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Home » Hungary fails to meet initial deadline for paying €200 million fine imposed by ECJ

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Hungary fails to meet initial deadline for paying €200 million fine imposed by ECJ

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Last updated: 2024/09/02 at 1:07 PM
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Brussels is urging Hungary to pay a €200 million fine and lift restrictions on the right to asylum. The European Court of Justice (ECJ) imposed the fine on Hungary due to its long-standing limitations on asylum seekers’ access to asylum procedures. The deadline for Hungary to pay the fine has passed, leading Brussels to give a second payment request with a new deadline of 17 September. If Hungary fails to pay, the European Commission will deduct the amount from Hungary’s allocated share of the EU budget, which has been frozen due to rule-of-law decline.

In a ruling issued in June, the ECJ found Hungary guilty of committing an “unprecedented and exceptionally serious breach of EU law” by restricting access to asylum procedures. The court criticized Hungary for unlawfully detaining asylum seekers in “transit zones” and forcibly escorting third-country nationals to a strip of land devoid of any infrastructure, leaving them with no choice but to go to Serbia. Despite Hungary’s arguments of migratory pressure justifying derogations, the court dismissed these claims, leading to the imposition of the €200 million fine as a lump sum.

The European Commission, which is tasked with ensuring member states adhere to ECJ rulings, sent the first payment request in July, giving Hungary 45 days to comply. However, Hungary did not transfer the money by the deadline, prompting the Commission to send a second payment request with an additional 15 days to reply. If Hungary continues to ignore the fine, the Commission will initiate the “offsetting procedure” and deduct the amount from Hungary’s EU budget allocation. Additionally, Hungary faces a daily fine of €1 million until it lifts the restrictions on the right to asylum.

Hungary’s Prime Minister Viktor Orbán expressed outrage at the ECJ’s decision, calling it “outrageous and unacceptable.” Despite the escalating fines and pressure from Brussels, Hungary shows no signs of relenting. Gergely Gulyás, minister for the prime minister’s office, reiterated the government’s refusal to comply with the ECJ ruling and even threatened to transport migrants to the Belgian capitals in retaliation for the hefty fine. This defiance signals a looming political showdown between Hungary and the EU over the issue of asylum rights and compliance with EU laws.

As the standoff between Brussels and Budapest intensifies, Hungary’s actions have broader implications for EU unity and the rule of law. The ECJ’s ruling highlighted Hungary’s disregard for EU laws and cooperation, posing a serious threat to the interests of asylum seekers and the public interest. The European Commission’s insistence on enforcing the fine and lifting restrictions on asylum rights underscores the importance of upholding EU values and principles. The outcome of this conflict will not only impact Hungary’s relationship with the EU but also set a precedent for how member states comply with ECJ rulings and uphold the rule of law within the bloc.

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