HUNGARY: 2009 TRAFFICKING IN PERSONS (TIP) REPORT

UNCLAS SECTION 01 OF 11 BUDAPEST 000148

SENSITIVE
SIPDIS

DEPARTMENT FOR G/TIP MEGAN HALL, EUR/CE JAMIE LAMORE, G FOR
AC BLANK, INL, DRL, PRM, IWI, EUR/PGI FOR JODY BUCKNEBERG

E.O. 12958: N/A
TAGS: PHUM KTIP KWMN ELAB KCRM KFRD PREF SMIG ASEC
HU
SUBJECT: HUNGARY: 2009 TRAFFICKING IN PERSONS (TIP) REPORT

REF: STATE 00132759

BUDAPEST 00000148 001.2 OF 011


Entire cable is sensitive but unclassified; please treat
accordingly.

==============
SUMMARY
==============


1. Despite the successful implementation of the National
Strategy Against Trafficking in Human Beings on April 10,
2008, the GOH was unable to sustain the same level of
commitment to anti-TIP activities as it had done in previous
years. During the year, the GOH eliminated financial and
programming support for all NGOs working on TIP issues, and
provided only minimal assistance for government programs.
GOH officials reported that many of their initiatives and
funding prospects will be stalemated until a National Action
Plan is finalized by the Ministry of Justice and Law
Enforcement. The Action Plan was scheduled to be completed
in August 2008 but was still in the planning phase at the end
of the reporting period. NGOs and IOs continue to provide
the majority of anti-TIP programming and funding in Hungary.

Hungary's TIP environment remains relatively unchanged from
the previous year. Hungary is primarily a country of origin
and transit, and a destination country to a lesser extent.
Traffickers primarily target young, rural women and adult
female orphans. Women from the poorer eastern region of the
country are especially vulnerable. The recent economic
downturn in Hungary has led to an increase in supply of
domestic victims, and, in turn, has reduced the demand for
international victims. Both government officials and NGO
representatives expressed concern that the visa free Schengen
Zone has made it easier for traffickers to transit
international boundaries undetected. Police officials have
also been monitoring the effect on trafficking of victims to
the United States following Hungary's acceptance into the
Visa Waiver Program in November 2008.

Law enforcement efforts to combat TIP became increasingly
successful since the implementation of a new TIP law
enforcement database in December 2008. The database allows
police officers anywhere in Hungary to flag any crime that
may have a TIP-connection. The National Bureau of
Investigation receives these alerts and can follow-up on them
as needed. NGOs gave high marks to law enforcement officials
for their effective and proactive approach to identifying
trafficking victims.

The government's support for victims declined significantly
from the previous year. For example, during the year, the
GOH did not provide financial assistance to any NGO working
in the TIP community, contrasted with the approximately USD
150,000 the GOH provided to those NGOs in 2007. The GOH also
canceled the lease for a building it owned which housed one
of only two victims' assistance shelters in Hungary.
However, a government referral system designed in cooperation
with the GOH and NGO victims' assistance centers worked
effectively during the year.

Post believes that Hungary has not followed-through on its
own proposals to address the trafficking situation. While
the government-based referral system and law enforcement
initiatives are proving successful, other areas have been
left largely unattended. Hungary has established a solid
anti-TIP framework through its National Strategy but now
needs to continue with developing and implementing an action
plan with the TIP stakeholders. Hungary should also look for
ways to support important services for trafficking victims.

=======================
HUNGARY'S TIP SITUATION
=======================


A. Key government agencies, NGOs, and international
organizations provided the majority of the TIP-related
information to Post. The Ministry of Justice and Law
Enforcement (MOJLE) is the lead government agency on TIP
issues and is the primary point of contact on all related

BUDAPEST 00000148 002.2 OF 011


issues. Other government agencies involved include the
Ministry of Foreign Affairs (MFA),Ministry of Social Affairs
and Labor (MSAL),and the National Bureau of Investigation
(NBI). Several NGOs also provided information related to
victims assistance, prevention efforts, and government
cooperation. The International Office of Migration (IOM) is
an additional source of information. Post considers the
sources to be reliable in large part, but believes that some
of them may skew their input in favor of the government.
NGOs that have received direct financial or programming
assistance from the GOH seemed reluctant at times to share
information that could negatively impact the USG's assessment
of the GOH's TIP activities.


B. Hungary is primarily a country of origin and transit,
however it is also a destination country. In particular, for
women trafficked for sexual exploitation, Hungary is a
source, destination, and transit country.

