Hungary fines 11 banks $43 million for collusion

Estimated read time: Less than a minute

This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.

BUDAPEST, Hungary (AP) - Hungary's competition watchdog says it has fined 11 banks a total of 9.48 billion forints ($43 million) for collusion in connection with their clients' repayments of mortgages denominated in foreign currencies.

Tuesday's ruling by the Competition Office says that in late 2011 the banks colluded to curb new loan options that would have helped clients take advantage of a government program allowing holders of mortgages in foreign currencies to make a one-time payment canceling their loans at exchange rates far below market levels. Most of the exchange rate losses had to be swallowed by the banks.

Some of the lenders, including OTP Bank, which was fined 3.9 billion forints, and Erste Bank (fined 1.7 billion forints) said they would appeal the ruling.

(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Most recent Business & Tech stories

Related topics

Business & Tech


Catch up on the top news and features from, sent weekly.
By subscribing, you acknowledge and agree to's Terms of Use and Privacy Policy.

KSL Weather Forecast