight decided to quit the Fidesz caucus and serve as independents. Fidesz’s majority collapsed. I think we can expect more such events to take place on the local level. A certain erosion has begun that will be very difficult to stop.

György Rubovszky, a Christian Democrat member of parliament and a most faithful supporter of the Orbán government, found the drug test proposal “legally indefensible.” But he also had a personal story that he shared with a journalist of Népszabadság. His twelve-year-old granddaughter phoned him crying bitterly. “Grandpa, I must leave this country because I am not willing to pee in front of strangers.” I must say Rubovszky, who is not my favorite, has a smart granddaughter. Válasz, a pro-government site, wrote yesterday that this latest idea of Fidesz is a sure way to lose all the first-time voters in 2018. Even the party faithful recognize that some of these maneuvers may backfire.

Meanwhile those opposing the proposal are busily collecting urine and leaving it in a large bottle outside the city hall of District VIII. One really wonders whether Viktor Orbán has lost his touch–or, as some might claim, whether he is touched.

Ferenc Gyurcsány’s latest political road map

As an illustration of how little Viktor Orbán’s minions understand and respect democracy, it is worth recalling Szilárd Németh’s comment about the “outlandish” announcement of Ferenc Gyurcsány after the municipal elections on October 12 that “he will do everything in his power to defeat the Orbán government.” He added that to this end Gyurcsány has solicited “foreign help” in the person of André Goodfriend, the U.S. chargé d’affaires in Budapest. Németh, by the way, happens to be one of the most unsavory characters in Orbán’s entourage. He is currently the deputy whip of the Fidesz parliamentary delegation.

Well, if Németh thought that for an opposition party to strive to defeat the Orbán government at the next election is tantamount to treason, he and his fellow Fidesz politicians will have a heyday with Gyurcsány’s announcement at the Demokratikus Koalíció’s congress today. There he declared his hope that the Orbán government will fall by 2016, two years ahead of the scheduled national election.

Politicians of the opposition parties have been reticent to express their views on the civic movements that have cropped up lately, with a new cast of characters.Their restraint is understandable given the organizers’ reluctance to be associated with parties. Any party. At the same time we know that there can be no parliamentary democracy without parties and that sooner or later the civic groups and the politicians will have to come to an understanding.

Gyurcsány decided to break the silence. Whether it was wise or not only time will tell, but at least he came out with the outline of a program, which is more than his fellow politicians on the left have done. Here I will summarize the speech he delivered this morning. I am relying on three independent sources–Népszabadság, Népszavaand Hir24because their reporters were on the spot and filed their reports prior to the appearance of MTI‘s summary.

Let me start with some of the new ideas that appeared in this speech. Earlier, Gyurcsány, while admitting the “mistakes” of the past, wanted to return to 1989 and restore the constitution of that year. Now he is thinking in terms of a new constitution and a new republic. That new constitution should decrease the power of the state and widen the rights of the people, who could express their wishes more directly through referendums. To hold referendums was very difficult in Hungary even before 2010, but since then Viktor Orbán has made sure that the governed have practically no opportunity “to interfere” with the work of his government. With this shift Gyurcsány was obviously responding to the majority view that politics even prior to 2010 was misguided and that it does not provide an appropriate model for future governance.

Source: Népszabadság / photo by Zsolt Reviczky

Source: Népszabadság / photo by Zsolt Reviczky

While he was at it, Gyurcsány introduced his own program without calling it that. One may question the feasibility of some of the items on his wish list, but at least he put them out for public response. He emphasized that although it will be the street demonstrations that will put pressure on the government to resign, these demonstrations must be peaceful.  Meanwhile the opposition forces must prepare themselves for the eventuality that in a couple of years they must be ready to govern and not find themselves in “a democratic chaos.” As far as foreign policy is concerned, a clear commitment must be made to the West. The “double dealing,” the shuttling between Moscow and Brussels must come to an end. As far as domestic changes are concerned,  the courts and the prosecutor’s office must become independent again. The media must be freed from its current stranglehold. People should be able to establish churches of their own choosing. NGOs should be allowed to do their jobs. An independent “anti-corruption office” should be set up. And something must be done about the growing poverty of ab0ut half of the population.