Seventy-five trafficking victims were identified during 2008
compared to the 28 victims reported in 2007. Officials
reported that of the 75 trafficking victims, 56 were
trafficked internally. Internal trafficking for sexual
exploitation originates primarily from eastern Hungary and
terminates either in Budapest or along the Austrian border.
Recent trafficking trends suggest that Hungary is becoming
less of a destination country and more of a transit country.
Rising poverty rates have increased the supply of domestic
victims, thus reducing the demand for international victims.
Additionally, the implementation of the visa-free Schengen
zone has made it easier for traffickers to traffic external
victims through Hungary en route to other countries.

Victims were trafficked internationally from Hungary to the
Netherlands, the United Kingdom, Denmark, Germany, Austria,
Italy, Switzerland, France, and the United Arab Emirates.
The Netherlands is increasingly becoming the destination
country of choice for Hungarian traffickers.

Other victims were trafficked to Hungary from Ukraine and
Romania. Nineteen internationally trafficked victims were
identified during the reporting period, however, there were
no official estimates of the actual number of victims
trafficked from, to, or through Hungary. The impact of
Hungary's acceptance into the Visa Waiver Program on November
17, 2008 is being closely monitored by government officials
in anticipation that it may spark a new wave of trafficking
from Hungary to the United States.


C. Victims trafficked within and outside Hungary are
trafficked for sexual exploitation. TIP victims in Hungary
are forced to solicit clients on rural roads, city streets,
and in brothels. Threats and the use of force are used to
ensure compliance. Victims are usually housed in apartments
owned by traffickers or outbuildings on their property.
Virtually all victims' earnings (as well as the victims'
travel documents) are taken by the trafficker.

Many victims are enticed through employment ads promising
well-paying work, either legal or illegal, but Post has no
evidence that bona fide employment, travel agencies, or
marriage brokers are fronting for traffickers. However,
bogus employment ads are published in free weekly
publications, on the internet, or spread by word of mouth,
for instance, at discos. Some victims know they are being
recruited to perform illegal work. Some are recruited as
"exotic dancers," but do not expect to have to perform sexual
services. Once at a destination, the victim is forced into
prostitution to pay off the "debt" she has incurred for being
brought to the establishment. There is evidence that many
women are sold into prostitution by their families. This
typically happens in very low-income families. While
government officials comment that it is not uncommon for
trafficking victims to use fraudulent documentation, a
significant number travel with bona fide documents, making it
difficult to identify victims as they are unaware of their
intended victimization.


D. Traffickers will often target young, rural women and
adult female orphans. Women from the poorer eastern region

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of Hungary are especially vulnerable. NGOs estimate that 90
percent of all orphan girls are in danger of being
trafficked. Upon reaching the age of 18 years, an orphan is
no longer allowed to reside in state-run orphanages. At that
time, the orphan is given a maximum, one-time stipend of
approximately HUF 1.6 million (USD 6,866),depending upon how
long they were in state care, which they must use to find
their own housing. According to NGOs and government
officials, the stipend is too small to help the individual
start a new life. There is also a mentorship program
available to those over the age of 18, but in practice it is
not used very often and it is not viewed by NGOs as very
effective. As a result, most of these women find themselves
indigent and homeless in a matter of weeks. Out of
desperation, they often turn to prostitution and quickly find
themselves at the mercy of traffickers and/or pimps.


E. Government officials and NGOs both stated that, while
there are some instances of organized crime engaging in
trafficking, the majority of traffickers are individuals or
small groups that are oftentimes interconnected through
family or social ties, and that many have prior criminal
records for crimes related to trafficking, such as document
forgery. In cases of international trafficking, these
individuals or groups make cooperative arrangements with
other small-time operators in the destination country.

============================================= ==========
SETTING THE SCENE FOR THE GOVERNMENT'S ANTI-TIP EFFORTS
============================================= ==========


A. The government recognizes that trafficking in persons is
a problem in Hungary that requires continued law enforcement,
prevention, and victim assistance efforts.


B. The government's National Strategy Against Trafficking in
Persons came into force on April 10, 2008, establishing the
framework of cooperation for government agencies involved in
trafficking issues. The Ministry of Justice and Law
Enforcement has the lead on all trafficking issues and,
according to the strategy, should coordinate government
activities through a State Secretary-level national
coordinator. Other government agencies involved include the
Ministry of Social Affairs and Labor and the Ministry of
Foreign Affairs.

