The Magical Nokia-box - part 21.

Why is the work of prosecution questionable?

The BKV-case is a good example of how successfully can the prosecution, the police and the court work together when the political interest requires so. One of the most important roles was performed by prosecutor Szabadváriné Dr., the chief of the Department of Special Investigation. It can be hardly considered to be correct that the first highly illegal arrests and interrogations in relation with the investigation took place with her approval – just as the fact that later she was awarded for this by Tarlós. Not to mention that the charges related to the Nokia-boxes were dealt with unexceptional attention and priority – often ignoring the related processes. The investigation in the case of the well indicated bribery was launched after Balogh unsaid his testimony. Until that time it was considered as a charge supported by one single person’s statements.

Who did initiate the prosecution in the BKV-case?

The scandal around the severance pays paid by BKV broke in 2009, not much before the parliamentary elections. The Fidesz, of course, abused the situation and they were continuously attacking the coalition leading the capital. The first charges were made by the future lord mayor as the representative of the party. István Tarlós turned to the prosecutor’s office in connection with the above mentioned severance pays on July 29, 2015.

The Magical Nokia-box - part 18.

Is the public media biased towards the BKV-case?

The government of Fidesz passed the new press and media act. In the Media Council established under the new act there is no a single member who could be supposed to be in favour of the independent press. Although, it is the main responsibility of the MTI to provide the press with the latest and objective news, in the communication having been provided by them in relation to the BKV-case important bits of information have been lost. In most of their reports the focus is more on the details of the older testimonies which have already been unsaid in most of the cases. At many points they have penned briefly and ambiguously, furthermore their titles have not reflected accurately the events took place during the trials.

Has the public media given up being independent?

The new press and media act issued by the government of Fidesz and the omnipotent Media Council elected for 9 years provide this impression. Since its being passed the act has been heavily and justifiably criticised both at a nationwide and an international level. Negative opinions have been expressed worldwide on the current status of the Hungarian democracy and “freedom” of the Hungarian media by the leading newspapers, diplomats and political organizations.

The Magical Nokia-box - part 16

When did it turn out that the story of the Nokia-boxes is not more than a legend?

On October 9, 2012 the story took an unexpected turn: during his court hearing Zsolt Balogh unsaid his statements on the Nokia-boxes. He was called by Judge Ibolya Hadnagy to declare if he keeps his investigatory testimony. Balogh said that he keeps the one given before the court. About his significantly different investigatory testimony read out by the judge he said he had stated incriminatory things in it in order to meet the needs expressed by the prosecution and avoid prison: “I am not a hero. I did not want anything else just to go home.” Later, in March 2015 he completely withdrew the story of the Nokia-box and he apologized to Hagyó spending nine months in custody for his earlier false statements on him. Finally, the prosecution did drop the related investigation, admitting that the statements on the Nokia-box cannot be supported with evidence.

Why is it particularly significant that Balogh unsaid his testimony?

Because the whole Nokia-box scandal developed from his statements. Among others, this is how the story about the bribes delivered to Miklós Hagyó, former Deputy Lord Mayor, on several occasions by Balogh got around. The indictment of the BKV-case also based on these statements just like the two counts against Hagyó.

The Magical Nokia-box - part 4

Who wins with the scandal?

The case came in handy to FIDESZ before the elections. They turned almost immediately to the Attorney General, 6 days after the scandal burst out. Everyone who may be familiar with the Hungarian political situation knew that BKV-case was very important with regard to the 2010 national elections. Hagyó resigned from BKV supervisory board in August, 2009. MSZP announced that they trust in the innocence of the Deputy Mayor but on the contrary they asked Hagyó in February, 2010 - in the middle of the election campaign - to resign from every title he had.

 If MSZP trust in Hagyó’s innocence, why did they have him resigned?

Knowing the position fights inside MSZP it is not surprising that the national management did everything possible to shrivel Hagyó from the fourth place of the regional list. They were insinuating and leaking in the press however they claimed Hagyó to resign only when it was published that two BKV managers took incriminating testimony against him.

