The former head of the Hungarian central bank is said to have withdrawn as much as $1.6 billion from the bank's treasury. The State Audit Office has revealed the preliminary results of an audit of foundations associated with the bank, and they have proven shocking. The Optima Foundation, the main owner of the developer GTC, is said to be on the verge of bankruptcy. However, GTC assures us that Optima's situation has no “direct” impact on the company's operations.
Fidesz has been in power in Hungary since 2010. During that time, many people closely associated with Viktor Orbán have built fortunes.
The Hungarian equivalent of the NIK (National Audit Office) has recently published preliminary results of an audit of foundations linked to the central bank. The matter is serious, because the former head of the Hungarian National Bank, Gyorgy Matolcsy, has been siphoning off the bank's profits to foundations he created for years. The head of the Audit Office is a former employee of the central bank, László Windisch, which may not be without significance – he may have knowledge of irregularities, or at least know where to look for them.
Back in 2014, Matolcsy created a network of six foundations linked to the central bank, which he funded with the bank's profits. It is said that as much as $1.6 billion may have been siphoned off in this way. The money was supposed to be used to raise economic awareness among citizens, but it was used for various purposes, including projects related to pro-government businessmen and members of Matolcsy's family.
As we read in “Gazeta Wyborcza”, the audit results were shocking. It turned out that the main owner of GTC, the Optima Befektetesi foundation, is on the verge of bankruptcy. Following this information, Hungarian law enforcement authorities launched an investigation into potential abuses. The background to the case is the activity of the former head of the central bank, Gyorgy Matolcs.
On March 18, the day before the audit results were published, Balint Szécsényi, a close associate of István Tiborcz – Viktor Orbán's son-in-law, suddenly resigned from his position on the supervisory board of GTC. However, that is not the end of it, because as the independent portal Valasz Online reports, Balázs Gosztonyi, the husband of Matolcsy's son's former secretary, is on the board of GTC.
– Optima's current troubles may be perceived as worrying, especially by bond investors. If the situation worsens, GTC may face higher refinancing costs, Cezary Bernatek, an analyst at Erste Group Bank AG, told Bloomberg. – But the developer is currently on track to refinance, the expert added.
In a statement quoted by Gazeta Wyborcza, GTC said that Optima's situation has no “direct” impact on the company's operations and that its financial position remains strong. A day earlier, the Warsaw-based company delayed the publication of its annual report for 2024, needing more time to consolidate a recently acquired German real estate portfolio.
Interestingly, in January 2022, the then president of Orlen, Daniel Obajtek, joined the supervisory board of GTC. Obajtek represented OFE PZU, which is a minority shareholder of GTC. After 10 months, Obajtek resigned from the board without giving a reason.
Read more in Gazeta Wyborcza.
Prepared by JM
