Hungarian Ministry files complaint over 25 billion forint FTC subsidy misuse

The Hungarian Ministry of Interior has filed a criminal complaint with the National Tax and Customs Administration regarding the use of approximately 25 billion forints in state subsidies for the Ferencvárosi Torna Club (FTC) Fradiváros project.

According to the Ministry, documents suggest potential budgetary fraud, breach of trust, abuse of office, and complicity in crime. The funds, provided in 2016 and 2017, were intended exclusively for infrastructure development and construction at the Népliget sports complex. However, the project was never completed. Instead, a significant portion of the funds was diverted to operational costs and player transfers. Specifically, 11.2 billion forints were transferred to FTC Labdarúgó Zrt. to finance the acquisition of 38 professional players between 2019 and 2024.

Additionally, the Ministry highlighted concerns regarding the Fradiváros Asset Management Zrt., which reportedly received 2.8 billion forints in management fees—roughly 28 percent of the first phase of funding—despite standard industry rates being significantly lower.

In parallel, the state secretary for sports has ordered FTC to repay the subsidies and accrued interest. The club has three options: a lump-sum payment within 30 days, a 12-month installment plan, or requesting a post-audit. Gábor Kubatov, president of FTC, stated that the club is cooperating with authorities and maintains that their “conscience is clear.”