The National Strategy details the trafficking situation in
Hungary and lays the groundwork for the formation of a
National Action Plan. It also describes the principle tasks
of the National Coordinator position to include the
development of an action plan and a requirement to maintain
routine communication with key stakeholders. The strategy
also set an August 31, 2008 deadline to develop the action
plan. Despite the stated goals of the National Strategy, the
government has not followed-through on its own
self-prescribed initiatives. Ten months after the National
Strategy was adopted, NGOs reported that they did not know
who the National Coordinator was, nor were they ever
contacted or consulted about the action plan. The first
meeting convened by the National Coordinator occurred on
February 9, 2009, apparently in response to Post's request to
gather information for this report.


C. The government reported both law enforcement and
budgetary limitations in combating TIP. Representatives from
the National Bureau of Investigation reported that
trafficking laws are narrow in scope and fail to fully
address the TIP problem. They cited the example of
pandering, saying that the law does not treat it as a TIP
crime, thus weakening their ability to combat it. The
National Assembly has been considering legislation to include
pandering as a TIP crime for many years without success. The
absence of any special TIP judges or prosecutors in Hungary
was also cited as a limiting factor. A severe budget
shortfall during the reporting period explained in part the
significant cut-backs in government support of TIP
programming. The government did not financially support any
TIP NGO during the year. In 2007, the GOH allocated
approximately USD 150,000 to NGOs for TIP-related programming.


BUDAPEST 00000148 004.2 OF 011



D. The National Strategy established a mechanism for the GOH
to systematically monitor its anti-trafficking efforts, but
there was no evidence that this was done. The National
Strategy disbanded both the interministerial working group
and the bilateral working group cited in previous reports,
and replaced them with the national coordination mechanism.
This mechanism requires regular communication and meetings
with key TIP stakeholders, but NGOs and GOH officials
reported that no such activities occurred. The GOH also did
not release regular reports on trafficking, nor did it make
available through regional/international organizations its
assessments of its anti-trafficking efforts. The individual
agencies that are involved in anti-TIP efforts operate
independently of each other and rely on informal channels of
communication to share information.

============================================
INVESTIGATION AND PROSECUTION OF TRAFFICKERS
============================================


A. In 1999, the crime of TIP was specifically introduced
into the Hungarian Criminal Code. The definition of TIP was
modified in 2001 to harmonize with the UN Convention against
Transnational Organized Crimes. Under paragraph 175/B of the
Hungarian Criminal Code, any person who sells, purchases,
conveys, receives another person or exchanges a person for
another person, including the person, or who recruits,
transports, houses, hides, or appropriates people for such
purposes for another party, is guilty of a felony punishable
by imprisonment not to exceed three years. The basic penalty
for traffickers is one to fine years imprisonment, if the
criminal act is committed for the following purposes: sodomy
or sexual penetration; to subject the victim to forced labor;
to the detriment of a person kept in captivity; for the
unlawful use of human body; in criminal conspiracy; or in a
pattern of criminal profiteering. The penalty for these
offenses increases to two to eight years if it is committed
to the detriment of a person who is in the care, custody,
supervision, or treatment of the perpetrator or if it is
carried out by force, by the threat of force, by deception,
or by tormenting the injured person. The penalty increases
to five to ten years if trafficking for the purpose of making
illegal pornographic material is involved. If the victim of
any of these forms of trafficking is under 12 years of age,
the penalty is five to fifteen years up to life in prison.
Any person who makes preparations for TIP is guilty of a
misdemeanor, punishable by imprisonment not to exceed two
years. The law covers both internal and trans-border
trafficking cases.

The GOH acknowledges that the Supreme Court has set strict
evidentiary requirements for proving the crime of TIP, which
makes successful prosecutions under paragraph 175/B
difficult. Unfortunately prosecutors often try traffickers
under other criminal statutes, which are related to
trafficking and easier to prosecute, but carry lighter
sentences, in the hopes of providing a greater chance of
conviction. The numbers of these "non paragraph 175/B"
prosecutions are included in the Unified Statistical System
of Investigations and Prosecutions (ERUBS). These
TIP-related statutes may include laws against slavery,
kidnapping, promotion of prostitution, living on the earnings
of prostitution, pandering, human smuggling, violation of
personal freedom, changing the custody of a minor, or
changing the family status. The GOH did not enacted any new
TIP criminal legislation during the reporting year.