He spent some time on corruption and the world of the oligarchs, pointing out that “the number one oligarch is Viktor Orbán himself,” something that, in my opinion, many people don’t seem to realize when they demand the removal of “corrupt officials” only.

He spent a long time analyzing the current political situation and offering possible answers to it. He pointed out that Fidesz’s achievement of gaining a super majority again did not result in “the stabilization of Viktor Orbán’s power.” On the contrary, it roused people’s ire because of the arbitrary decisions of a government whose support has been decreasing over the years. In a democratic country there is “correction” from within, but in a tyranny one can only revolt. “The Hungarian parliamentary system is practically dead,” and therefore national resistance remains the only option.

Gyurcsány, unlike some other former liberal politicians, said that the disappointment, anger, and passion of the organizers of the demonstrations are perfectly understandable. He was happy to see the flags of the European Union at the demonstrations because that means that they opt for the democracy of the West, not the tyranny of the East. One ought not be surprised, he added, that no programs have been formulated by the organizers of these demonstrations because, after all, first one must reject the current political system. The young organizers have to decide whether they are willing to join an already existing party or whether they want to create one of their own. In either case, they must understand that “there is no parliamentary democracy without parties.” Yes, he knows that the civic leaders who organized the demonstrations are suspicious of politics and politicians. But politics is not dirty by itself; only corrupt politicians make it so.

The Fidesz propaganda machine needed less than an hour after the reports on the DK congress became public to react. The short statement has all the hallmarks of classic Fidesz propaganda: Ferenc Gyurcsány only a few days ago pretended that “he was an elegant stranger who kept himself away from the demonstrations, but by Saturday it became clear that he lied. He admitted that in fact it is the Left that is behind the demonstrations.” According to the government party, “the chairman of the opposition party admitted that the only goal of the demonstrations is the overthrow of the government and he is willing to use all means to obtain this end with force.” That short statement says a lot about the propaganda machine of Fidesz. Unfortunately, misinformation, lying if you wish, is the trademark of the present Hungarian government.

Who’s behind the political turbulence in Hungary? Naturally, the United States and the “left-liberals”

When Viktor Orbán, however reluctantly, decided to scrap the internet tax, he undoubtedly thought his troubles were over. He would not have to worry about young people going out on the streets again to demonstrate against his government. But he was wrong. The demonstrators found plenty more to criticize, especially the regime’s systemic corruption. Since Viktor Orbán is not the kind of man who admits missteps, he and his supporters had to find a culprit, someone who was “stirring the pot.” And the most obvious candidates for such a role were the United States, described by right-wing commentators in Magyar Hírlap as “the empire,” and the “left-liberal” intellectuals at home and abroad.

Let’s start with the United States, enemy number one. Those commentators who blame the U.S. for the unfolding drama of anti-government sentiment tend to forget that it was not the United States that revealed its decision to ban six allegedly corrupt Hungarian officials from its territory. It was the Napi Gazdaság, a financial daily owned by Századvég, the think tank that has been described by a former associate as a money laundering operation. If the government hadn’t decided to leak the information about the ban, most likely today we would know absolutely nothing about Ildikó Vida and her co-workers at the Hungarian Tax Authority (NAV).

But, according to the Hungarian right, the United States’ role in this latest crisis goes far beyond its travel ban. Under the present circumstances, the argument goes, there is no possibility of carrying out an armed coup in Hungary like the one the U.S. allegedly staged in Chile in 1973. Therefore, the United States is now supporting, I suppose even financially, the opposition. “Many people believe that it was the United States that was behind the initial successes of Gordon Bajnai.” But Bajnai turned out to be the wrong man for the job.

Then came Plan B. The United States, even before the three landslide Fidesz victories, realized that “there is no chance of replacing Viktor Orbán.” But since there are no potential leaders in the opposition, André Goodfriend “became the star of the anti-government movement.” The United States has been working toward the destabilization of the country in the hope of changing the Orbán government’s foreign policy orientation.

