The Hungarian Integrity Authority has begun establishing a public register of economic operators banned from public procurement due to criminal offenses, marking a key step as Budapest seeks to address concerns over frozen European Union funds.
The newly launched database aims to prevent further abuses and safeguard the integrity of public procurement. Under the rules, any economic operator will be barred from participating in public tenders if its executive officers, managing directors, supervisory board members, or beneficial owners have been convicted of criminal offenses defined under the Public Procurement Act. The authority emphasized that this measure targets a legally defined group and is designed for prevention rather than stigmatization.
On Thursday, Budapest argued that companies demonstrating they have "restored their trustworthiness" should be eligible for removal from the blacklist. To facilitate this, the Integrity Authority is managing an ex officio "self-cleaning" procedure through electronic administration.
To successfully appeal an exclusion, an affected operator must submit a formal response documenting that it has fully compensated the injured party for damages, or has committed to doing so by a set deadline. Additionally, the operator must prove active cooperation with investigators, clarify all facts of the case, and implement necessary technical, organizational, and personnel changes to prevent future misconduct.
Once an appeal or entry is submitted, the relevant Hungarian authorities have a 20-day window to assess the documentation and decide whether to remove the operator from the blacklist. The finalized register will be integrated and made accessible within the country's Electronic Public Procurement System.
