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May 15th, 2008

Charges pressed in Zuschlag embezzlement case

The Bács-Kiskun County Prosecutor’s Office on Wednesday pressed charges against former Socialist MP János Zuschlag on suspicion of conspiracy to commit serious fraud committed over a sustained period. The prosecutor presented the indictment to the Bács-Kiskun County Court on Tuesday, reports Magyar Nemzet.

According to HVG, the charge against Zuschlag and his 15 accomplices is that they used mob methods to organize roles and transactions. By referring to fake foundations, they successfully gained state subsidies from the youth and sports ministry, then led by current Prime Minister Ferenc Gyurcsány and minister without portfolio in charge of secret services György Szilvásy.

Ferenc Szabó, deputy leader of the county’s prosecutor’s office said that of the Ft 72 million (€288,000) damage caused by the crime, Ft 60 million has been returned. Ft 50 million was paid by Zuschlag via his lawyer when he requested the termination of his preliminary arrest but the prosecutor’s office did not release him.

Current state secretary Gergely Arató, former state secretary István Ujhelyi, Gyurcsány and Szilvásy were all questioned in autumn 2007, but, despite their promises, are yet to make their confessions public.

During the proceedings, Zuschlag pleaded guilty and claimed that the state subsidies had been given to the youth organization of the Socialist Party, the Fiatal Baloldal, for camping projects, and funds also went to the election campaigns of District XIV Socialist MPs Judit Csiha and Etele Baráth. The MPs said they had been unaware of the origin of the funds.

The Fiatal Baloldal is expected to be dissolved this weekend, daily Népszabadság reports.

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