M. André Goodfriend, the star of the "left-liberals at a press conference

M. André Goodfriend, the star of the “left-liberals,” at a press conference

It is this American destabilization effort that explains the outrage of thousands of Hungarians against the Orbán government in front of the parliament building. The various groups that have appeared recently don’t offer an alternative, but this is not their real goal and purpose. They want to “weaken” the regime, make the “consolidation” efforts of the government impossible.

Magyar Hírlap zeroed in on the “domestic enemies.” Left-liberal intellectuals, hand in hand with the Americans, are behind the disturbances. Proof in support of this accusation is rather flimsy, but such weaknesses have never bothered Magyar Hírlap‘s Tamás Pindroch. The link between the “left-liberal intellectuals” and the United States was demonstrated by André Goodfriend’s appearance at one of the Saturday evening open houses of László Bitó, professor emeritus of ocular physiology at Columbia University who developed Xalatan, a medicine for glaucoma. And if anyone needs more proof here it is. Back in April Ágnes Heller, the philosopher, was asked during a political discussion whether something like what happened in Kiev could happen in Hungary. Heller responded that yes it could but not in the same shape and form. For example, a revolt of the hungry masses could break out.

But Pindroch’s accusations are mild in comparison to what László Földi, a former intelligence officer during the Kádár regime and even for a few years after the change of regime, had to say. He is convinced that a large demonstration like the one we saw on Monday cannot be organized on the internet and without any money. According to him, “it was a carefully prepared, well-organized and financed event.” Földi suggested that those behind the action serve foreign interests for financial gain and thus commit treason. In brief, his claim is that the United States is financing those left-liberals who are behind the anti-government protests. Földi is convinced that by now the United States will be satisfied only with the departure of Viktor Orbán. Abandoning participation in the Southern Stream will no longer suffice.

Another intriguing piece by András Dezső appeared in Index, an online site that cannot be called right-wing. Dezső is a talented young journalist who made quite a name for himself with his investigation of Jobbik’s Béla Kovács, who is accused of being a Russian spy. In this piece he proposed that there is a direct connection between a report of Human Rights First, “a little known but influential human rights organization,” and the current U.S. policy toward Hungary. The report, entitled “We’re not Nazis, but…,” made a number of recommendations to the U.S. government in general and the State Department in particular which, according to Dezső, the United States is actually following today. I wrote about this report at length and quoted some of the recommendations Dezső is talking about.

Yes, there are similarities between the recommendations of the authors of the study and the actual steps taken by the U.S. government, but I would find it strange if the staff of the Hungarian desk at State was so oblivious to what is happening in Hungary that only after reading this, by the way, excellent report did they finally decide to act. Moreover, here is something that undermines Dezső’s hypothesis. One of the recommendations of the report is to “seek commitments from Hungary and Greece to set in place policies and practices to impede high-level corruption and improve transparency and equal enforcement of the law.” But we know from the aide-memoire–what Viktor Orbán called a scrap of paper (fecni)–that Goodfriend intervened with the foreign ministry as well as the tax authorities on the subject of corruption as early as October 2013, almost a year before the appearance of Human Rights First’s study.

My hunch is that the officials of the State Department have been following the Hungarian domestic scene and Viktor Orbán’s relations with Vladimir Putin’s Russia for some time. Their concerns most likely intensified in the wake of the Ukrainian crisis. And then came the fateful June 27 “illiberal” speech of Viktor Orbán when, it seems, they decided that it was time to act. The sharp-eyed authors of the study on the Hungarian far right noticed the same problems the U.S. diplomats perceived and recommended similar remedies. But we would underestimate the diplomats in the State Department if we assumed that only an outside study woke them up and made them move.

Trying to crack down on corruption is one thing, funding and organizing demonstrations is something else. There is no evidence that the U.S. helped the demonstrators–or even that the demonstrators needed outside help. They just needed the miracle of modern communications technology.

The day of outrage: Yesterday’s demonstrations in Hungary

Nowadays anti-government demonstration follows anti-government demonstration in Hungary. And not just in Budapest but in all larger cities and towns. Tens of thousands of people gather each time to express their outrage.