B. The basic penalty for trafficking people for sexual
exploitation is imprisonment between one to five years if the
criminal act is committed for the purpose of sodomy or sexual
penetration. The penalty increases to two to eight years if
it is committed to the detriment of a person who is in the
care, custody, supervision, or treatment of the perpetrator,
or if it is carried out by force, by the threat of force, by
deception, or by tormenting the injured person. The penalty
increases to five to ten years if trafficking for the purpose
of making illegal pornographic material is involved. If the
victim is under 12 years of age, the penalty is five to
fifteen years up to life imprisonment. The GOH did not
enacted any new legislation on sex trafficking offenses since

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the last TIP report.


C. The basic penalty for labor trafficking offenses is
imprisonment between one to five years if the criminal act is
committed to subject the victim to forced labor. As with
sexual exploitation, the penalty increases to two to eight
years if it is committed to the detriment of a person who is
in the care, custody, supervision, or treatment of the
perpetrator, or if it is carried out by force, by the threat
of force, by deception, or by tormenting the injured person.
If the victim is under 12 years of age, the penalty is five
to fifteen years up to life imprisonment. The law provides
for criminal punishment for both recruiters who engage in
recruitment of laborers using knowingly fraudulent or
deceptive offers that result in workers being trafficked in
the destination country as well as for employers or labor
agents who confiscate worker's passports or travel documents,
switch contracts without the workers' consent, or withhold
payment of salaries as a means of keeping workers in a state
of service. If the perpetrator is a Hungarian citizen he/she
can be punished for a TIP offense, regardless of the place of
the perpetration. If the offender is not a Hungarian
citizen, Hungarian law should be applied, if perpetration is
in another country, but the offender has connection to
Hungary, Hungarian law can be also applied pursuant to the
Hungarian Criminal Code. The GOH did not enact any new
legislation on labor trafficking offenses since the last TIP
report.


D. The penalties for rape or forcible sexual assault are
similar to trafficking penalties. The basic penalty is
between two to eight years imprisonment. The penalty
increases to five to fifteen years if the victim is under 12
and if the victim is under the care of the perpetrator or if
more than one person has sexual intercourse with the victim
on the same occasion, knowing about each other's acts.


E. The GOH launched 21 investigations against suspected TIP
crimes during the year. According to Ministry of Justice and
Law Enforcement data, there were 16 convictions against TIP
for sexual exploitation and an additional two convictions for
labor trafficking offenses. Of the 16 convictions for sexual
exploitation, nine convictions resulted in sentences ranging
from one and one-half to nine years in prison. Four of these
convictions resulted in prison sentences of under three
years, while the other five convictions resulted in prison
sentences of more than five years.
Of the 16 total convictions, seven resulted in suspended
sentences. Of these, five sentences included additional
fines. Fines in three of the cases were below HUF 100,000
(USD 415). In the other two cases, the fines were exactly
HUF 850,000 (USD 3,526). There was no additional information
available to explain the disparity between the fines in these
five cases.

The two convictions for labor trafficking offenses resulted
in prison sentences of two years in one case and one and
one-half years in the second case. Both sentences also
included an additional two years probation to be served after
prison.

Compared to the previous year, penalties for convicted
traffickers were not as severe in 2008. In 2007, the 17
reported convictions resulted in 16 prison sentences with
only one case ending in a suspended sentence. Ninety-four
percent of convicted traffickers received a prison sentence
in 2007. In 2008, only 9 of the 16 convicted traffickers, or
56 percent, received a prison sentence, while 7 received
suspended sentences. A breakdown of the conviction data by
county revealed that five of the seven suspended sentences
originated in Szabolcs-Szatmar-Bereg County, This county is
the easternmost county in Hungary and is reportedly also from
where many internally trafficked victims originate. There is
no evidence available to explain why the sentencing patterns
appear to be less strict in this county relative to the rest
of the country.


F. The GOH provides training to crisis hotline operators on
how to recognize potential trafficking victims. Operators
refer possible victims to a victim care NGO for follow-up.

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The GOH also conducts regular training for consular officers
destined for overseas assignments. However, the National
Bureau of Investigation reported that it did not receive any
funds from the GOH to support TIP training for police
officers, including victim sensitivity training.

The Hungarian Judicial Academy (HJA) held a two-day course in
November 2008 for criminal judges who handle TIP cases. The
course goals were to sensitize judges to the needs of victims
and to provide insights into how to best listen to victims'
concerns. Fifteen judges participated in the training. The
HJA planned to repeat the organized training it conducted in
2007 for 342 judges that covered TIP-related subjects, but
plans for that training were canceled.

The International Office of Migration (IOM) has been active
in training in the past but did not conduct any training for
government officials during the year.