BKV case: it was a normal contest

The BKV case trial continued with the former leader of the department of investment’s hearing today on the Kecskemét Tribunal. The witness was heard in the count of the C. C. Soft Ltd. accusation. On the hearing he made it obvious: this company made the best offer for the configuration of the passenger informant system.




The former leader of the department started to work at the transportation company in 1974, and in the lack of 10 days he was working there for 35 years, until May, 2008. He led the department of the investment from March, 1997 until August, 2007, when because of the realignment he became to the front of the developmental department. About the questioned period – summer of 2007 – he said that at that time the department controlled 170-180 investments. 

The accusations with the C.C. Soft are misty – reporting from the court room

Not one question came up in the people after the Thursday’s hearing of the BKV case. The technical terms like interface XM 25, data link, guards just fluttered. The court’s and the reader’s situation is not easy. We will try to clear this up, howsoever the situation with the I/14 count seems like misty.





Because of course what just happened in a ”shallow and rough-and-ready” way?

There is a several billion forint project, in it’s maiden name, the whole reconstruction of the Szentendre’s local train, which is proceed in it’s own way, in practice it had to be ready for the fall of 2007. However the modernization of the passenger informant system is dropped out of it, which of course should be do in lightening steps, after all the fall is coming, the school season is coming.

BKV case: absurd mix-up in the court room – Stop.hu article

On the Kecskemét Tribunal they would prove the condition of the local train’s passenger informant system in 2008 with photos which were taken in 2011. From this it became a comical mix-up, but they still couldn’t prove the accusation.




On the Thursday’s hearing on the carpet it was again the accusations of the contracts with the C. C. Soft. The witnesses who were heard were the responsible people in the department of the investment of the local train’s passenger informant system. One of them, F. P. as he said, he feels that in the October of 2007 at the explosion of the media scandal he became in the position like this because he was inexperienced and manageable. He stated that for November, 2007 the testing could start and however a lot of mistakes were revealed, the workers of the C. C. Soft did everything for the insurance of the system’s working. The witness stated in his investigation testimony that Zsolt Balogh, that time deputy CEO of the BKV, took in the decision power. With this he would have support the concept of the accusation but for the questions of the defense he said that from the defendants, no one ordered him to any outlawry or committal of an abuse. Attila Antal, the former CEO of the BKV, in his observation he noted that if F. P. wouldn’t have signed the achievement certification which are in the accusation then they couldn’t paid the C. C. Soft, and then the project would have been stopped which the witness was responsible for. 

BKV case: the local train’s display is on the carpet

On the yesterday’s hearing of the BKV the counts with the C. C. Soft were on the carpet. The court heard two witnesses who were the responsible people of the project in the company’s department of investments in 2007 when the company established the passenger informant system of the Szentendre’s local train. 

For the end of the day it revealed: during their activity they had no sign to the management of the transportation company that would include that the project wouldn’t fulfill.

Capacity and competence – we report from the court room

The consulting contracts signed by AAM Ltd were discussed again on Tuesday at the BKV case’s hearing.

The last Tuesday hearing was an interesting day in the history of the „strudel dough length” BKV case. The honorable court discussed the count regarding the AAM Ltd’s consulting contracts, obviously not for the first time. Given that more witnesses have already spoken regarding these contracts, but now the company’s onetime CEO was standing before the court.

And he didn’t hold himself back.




For the judge’s question he already stated it in his first sentence that he doesn’t understand how the company lead by him got into this case. In his person he is feeling himself offended that regarding the AAM Ltd’s activities because of the politics and the media, the company’s professional reputation has been damaged. This thought followed through the witness’s testimony.

With the contract splitting, the BKV lost billions – Népszava article

The AAM Ltd’s consulting contracts were discussed again on Tuesday, on another day of the BKV case’s hearings. According to the AAM Ltd’s onetime president and CEO, regarding the total investment the amount of loss can be measured in 10 million forints what they could’ve saved if the BKV wouldn’t have terminated the contract with the company.




