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EU: Commission probes Hungary for possible breach of State aid rules

By  |  October 29, 2019

The European Commission has launched an investigation to determine whether Hungary violated EU competition rules by allowing more than €20 million (US$22 million) in subsidies to a Budapest-based ground handling company.

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    The Commission stated Tuesday, October 29, it wants to find out whether financing measures “totaling approximately 21 million euros” granted by various Hungarian state-owned entities to Malév Ground Handling were in line with EU rules for struggling companies.

    Malév Ground Handling is a former subsidiary of Hungary’s national airline, Malév, which went bankrupt in 2012. The Commission stated Malév Ground Handling has been struggling financially.

    The Commission’s investigation stemmed from a 2017 complaint launched by a competitor that argues the subsidies received by Malév Ground Handling amounted to State aid and was against EU rules.

    Full Content: ABC News

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