HUNGARIAN MANUFACTURE OF ARMS OVER

The arms factory of Hungary with a hundred years’ tradition has gone bankrupt. Not only 240 workers had to be dismissed but after 114 years the Hungarian manufacture of arms is also over. The last order of Fégarmy fom the Ministry of Defence was 2500 handguns for HUF 170 million but this was not enough even to cover the expenses of liquidation.

After this delivery the factory was closed down, the income was spent to pay the wages and redundancies. Fégarmy has no assets, its equipments belong to the new owner, FÉG-Invest Ltd. As Magyar Nemzet reported earlier, one of the owners of the FÉG group is Péter Szalai, an entrepreneur attached to the Hungarian Socialist Party. The factory had been state-owned until 1999, the State Privatization and Holding tried to sell it several times with no avail. In 2003 the factory was bought by Fúzió-Pharma Company for HUF 230 million but in 2004 several markets were closed down before the firm. The real estates of Fégarmy were bought by SLK-158 ltd but this firm has been also liquidated.

Translated by Péter Szentmihályi Szabó