G. The GOH cooperates with other nations on a regular basis,
but police officials noted that international cooperation can
at times be difficult because the GOH's criminal
investigations are treated at a higher level of
classification than other international partners. The
Hungarian TIP laws' intent to protect the integrity of the
TIP investigations limits the ability to share information
with international partners. During the year, the Hungarian
police cooperated on investigations with officials from the
Netherlands, the United Kingdom, Spain, and France.

In January, Hungarian and French authorities exposed an
international trafficking ring involving as up to 100 victims
from several countries including Hungary. The operation used
men posing as modeling agency representatives to lure women
to Paris before forcing them to work there as prostitutes.


H. The GOH is willing to extradite foreign nationals charged
with trafficking, unless the suspect may be subject to the
death penalty. During the reporting period Hungary did not
extradite anyone charged with trafficking. Hungary generally
does not approve the extradition of its own nationals. The
U.S.- Hungary extradition treaty, for example, includes a
provision that allows each country to deny extradition of its
own citizens. In such cases where citizenship is the only
reason for denial, the denying country is obligated to
conduct a trial within its own justice system.


I. There is no evidence of government involvement in, or
tolerance of trafficking, at the local or institutional level.


J. There is no evidence that government officials are
involved in trafficking.


K. The 1999 Anti-Mafia law regulates prostitution in
Hungary. According to the law, prostitution is legal if the
prostitute is over age 18; however, there are large numbers
of restrictions as to where prostitution may be carried out.
Examples of restricted areas include within 300 meters of
schools, child care institutions, and embassies. Prostitutes
caught in restricted areas are subject to a misdemeanor fine.
The activities of pimps and brothel owners/operators are
criminalized. The law also calls on municipalities to
designate "tolerance zones," where prostitution would be
legal. While attempts to designate such zones have been
made, none currently exist, mainly due to public opposition.

In 2007, in an effort to bring prostitutes into the legal
economy, the tax authorities allowed prostitutes to apply for
entrepreneur permits and provided, with EU assistance,
approximately HUF 14.7 million (USD 85,231 at that time) to
the Hungarian Prostitutes' Interest Protection Association
(HPIPA) to assist individuals in obtaining the permits. The
permits allow prostitutes to give receipts to customers and
incorporated the sex workers into the legal economy by paying
taxes and making social security contributions. During this
reporting period, HPIPA said that their attempts to bring
prostitutes into the legal economy have been largely
unsuccessful. HPIPA estimates that between 15,000 and 20,000
prostitutes are currently working in Hungary, 85 percent of
whom are women.

BUDAPEST 00000148 007.2 OF 011




L. The GOH investigates, prosecutes, and convicts police
officers or military troops working in foreign missions.
Police and military officers committing a crime are
immediately suspended from office, sent back to Hungary, and
prosecuted. The foreign mission and the sending country are
notified without delay. No such crime was committed during
the reporting period.


M. The GOH and multiple NGO and IO sources confirmed that
there is no evidence that Hungary is a destination for child
sex tourism.

====================================
PROTECTION AND ASSISTANCE TO VICTIMS
====================================


A. Parliament adopted the Act on Entry and Stay of Third
Country Nationals (Act No.2) which came into force on July 1,

2007. This act grants trafficking victims a reflection
period of one month to decide whether they will cooperate
with authorities. During this period, victims are entitled
to a temporary residence permit and may only be expelled from
the country if their continued residence presents a serious
threat to national security, public security, or public
policy. After the expiry of the reflection period, if they
decide to cooperate with authorities, they are entitled to a
residence permit valid for six months. The government's
implementing decree (No. 114/2007) ensures that victims of
trafficking have access to accommodation, health care, and
various forms of financial support during their period of
legal stay in the country. According to the information
provided by the Office of Immigration and Nationality,
temporary residence permits on humanitarian grounds were
issued to nine people during the reporting period, but there
is no information as to how many, if any, were trafficking
victims.

Several NGOs expressed concern that the government's legal
interpretation of "victim" is oftentimes too narrow to
include victims of trafficking, thus making it difficult for
these organizations to secure government funding. One victim
assistance NGO said it is considering reclassifying its
trafficking victims as "homeless" in order to improve their
chances for government funding. They reported that other
victim classifications, including victims of domestic
violence, are higher on the list of government priorities.


