Closing of Investigation No VIZSG/29/2023 – Projects in Szigetvár

Public procurement and competition law-related risks, jeopardising the compliant and efficient use of European Union funds, have been identified by the Integrity Authority in connection with two Szigetvár-based projects.

Pursuant to a notification, the Authority has examined two projects (TOP and GINOP programmes) involving a total of HUF 1.88 billion in European Union funds, tied to the Municipality of Szigetvár. One of the two projects was intended for the expansion of a nursery, while the other focused on tourism-related developments.

Suspicions of anti-competitive behaviour were raised in the course of the public procurement procedures. The Authority maintains that the Municipality should have recognised these patterns and reported them to the Hungarian Competition Authority.

The Authority has initiated proceedings with the Public Procurement Arbitration Board, notified the Hungarian Competition Authority, and called on the Managing Authorities to conduct irregularity proceedings. Furthermore, the Authority has also filed a criminal complaint against unknown person on suspicion of agreement in restraint of competition in public procurement and concession procedures.