The witness was a founder of the AAM Ltd. in 1994, where he was managing director until 2003 and then CEO until December 31 2007, since then he is the president of the company. The AAM finished his first job for the BKV in 1996 and in the following years they’ve been in continuous contact with the transportation company completing annually 1-2 assignments for 5-10 million forints. Since 1999 administrative authorities were also clients of the company, as market leaders they were in the BKV’s prequalification system for 15 years. The company employed 230 people in 2007 from which 140 had 5-8 years of experience. 

The AAM did a useful work for the BKV

The court heard another witness about the contract of the investment made in Subway line 4 on the BKV case’s Thursday hearing. After the hearing’s day it is getting cleaner: the AAM Ltd. did a useful work for the BKV and for the owner, Budapest.




Z.D. who was summoned as a witness was working at the BKV since 1988, until September 2007 when Attila Antal, that time CEO of the BKV terminated the contract by common assent. Since 1990 he was working as project manager, decision preparatory and as a public procurement expert, then from 2004 from the ask of Botond Aba he was leading the directorate of the innovation and public procurement until July, 2007, when after the organizational converts he got into the head of the engineering directorate as the deputy CEO.

Remarkable turn: the project director doesn’t accuse Miklós Hagyó

There has been a turn in the BKV case on the Tuesday hearing, since the leader of the Subway line 4 project company unsaid his negative statements given by him during the investigation concerning the first accused Miklós Hagyó as a result of the questions of the defense and the documentary evidences.





At the Kecskemét Tribunal the witness who was the leader of the innovation Éva H. for example stated regarding Hagyó’s press person that the way she knew that the lady worked for the former deputy lord mayor is that he talked with her about it. However the defenders presented contracts that have proven that the witness has left the project before Éva H. started to work at the City Hall.

Hagyó case: according to a former AAM coworker the analyses for the BKV were necessary- HVG article

A witness considered the analytical and the subway investment screening materials made by AAM Ltd. to BKV – who were associates during that time - useful and necessary on the Thursday hearing of the case against Miklós Hagyó former socialist deputy lord mayor and his associates at the Kecskemét Tribunal.





The AAM signed 3 contracts in 2007, during the time of the accusation with the BKV. In these contracts they undertook the assignment of screening the subway investment, supporting the coordinating tasks of the Subway line 4 project, and also the expert support of the highlighted projects of the transportation company. The witness - who was the leading consultant of the AAM Ltd. during the time of the accusation - firmly traversed those statements of the indictment which says that the company performed unnecessary services for the BKV Ltd.

BKV case: the consultancy wasn’t unnecessary

The BKV case’s new testimony also didn’t favor the accusation: it has been revealed that based on the consulting contract - the subject of the accusation - an outside company did a useful and important job for the transportation company regarding the Subway line 4 investment. 

The witness who requested his personal information’s closed handling and who was questioned on the hearing was working as the company’s leading consultant. The witness answered the questions about 3 contracts, including the consulting contracts related to Subway line 4, which was also discussed.



As he said, the company already worked for the BKV in 1996. He stated about the contract related to the subway that the person who was responsible for the investment contacted them about the company making a study regarding the situation of the project. 

The actual signing of the contract happened after the arrangements have been made with the former CEO of the BKV. There was a two week deadline for the first phase, so the fulfillments have been made before the signing of the contract and has been started right after the verbal agreement. 8-10 consultants worked on the assignment in 12-13 hours a day. The witness gave a detailed report about the work they’ve done. It has been revealed from his report that they’ve done a great amount of work in a short time.

Hagyó case - The number 31 witness called two contracts useful

The Hagyó case’s number 31 witness considered two BKV contracts important and useful on the Tuesday hearing at the Kecskemét Tribunal. They questioned the witness in connection to the accusations of the AAM Zrt. and the Montana Zrt.
The witness was brought to BKV Zrt. by the recommendation of Gábor Demszky, former lord mayor of the SZDSZ and he worked as deputy chief executive officer at BKV from April 2007 to December 2008 then left the transportation company with a several 10 million forints “step-down fee”.