B. There is currently only one victim care facility
operating in Hungary which is accessible to trafficking
victims. The shelter has been owned and operated by a
faith-based NGO since 2005 and provided assistance to 75
trafficking victims during the reporting period, of which 50
were referred to them directly by the GOH. The facility
offers a range of services to victims, including legal,
medical, and psychological assistance, as well as full room
and board, repatriation assistance for third country
nationals, and reintegration services. Trafficking victims
are permitted to stay in the facility for up to six months.
After that, the NGO provides additional assistance to the
victims to make the transition out of the facility. Options
include a transfer to another, non-trafficking victim
facility, repatriation to their country of origin, transfer
to another NGO shelter in the country of origin, or
assistance with gaining legal residence in Hungary.

The NGO had previously operated an additional victim care
facility in Budapest in a building provided by the GOH. The
GOH terminated that contract on June 30, 2008 and offered a
different building in a more isolated location outside the
city. Due the facility's "extreme" distance from Budapest,
the NGO elected not to accept the GOH's offer because its
location would make the facility "non-operational." In 2007
the same NGO received HUF 13 million (USD 74,901 at that
time) to operate its shelters and provide qualified social
workers, legal, medical, and psychological assistance, and
reintegration facilities if necessary. However, during this
reporting period, the NGO operated entirely on private
funding.


BUDAPEST 00000148 008.2 OF 011



C. The GOH does not directly provide trafficking victims
with access to legal, medical, or psychological services.
However, it does operate a crisis hotline, which has been
successful in directing trafficking victims to the
appropriate service providers. The hotline is funded
entirely by the Ministry of Social Affairs and Labor and
employs a staff of 12 operators and one director position.
The NGO that operates the victim care facility reported that
most of the 50 trafficking victims referred by the GOH during
the reporting period came through this channel. Several other
NGOs reported that the crisis hotline operated successfully
and effectively during the year.

The GOH reported that during 2008 it allocated HUF 132
million (USD 550,000) to victim assistance programs. Nearly
all of this funding, however, was designated for domestic
violence, not trafficking, victims.

Both GOH and NGO contacts confirmed that the GOH ceased its
funding of NGOs working with trafficking victims during the
reporting year. GOH officials reported that a severe budget
crisis hampered the government's ability to provide support.
Although GOH officials stated that there are plans in place
to provide additional funding in the future, they said the
government must first implement the TIP Action Plan, which
will establish the government's priorities. The Action Plan
was scheduled to be completed by August 2008 but is still in
the planning phase.


D. The Act on Entry and Stay of Third Country Nationals (Act
No. 2) described above (para. A) provides foreign trafficking
victims certain rights that facilitate their stay in Hungary.



E. The GOH does not directly provide longer-term shelter,
housing benefits to victims, or other resources to assist
victims rebuild their lives. In previous years, the GOH
provided financial support to NGOs that delivered such
services.


F. A formal victim referral program process, with an
emphasis on victim protection, has been in place since 2005.
According to one NGO, the referral system is functioning
well. NGOs reported that courts and prosecutors' offices use
the referral program to their satisfaction.

The police updated their directive on counter-trafficking
measures in 2007, which provides guidance to all policemen on
how to appropriately handle trafficking cases. The guidance
places a special emphasis on victim identification,
international coordination, and cooperation with NGOs.


G. There are no figures or estimates of the actual number of
trafficking victims in Hungary. However, 75 trafficking
victims were identified during the reporting period. Of
these, 50 were referred by the GOH-operated crisis hotline to
the victims' assistance NGO for follow-up. Law enforcement
officials reportedly do not directly refer victims to care
facilities. According to the GOH law enforcement statistics
database (ENYUBS),10 victims were officially identified
during criminal proceedings. The GOH did not provide
assistance to any trafficking victims through
government-funded assistance programs during the year.


H. NGO representatives reported that law enforcement
officials are successfully proactive at identifying possible
trafficking victims. Police officers receive a manual on TIP
explaining the causes of victimization, interrogation methods
for the victim-witness, and specific investigation techniques
and tactics. The manual was compiled in the framework of a
regional training program of the Stability Pact for South
Eastern Europe and the International Center for Migration
Policy Development (ICMPD) on implementation of the
regulations of Palermo Protocol.

Hungarian authorities do not register persons engaged in
prostitution. As a result, there is no formal mechanism in
place to screen for trafficking victims among this population.


I. It is not GOH policy to jail, detain, fine, or deport

BUDAPEST 00000148 009.2 OF 011


victims of trafficking, and there were no reports that any of
these occurred during the reporting year. According to both
the GOH and NGOs, the directive on counter-trafficking
measures from the Hungarian National Police to all police
officers across the country has had a positive effect on the
treatment and identification of trafficking victims.