A couple of months ago no one would have predicted such a swift change in the political climate. In fact, critics of the government simply couldn’t understand the population’s passivity. In the last few years Viktor Orbán’s government has done so much harm to the great majority of Hungarians that it was difficult to understand the complacency of the people, the apathy that seemed to have paralyzed the country’s inhabitants. Explanations for this phenomenon varied. Some felt that fear played a large role. The current political players are known to be merciless when it comes to their opponents. Even in private companies people were afraid to voice their opposition to the government for fear that their pro-government boss would fire “the enemies of the nation” right on the spot. Others argued that, given the weakness of the opposition parties, the population was destined to remain passive. After all, they see no alternative to the present regime. People fear chaos if Fidesz’s rule collapses. Another explanation was the nationalistic fervor that was artificially fueled by the government. If it is true, as the government claims, that Hungary is surrounded by enemies, the people have to stand by a government that seems to be defending their national honor.

But all that changed about a month ago. The pent-up resentment and dissatisfaction surfaced with elemental force. The planned introduction of an internet tax was the catalyst. Those young people who had created a virtual community on Facebook and Twitter and who were not paying much attention to the way the government was stripping them of their personal freedom suddenly woke up. Now it was their own space that Viktor Orbán was trampling on. And once they woke up they also realized that this government is planning to organize every facet of their lives, from cradle to grave. They looked around and decided that what’s going on today in Hungary is anything but democracy.

demonstracio, nov. 17

Then there is the matter of corruption, which has been systemic and organized from above. Ildikó Vida, president of the Hungarian Tax Authority, is just one link in the chain that goes all the way to the top. In Hungary everybody is aware of widespread corruption, but once it became known that even the top officials of the tax office are complicit in tax fraud the floodgates opened wide.

Now, let’s talk a little about last night’s event. The organizers of yesterday’s demonstration are different from the ones we came to know in the last few weeks as leaders of the movement. Yet they managed to gather a crowd of about 20,000. There was, however, a strange dissonance between speakers and audience. The youthful orators hate all politicians. They don’t seem to distinguish between politics after 2010 and before. For them the last two and a half decades are all the same. It is time for a “regime change.”

It was enlightening to watch the demonstrators’ response. They were not inclined to bury the last twenty-five years. They did not yell “Down with Bajnai!” or “Down with Gyurcsány!” when the youthful speakers mentioned their names. The crowd got fired up only when Fidesz, Orbán, or Vida were mentioned. None of the signs held up by the demonstrators demanded the removal of all parties, but there were plenty that wanted Viktor Orbán to disappear from Hungarian political life. The speakers and their audience were not in sync. One had the feeling that the audience was not really interested in the speeches. They only wanted to express their “outrage” at what this government has done to them in the last few years.

One of the organizer-speakers had a talk with Olga Kálmán of ATV yesterday right after the demonstration. During the conversation he announced that they want a “new regime,” a “new political system.” When asked about the nature of that system, it became evident that these young people not only don’t have a program, they don’t have an inkling about what a new regime might look like. They only know what they don’t want: corruption, graft, a lack of dialogue between government and the governed, and arrogant politicians. This is good as a beginning but certainly not enough to change Hungarian politics in the long run.

Some of the organizers also displayed a certain naïveté. One of them expressed their desire to “work with all political parties,” including Viktor Orbán and Fidesz. Surely, this young man doesn’t understand the nature of the mafia state and the role of the godfather in that system. The majority of his audience, on the other hand, seemed to understand that one cannot work with this regime. It must go and democracy must be restored. This is what they demanded during their long demonstration in front of the parliament building.

The parties have wisely kept away from these demonstrations, but surely sooner or later the “outraged” public and the politicians of the democratic opposition must find each other because only by cooperating can this regime be toppled.

As for the government’s reaction, Viktor Orbán and his minions act as if nothing happened yesterday. In parliament the two-thirds majority voted on next year’s budget that is full of new taxes and punishing levies on foreign companies the government wants to destroy. Viktor Orbán opened two new establishments, one in Alcsút and the other in Felcsút, the villages of his youth. He visited János Flier’s cattle breeding farm and Lőrincz Máeszáros’s farm where he will raise mangalica pigs. Both “farmers” are considered to be front men (Strohmänner/strómanok) of Orbán. For the time being it looks as if the prime minister hasn’t sensed political danger. If I were in his shoes I would be less cocky. Some people are very angry.

