Hungarian sports subsidy audits and recovery efforts

Hungarian authorities have initiated investigations and recovery efforts regarding the potential misuse of state sports subsidies.

Initially, the state secretariat for sports ordered an audit of the ‘Fradiváros’ project involving Ferencvárosi Torna Club (FTC). The Ministry of Interior filed a report with the National Tax and Customs Administration’s Criminal Directorate alleging suspicions of budgetary fraud, breach of trust, and abuse of office related to approximately 25 billion forint in funding provided between 2016 and 2017. FTC president Gábor Kubatov criticized the investigation as a ‘conceptual procedure,’ while state secretary Attila Kálnoki-Kiss maintained the matter was strictly legal and financial.

This scrutiny expanded into a broader review of TAO (corporate tax) subsidies distributed between 2022 and 2026 across six major team sports. Authorities identified improper use of funds among various organizations, leading the Ministry of Interior to seek the recovery of more than 21 billion forints. While the National Tax and Customs Administration has recovered 1.98 billion forints, enforcement proceedings are ongoing for 241 cases, with authorities reporting difficulty recovering over 7 billion forints in 121 specific instances.