VEKTOR CONTRACT IMMORAL

After a litigation of more than seven years the Metropolitan Court of Appeals has brought a valid verdict that the self-government of the XVI. district of Budapest concluded an immoral contract with Vektor company in August 1996.

This was the company which had bargained in the Tocsik case to reduce the sum legally due to self-governments for central areas in the value of HUF 16 billion. Vektor represented more than 100 self-governments against the State Privatization and Property Management Company.

The lawsuit was filed by a civic organization, the Association for the XVI. District, aided by the Metropolitan Prosecutor’s Office, while apart from Vektor company against the self-government of the XVI. Distric was also sued. The verdict says the deal was legal but immoral – this is in harmony with the verdict brought by the Supreme Court in the Tocsik case. The civic organization regards this verdict a success though it is highly questionable if they can get back the HUF 100 million from the accounts of Vektor company which is in a liquidation process.

Translated by Péter Szentmihályi Szabó