No end to the saga of the Hungarian corruption scandal

The reverberations from the news that six Hungarian citizens are not welcome in the United States don’t seem to subside. The perpetuation of the verbal battle is fueled mostly by the Hungarian side. Some of the attacks come straight from politicians, others from the accused and from so-called “civil groups” that are strong supporters of the Orbán government and operate most likely with generous financial assistance from the public purse.

These latter two sources cannot be taken terribly seriously, and in fact as time goes by their originally very loud voices have quieted down somewhat. The most spectacular retreat came from Ildikó Vida, the president of NAV, the Hungarian tax authority, and her lawyer, Barnabás Futó. As one blogger noted, when Barnabás Futó stands next to someone close to Fidesz, that person is in trouble. Futó seems to be rather good at pettifoggery at home, but he is at sea when it comes to international law. Initially he had ambitious plans for getting satisfaction for his client. Since Vida was told by M. André Goodfriend that she can ask for a visa and, if her request is rejected, she might be able to get information about the nature of the charges against her, Futó decided to do just that. Moreover, while he was at it, he contemplated suing the American chargé. Soon enough someone must have told him that members of the diplomatic corps have immunity and that his dreams of his client having her day in court were illusory. He gave up on his plan to sue. And, upon reflection, Vida decided that, after all, she did not want to know any of the details of her alleged wrongdoing and that therefore she will not apply for an American visa.

The other thread in the continuing saga is the Civil Összefogás Fórum (CÖF), an unofficial arm of the government that has helped bolster the popularity of the government. They were the ones who organized the first Békement (Peace March), which was supposed to defend the beleaguered Viktor Orbán against a dark international conspiracy that wanted to remove him from his post during the winter of 2011-12. Ever since the American revelations, the leaders of CÖF, people belonging to the extreme right wing of Fidesz, have been itching to march out again, this time against the United States. However, their beloved leader, to their great regret, held them back.

CÖF’s spokesman, Zoltán Lomnici, Jr, son of the former chief justice of the Supreme Court and a lawyer himself, shows such ignorance of the law that it is simply staggering. He and “Futó Barnabás,” to whom I gave the nickname “futóbolond” (lunatic at large), bring shame to the Hungarian legal profession. Here is Lomnici’s argument: the American chargé is a foreign national who, as can be attested by pictures and videos taken of him, left the embassy of the United States and therefore stepped on Hungarian soil. According to Hungarian law, if he knew of corruption he was supposed to press charges and provide proof of corruption. Since he neglected to do so, he could be sentenced to three years in jail. Obviously our star lawyer hasn’t heard of the Vienna Convention on Diplomatic Relations (1961). I suggest that Futó and Lomnici study the document, which clearly states that “Diplomats must not be liable to any form of arrest or detention. They are immune from civil or criminal prosecution.” Let’s hope that the text is available in Hungarian because Futó at least does not know any English. Today the organizers of the Peace Marches officially announced that for the time being they will not gather the troops.

Politicians have not shown the same restraint. A few days ago Antal Rogán, the whip of the Fidesz parliamentary caucus, called Goodfriend a liar and announced that Hungary is a country of law, unlike the United States. “We all must declare that Hungary is not Guantánamo, here nobody can be accused without proof.” Rogán’s attack on the United States is most likely part of the game plan dictated from above because not long before Róbert Répássy, undersecretary of the ministry of justice, said exactly the same thing.