They projected the electronic mails - which were sent by Montana to BKV - on the wall of the courtroom, but no substantial information connected to the project could’ve been found.

The accusation weakened again in the BKV case

The BKV case continued with the hearing of two witnesses at the Kecskemét Tribunal. Both of them made a statement about the investment made in Subway line 4, and about a job ordered by a consulting firm. They didn’t confirm the accusations.






One of the witnesses of the BKV case’s Tuesday hearing was Imre Ikvai-Szabó, who was working as Budapest’s deputy lord mayor at the same time as Miklós Hagyó. While Hagyó was responsible for the professional matters at the cabinet, Ikvai-Szabó was responsible for the financial ones. As he told, the disbursement system of the public utility companies was regulated so closely, that in practice, the City Hall didn’t have a say in the matter. He and Hagyó primarily dealt with contracts that exceeded the 5-10 billion forint value, such as the 500 billion forint worth Subway line 4 projects. He didn’t understand that meanwhile they dissect half million forint worth contracts at the hearing.

Coercion interrogations, magisterial malfeasances in the Hagyó case – WITNESSES (5th part) – RELOADED

In the hearings period of the BKV case, which is became called as the Hagyó case, the defendants and the witnesses in the case recalled their testimonies which was the biggest storm stirred. 

A lot of them referred to the fact that during the investigation against the Public Transportation Ltd. of Budapest and against a few former leaders of Budapest there happened several magisterial malfeasances. Ones reported about coercions, others revealed a lot of malpractices from the police during the investigation.

The police documents are bristles from the caveats. The defendants brought the attention to the court for falsely dated, lost documents and for documents which can have the forgery suspicion.




Our blog started a series for the explorations of these malfeasances. On the fifth round please get to know another case’s defendant – which known as the airport bribery- , György Sziebert’s story, observations. 

What are the concrete accusations from the prosecution against Hagyó in the connection with the subway line 4?

The BKV case continued in the Kecskemét court on the Tuesday’s hearing with the count which is about the study of the Subway line 4. The I/21. count numerically is the most remarkable accusation against Miklós Hagyó. Nevertheless that the making of the reports about the project wasn’t even in the scope of the former deputy lord mayor.





According to the accusation the unneeded study was ordered by the BKV from the AAM Ltd. for 50 million forints, but according to the accusation the city hall should have paid for it. According to the indictment in the end of December, 2006, Hagyó ordered Attila Antal who was at that time the CEO of the BKV that he has to get the analysis work done with the AAM Ltd. But about from the indictment it doesn’t come out clearly if the accusation entail against Hagyó that the quid pro quo of the contract should have been paid from other resource, or that the contract per se was unneeded. 

BKV case: the project which is hampered from inside

They heard more witnesses, including az expert on the Thursday’s BKV hearing in Kecskemét. If it wouldn’t be about a serious issue we could bravely state that the result turned out to be funny.



The expert IT witness earlier called the passenger informant system on the line of the local train a homemade do it yourself. At that time he stated that the system was working on 76 percent and according to him it didn’t even count as working. But now it turned out that the expert didn’t possess neither with profession in the connection of transportation nor with experience. For the answer of the questions from the defense he answered that during the audit he was only checking directly only one station where he was talking to BKV workers, and the other displays he only saw it when he passed at the other stations. He also said that he didn’t have time to disarm and check any of it. 

„Homemade do it yourself” in the Hagyó case

The expert IT witness called, on the Thursday’s trial against Miklós Hagyó (who is the former deputy lord mayor) and his associates, a few elements of the passenger informant system at the local train between Batthyány and Békásmegyer which was constructed for 118 million forint.




According to the expert witness who was asked by the court the passenger informant system’s display was unsuitable for the function, the software of the system didn’t work as the calling for tender said.

Ibolya Hadnagy, the board leader judge is continuing the process of proof since the second day about the passenger informant system which was constructed by the C. C. Soft Ltd., and which according to the accusation made 118 million forints of damage for the BKV Ltd.