On May 29, 2025, the Hungarian State Treasury withdrew 10.2 billion forints from the account of the Municipality of Budapest, despite the city having requested immediate legal protection against the garnishment.
According to Budapest Mayor Gergely Karácsony, this action was unlawful and immoral, and a criminal complaint is being filed against an unknown perpetrator for abuse of office.
According to the city’s leadership, the garnishment is paralyzing the functioning of Budapest, as three public service companies – Budapest Public Utilities, the Budapest Transport Center (BKK), and the Budapest Public Lighting Company – had to suspend payments totaling 9 billion forints.
The Ministry of National Economy maintains that the solidarity contribution must be paid by everyone, and the Treasury acted lawfully in executing the garnishment.
The city is requesting a provisional court order for the return of the funds and has established a liquidity task force to manage the financial crisis.
The incident could have serious consequences for public services in the capital, especially for public transportation, whose operation is now at risk.