Calling everybody a liar who criticizes the Hungarian government is a Fidesz specialty. Diplomats, on the whole, at least in civilized countries, don’t call their foreign colleagues liars. But Hungary’s new foreign minister has no such compunctions. In an interview with Magyar Nemzet he said that “to accuse us of not conforming to the European legal system is a gross lie (orbitális hazugság).” In response to Szijjártó’s charge, the U.S. Embassy in Budapest released a statement today that included the following sentences: “As Charge d’affaires Goodfriend has said, the United States has consistently conveyed our concerns to the Hungarian government about developments that harm the health of democratic institutions, civil society, and media freedom in Hungary – including concerns about corruption,” and “the Embassy remains in close contact with the Ministry of Foreign Affairs and Trade. We will continue to conduct a constructive, diplomatic dialogue with Hungary on all issues across the broad spectrum of U.S.-Hungarian engagement.” In brief, the United States will not stop its current policy of defending civil society, media freedom, and civil liberties. It will also pursue its fight against corruption.

In addition, today new information reached the public concerning the background of the American ban. The Demokratikus Koalíció, the party that seems to have good connections with the Hungarian foreign ministry where there are many disgruntled employees, learned that a week ago the American embassy did give some information to the Hungarians. Today Szabolcs Kerék-Bárczy, a DK politician, made that information public at a press conference. At this point the foreign ministry decided to fess up: yes, they received something, but it was only a “scrap of paper” (fecni) that cannot be taken seriously. However, a few hours later the ministry made the document public.

Undersecretary Levente Magyar waving "the scrap of paper" from the U.S. Embassy

Undersecretary Levente Magyar waving “the scrap of paper” from the U.S. Embassy

The two-page note describes the history of the numerous encounters between the embassy and the government of Hungary since February 2012. From October 2013 on, the American complaints multiplied. They had meetings with the “criminal directorate of the tax and customs office (NAV) on specific concerns about agricultural VAT fraud and tobacco nationalization.” A few months later the Americans were back at the “criminal directorate” but noticed “no evidence of action” on the part of NAV. In January 2014 the Americans had a meeting with the ministry of justice and public administration and they raised issues of VAT fraud, “institutionalized corruption, whistleblower protections, and Foreign Corrupt Practices Act (FCPA).” The whole list of complaints can be found on the foreign ministry’s website as well as in an article published on the subject by Index.

In brief, there were numerous complaints, and the Hungarian authorities refused to investigate. It is also clear from the document that the American authorities were fully aware that corruption is “institutionalized” in Hungary, yet the last word from NAV was that there were “no auditing complaints” and therefore the “Criminal Directorate … was unable to act.” Goodfriend  noted that “NAV’s specialized auditing unit created expressly to investigate trans-border VAT fraud … was systematically undermined and then disbanded.”

It looks to me, and obviously it was evident to the head of the American mission, that not only was no effort made to investigate but that the top leaders at NAV were doing everything in their power to make sure that corrupt activities could be continued undetected.

According to Levente Magyar, undersecretary of the ministry of foreign affairs and trade, this “scrap of paper” cannot be taken seriously. Why not? Because there is no date, no authentication, and above all, no seal. “Missing formal requirement” is a favorite excuse of Hungarian authorities.

The internet tax is only postponed: it most likely will be called something else

The first act of the drama is over, but I’m almost sure that more will follow since the participants in the recent massive demonstrations know Viktor Orbán only too well. Moreover, in his interview today on Magyar Rádió, he was quite blunt about his resolve to reintroduce the tax. The tax will be adopted “but not this way,” “not in this form.” That’s pretty straightforward, isn’t it?

The problem, according to the prime minister, is that once again the people “misunderstood” the original proposal because there was never any talk about an “internet tax.” The proposed tax was simply an extension of the already existing “telecommunication tax.” Again the same old story: all controversial pieces of legislation are misunderstood by the domestic opposition. And naturally they are misconstrued by the antagonistic domestic and foreign media.

People who know Viktor Orbán are only too aware of his absolute intolerance of contrary opinions. We were reminded of this character trait only today when Tamás Mellár, the conservative economist who worked at Századvég for a year until he resigned in disgust, told the following story to a Népszabadság reporter. One day, when four or five economic experts gathered for a meeting with Orbán, he dared say to the prime minister: “Forgive me, but you are wrong in that.” A deathly silence followed, during which Mihály Varga, minister of national economy, “pulled” Mellár’s hand under the table, signaling to him that such a thing is simply not done.

