Europe’s top court rules Hungary’s NGO law breaches EU law
Hungary’s law on foreign-funded NGOs violates EU law, the European Court of Justice (ECJ) ruled on Thursday.
“Hungary had introduced discriminatory and unjustified restrictions with regard to both the organisations at issue and the persons granting them such support.Those restrictions run contrary to the obligations on Member States in respect of the free movement of capital,” laid down in EU Treaties, ECJ said in its ruling.
Europe’s top court ruling was hailed by human rights organisations in the country, which called for further actions against EU governments that breach EU rules and values.
“The EU Commission must build on this judgment and use every chance it gets to enforce EU rules against any attempts to attack democracy and civil liberties,” Linda Ravo, the advocacy officer at the Civil Liberties Union for Europe (Liberties) told New Europe.
She added that brave political sanctions should follow, along with adequate funding for democracy watchdogs under attack.
Hungary’s anti-NGO law
The Hungarian law, formally known as an act “on the Transparency of Organisations Receiving Foreign Funds” was adopted on June 13, 2017, and introduced particular obligations for organisations receiving over large amounts of money from abroad.
Officially registered NGOs were requested to label themselves in all their publications, websites and press material as “organisations supported from abroad” in case they received an annual funding of over €21,615, while those receiving donations of around €1,400, are obliged to provide Hungarian authorities with detailed data over the donor and donation, with the information being publicly accessible.
The rule was introduced to increase transparency among NGOs, and to “squish” in particular, the “Soros network” organisations, as Prime Minister Viktor Orban said, and to enhance efforts against money laundering, as well as the financing of terrorism.
The government’s move sparked an outcry in the country, with critics citing violations of fundamental rights, including the right to privacy, freedom of association and expression. In 2017, the European Commission launched infringement proceedings against the country, citing that the law interferes with fundamental freedoms, however, the claims were rejected by the Hungarian government.
Critics who cited that the law stigmatises and defunds organisations which may rely on foreign funding to stay alive, were echoed by ECJ’s ruling which supported that “the measures which it [the Transparency law] lays down are such as to create a climate of distrust with regard to those associations and foundations”.
“The anti-NGO law is one but important and symbolic part of the Hungarian governments’ campaign against independent organisations,” Stefania Kapronczay, the Executive Director of the Hungarian Civil Liberties Union (HCLU) told New Europe.
The head of the human rights NGO crusading against the law, added that “the smear campaigns, the legislations and lack of dialogue between state institutions and civil society together describe the Hungarian governments’ approach to independent civil society.”
“We are delighted that the European Court of Justice ruled that the anti-NGO law indeed violates EU law. Now it’s the turn of the Hungarian government to comply with the ruling and repeal the law,” Kapronczay added.