EU tells Hungary to scrap its anti-NGO bill or face court

The European Commission has told Hungary to scrap its Transparency of Public Life bill or face possible legal consequences.

"The Commission has great concerns with this draft. If adopted as it is, it would constitute a serious breach of EU principles and law," said a commission spokesperson, in an email on Friday (23 May).

"Therefore, we ask that this draft be withdrawn from the legislative process. We will not hesitate to take the necessary action if this draft is adopted," he added.

The statement comes a day after over 300 civil society organisations demanded the Brussels-executive intervene after Hungary had tabled the bill, which critics say is a full frontal attack against NGOs and independent media.

The letter, sent to commission president Ursula von der Leyen, warned that the Hungarian bill would enable the government to defund and dissolve any organisation it designates as a threat to Hungarian sovereignty.

The bill gives Hungary's Sovereignty Protection Office (SPO) extra crackdown powers against the perceived threats.

The office is already the centre of a legal case launched by the commission against Hungary last year at the European Court of Justice.

The NGOs are now demanding the commission to request interim measures at the court in order to "halt the progress and impact of the bill."

The European Commission had only last week told reporters that it was unable to make any public comments because the bill had yet to become law.

But the latest statement on Friday now suggests a shift in tone, with the commission threatening legal action if Hungary moves ahead with the bill.

Some 26 European lawmakers, including MEPs from the centre-right European People's Party, are also demanding the commission take further action against the Hungarian government led by its nationalist premier, Viktor Orbán.

Given the widespread abuse, they are now demanding the commission also suspend "all EU funding for Hungary".

The commission is already withholding some €18bn of EU funding, due, in part, to corruption in the country. The docked funds is meant to pressure Hungary into rule of law reforms.

But the MEPs say Orbán's government has failed to make any meaningful progress. In some cases, it has taken several steps back, they say.

"We therefore consider a freezing of all funds proportionate to the risk posed to the Union’s financial interests. Continuing to fund a corrupt regime openly undermining European values is unacceptable," say the MEPs, in their letter sent to EU budget commissioner Piotr Serafin and justice commissioner Michael McGrath.

For its part, a spokesperson for the Hungarian government says the bill, dubbed the Transparency of Public Life, aims to expose organisations that seek "to manipulate voter sentiment and policy outcomes to suit external interests."

The bill was tabled on 13 May. Hungary's parliamentary elections are set to take place next April.

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