So, you can imagine the scene when the normally servile reporter who conducts Orbán’s Friday morning radio interviews had the audacity to say that it doesn’t matter whether we call the disputed tax an “internet tax” or a “telecommunication tax”–it is only “playing with words.” A brief silence followed, and one could feel the stunned surprise and wrath of the prime minister. It was a frightening moment. But that was not the only awkward exchange in the conversation. The reporter mistakenly thought that Orbán had exhausted the topic of the internet aka telecommunication tax and wanted to switch over to foreign criticism of Hungarian policies, which he thought was somewhat connected to the upheaval over the internet tax. Orbán snapped at him again. First of all, these two things don’t have anything to do with one another, he claimed, and, second, he does not want to talk about this now. What he wants to bring up and what is very important is that the Hungarian government has an understanding with internet providers to make the whole country internet ready by 2020. This is what is important.

As for the criticisms, Orbán had a very simple answer. Naturally, the accusations of Hungarian wrongdoing have nothing to do with the facts. It is noticeable that criticisms multiply when the government stands up for the Hungarian people which in turn hurts foreign business interests. Right now, for example, after the parliament passed a piece of legislation that forces mostly foreign banks to lighten the burden on Forex borrowers, foreign governments are trying to put pressure on Budapest. Falling into the same category are the mostly foreign internet providers who don’t carry their fair share of the tax burden. They make enormous “extra profits” that they take out of the country. These extra profits disappear into thin air. He leveled this charge despite the fact that earlier in the interview he praised the same foreign internet providers for continuing to pour enormous sums of money into the development of broadband service.

Finally, Orbán announced a “national consultation” on the subject of the non-“internet tax.” Tamás Deutsch, a member of the European Parliament who hangs out on Twitter all day long entertaining people with his obscenities, will be in charge of this grand consultation. Although Deutsch thinks that the tax is “stupid,” he called the protesters “ragamuffins” and “stink bugs.” As for the so-called “national consultation,” we have witnessed a few of these in the past and we know that they are a farce. Viktor Orbán sends out millions of questionnaires to voters containing questions that beg for affirmative answers that justify the government’s position. For example, “internet dependency is a serious psychological illness” or “the internet is dangerous to young people because of pedophiles roaming the Net.”

As for the mysterious “extra profit,” I get annoyed every time I hear someone use the term. And unfortunately one hears it far too often. It stirs up old memories of a compulsory university course called “political economy.” In it one learned the Leninist definition of extra profit. According to Lenin, extra profit derives from the exploitation of workers in the colonies. These extra profits are then distributed at home to raise the living standard of the working class in order to keep them quiet. According to Marxist-Leninist theory, all profit is based on exploitation of the workers but the extra profit is achieved by taking exploitation beyond the normal level. The notion of extra profit in today’s public discourse makes not the slightest sense. Viktor Orbán is taking advantage of the Hungarian people’s discomfort with capitalism and what it entails–including competition and profit–and invoking concepts from the very same communism he wants to banish once and for all from the country. And, by the way, the profit these providers earn is apparently rather low.

Delete Viktor

So, will Viktor Orbán’s announcement this morning quiet the protesters? It looks as if Viktor Orbán’s interview, widely reported in the foreign press as announcing a withdrawal of the tax–a capitulation by the prime minister, did not impress Hungarians. Tonight József nádor tér was still full of demonstrators, and the slogans and posters highlighted various “sins” of the government. For example: “Viktor, you will find the extra profit in Felcsút.” Norwegian and EU flags were seen everywhere. The speakers announced that there is no need for “national consultation” because that already took place in the last  few days on the streets of Budapest and other Hungarian cities. The speakers argued that the government needs extra taxes because of the corrupt tax authorities.

In Szeged a very large crowd gathered tonight. Here the speakers covered several topics, including corruption and the lack of media freedom. The internet is the only “free island which the government hasn’t occupied yet.” It is, one speaker claimed, the most significant invention since the discovery of fire and the wheel and the symbol of Hungarians’ tie to Europe. “We cannot stop at the internet tax, let’s demolish the walls while they are not yet plastered and painted. … Long live freedom and the fatherland!”