J. The GOH officially encourages victims to assist in the
investigation and prosecution of trafficking cases. In 2001,
Hungary adopted its Act on Witness Protection. In theory,
the program grants physical protection to witnesses. The
program is available to victims of trafficking, provided they
are willing to testify in a court of law.


K. The GOH conducts regular training sessions for consular
officers to raise their awareness about potential TIP victims
they may encounter while posted abroad. The training
program, developed by the MFA's Consular Department and IOM,
is mandatory for all Hungarian consuls and is part of the
manual issued to all consular officers. The training also
serves as a model for other Foreign Ministries in the region.
In 2008, consular officers identified 16 trafficking victims
and an additional four potential victims. Consular officers
identified victims in the United Kingdom, Austria, Mexico,
Germany, Italy, Cyprus, and the United States. In all cases,
the consular missions issued travel documents in order to
facilitate the victim's return home, and in some cases they
also provided financial assistance. Hungarian consulates
regularly cooperated with local victim assistance
organizations and referred many of the victims directly to
those agencies for assistance.


L. Repatriated nationals who are trafficking victims have
access to the range of social services available to all
Hungarians. Once repatriated, the GOH does not directly
provide any additional assistance to these victims. Instead,
the victims are normally referred to the NGO-operated victim
care facility for follow-up.


M. The most active organization concerned with trafficking
is IOM. Since 1999, IOM has conducted the most in-depth
training on trafficking in Hungary. In 2007, IOM provided
anti-trafficking training assistance and awareness raising
interventions to three target groups (child care, education
and health experts, and vulnerable groups at risk of being
trafficked). These programs directly reached 121
beneficiaries. IOM and the GOH are planning a joint
trafficking prevention campaign slated for mid-March 2009.
IOM also refers Hungarian victims identified by their offices
outside of Hungary to the victims' care facility in Budapest.
In 2008, IOM referred seven external Hungarians to this
facility.

A faith-based NGO (which has asked to remain anonymous for
security reasons) has done considerable street-level work,
operates the only victims' shelter in the country, and
provides counseling services to trafficking victims and
prostitutes, as well as international relief services. The
NGO finances trafficking awareness programs for its own
social workers and experts.

WRA is a victims' assistance NGO that operates some of
Hungary's regional victims' assistance offices. WRA provides
financial and other types of support to victims of all
crimes, including trafficking. WRA also runs
awareness-raising campaigns using information brochures
placed in police stations.

Women United Against Violence (NANE) is a small, but active
NGO. Although NANE's primary focus is not trafficking, it
provides counseling to trafficking and domestic violence
victims and promote public awareness of these issues.

The Cordelia Foundation is a small NGO providing relief to
victims of torture and organized crime. They also work on
refugee assistance.

Habeus Corpus is a small NGO that provides legal assistance
to trafficking and domestic violence victims.


BUDAPEST 00000148 010.2 OF 011


The Hungarian Prostitute Interest Association (HPIA) is a
small but active NGO that seeks to raise government awareness
on the plight of prostitutes. HPIA conducts surveys on the
working conditions of street prostitutes, rehabilitates
prostitutes, and counsels them on how to avoid being
victimized by traffickers.

==========
PREVENTION
==========


A. The GOH did not conduct any anti-trafficking information
or education campaigns during the reporting period. However,
the MOJ, in cooperation with IOM, plans to launch a
demand-side campaign on March 4, 2009. The three-month
campaign will use information fliers posted in gas station
restrooms to reach the target audience of 25-45 year old
males. The fliers' intent will be to get the audience to
consider how certain activities, such as hiring a prostitute,
could support the trafficking industry. Additionally, IOM
will develop anti-demand related information to be posted on
the MOJ website. The MOJ is proposing to incorporate an
online survey to track the effectiveness of the campaign,
although government officials admitted that the survey may
not give an accurate measure of the campaign's impact. The
GOH is planning to finance the campaign with HUF 3 million
(USD 12,500).


B. Since December 21, 2007, Hungary has been a member of the
Schengen zone and continues to place a high importance on
monitoring its borders. A wide range of modern techniques
are in place to detect illegal border crossings (such as
sensors, infra-red cameras, etc). Immigration and emigration
patterns are monitored and law enforcement agencies pay
special attention to cases where TIP may occur during the
entrance procedure at the borders. NNI police officials noted
however, that the removal of border controls between Hungary
and its neighboring Schengen countries has reduced the number
of immigration officials screening potential victims and
offenders as they cross these borders.


