The Hungarian opposition party, LMP, has started an online signature campaign to introduce new legislation that requires the public record of the names of the owners of private equity funds.
LMP spokesman József Gál has claimed that the tax and customs authority NAV deleted the names of the owners from its database earlier this year, and nobody has taken responsibility for the erasure of information that used to be in the public domain.
Gál has accused the government of trying to make the real owners invisible to protect the government-linked, money-laundering elite.
The move aims to increase transparency and prevent money laundering. The campaign has gained support from investors and the public alike.
Frequently Asked Questions
Who are the owners of private equity funds in Hungary?
The Hungarian government does not require private equity funds to disclose their owners. However, the opposition LMP party has launched an online signature drive aimed at introducing new legislation on keeping a public record of the names of the owners of private equity funds.
What is the stance of the Hungarian government on private equity fund transparency?
The Hungarian government has not taken a clear stance on private equity fund transparency. However, the opposition LMP party has accused the government of trying to make the real owners of private equity funds invisible in an effort to protect the government-linked, money-laundering elite.
How are private equity funds regulated in Hungary?
Private equity funds in Hungary are regulated by the National Bank of Hungary (MNB). The MNB requires private equity funds to register with them and submit regular reports on their activities. However, the MNB does not require private equity funds to disclose their owners.
What is the impact of private equity funds on the Hungarian economy?
Private equity funds can have both positive and negative impacts on the Hungarian economy. On the one hand, they can provide much-needed capital to businesses and help to create jobs. On the other hand, they can also lead to job losses and the closure of businesses if they prioritize short-term profits over long-term growth.
What are the potential risks associated with private equity funds in Hungary?
The potential risks associated with private equity funds in Hungary include job losses, the closure of businesses, and the prioritization of short-term profits over long-term growth. Additionally, the lack of transparency in the industry can make it difficult to hold private equity funds accountable for their actions.
What measures are being taken to ensure transparency in the private equity fund industry in Hungary?
The opposition LMP party has launched an online signature drive aimed at introducing new legislation on keeping a public record of the names of the owners of private equity funds. However, the Hungarian government has not taken any measures to ensure transparency in the private equity fund industry.
Photo by Szabolcs Toth