C. The GOH established a formal mechanism to facilitate
communication between the key TIP stakeholders upon adopting
the National Strategy on April 10, 2008. In practice
however, this mechanism was never used. NGOs reported having
only minimal contact with the GOH during the reporting year
and expressed their disappointment in the ineffectiveness of
the new system. The most prominent NGO dealing with
trafficking issues reported having "no relationship with the
National Strategy." The same NGO expressed frustration that
the GOH may have created the National Strategy, but had no
intention of implementing it in practice. This was a
sentiment shared by officials from IOM. According to an IOM
representative, a plan proposed by the GOH to establish an
internet group for stakeholders to share information was also
never established as promised. The National Strategy
stipulates that the National Coordinator "shall keep contact
with the national and international stakeholders involved."
Unfortunately, representatives from every NGO consulted for
this report said they never had any contact with the National
Coordinator, nor had ever been informed as to who he was.

The multi-agency working group, which also incorporated NGOs
and IOs, only formally met one time during the reporting
year, and only in response to Post's request for a meeting.
The US-Hungary bilateral working group, which previously
existed to provide information to for the TIP Report, was
dissolved with the adoption of the National Strategy.


D. The National Strategy laid the foundation for the
creation of a National Action Plan and set a implementation
deadline of August 31, 2008. However, at the end of the
reporting year the Action Plan was still being developed
within the MOJ. MOJ officials reported that they expect to
adopt the Action Plan in the "near future." NGO and IO
representatives from the TIP community reported that they had
not been consulted or advised about the Action Plan process.


E. There were no reports that the GOH had taken any measures
during the reporting period to reduce the demand for

BUDAPEST 00000148 011.2 OF 011


commercial sex acts. However, in 2007 Parliament amended the
Hungarian Criminal Code to stipulate that any person who pays
for sexual intercourse with a person under the age of 18, is
guilty of a felony punishable by imprisonment up to three
years.


F. Law enforcement agencies have no knowledge of Hungarian
nationals participating in international sex tourism. The
Hungarian Criminal Code stipulates that Hungarian law shall
be applied to crimes committed in Hungary, as well as to any
conduct of Hungarian citizens abroad, which are deemed
criminal in accordance with Hungarian law. Hungarian
nationals can be prosecuted on the basis of this article if
they commit a criminal offense abroad.


G. An assessment regarding Hungary's efforts to ensure that
its troops deployed abroad for international peacekeeping
missions do not engage in or facilitate trafficking or
exploit trafficking victims was unavailable for this
reporting period.

==========
TIP HEROES
==========


A. Post nominates National Bureau of Investigation (NBI)
police major Jozsef Poltl and police captain Csaba
Kiripovszky for the 2009 TIP Heroes. Both have demonstrated
outstanding commitment and dedication to improving law
enforcement efforts against TIP. Major Poltl and Captain
Kiripovszky lead a team of 12 police officers in the National
Bureau of Investigation's Department of Trafficking in Human
Beings. They have distinguished themselves as national
experts on TIP and have established key partnerships with
other international law enforcement agencies. The TIP
Department specializes in investigating and dissolving
international organized trafficking operations and seizing
personal property from the criminals, as well as providing
protection to trafficking victims. Since the department's
inception in 2004, Major Poltl and Captain Kiripovszky have
successfully orchestrated the disruption of several organized
crime operations and have seized more than USD 9.7 million
from the traffickers. Both men have also provided extensive
information to supplement this report for the past several
years. Post wishes to congratulate Major Poltl and Captain
Kiripovszky for their extraordinary efforts and for the
important contributions they make every day to disrupt TIP
operations and improve the lives of trafficking victims
across Hungary.

Major Poltl and Captain Kiripovszky have been vetted through
the Consular Lookout and Support System (CLASS). No
derogatory information about either was returned.

==============
BEST PRACTICES
==============


A. The National Bureau of Investigation developed a new law
enforcement tool which tracks TIP and TIP-related crimes in a
centralized crime database. The database allows police
officers across Hungary to use the database to flag any crime
that they believe could have a TIP connection. Officials
from the NBI Department of Trafficking in Human Beings have
access to the flagged data and can examine it to determine
whether there is any connection to a TIP offense. The new
system is helping to create a clearer picture of the overall
TIP situation in Hungary. Since coming online in December
2008, the database has already been credited with identifying
12 verified TIP-related crimes.
Foley