HUNGARY: 2010 TRAFFICKING IN PERSONS REPORT

UNCLAS SECTION 01 OF 12 BUDAPEST 000098

SENSITIVE
SIPDIS

DEPARTMENT FOR: G/TIP MEGAN HALL, EUR/CE JAMIE MOORE, G FOR
LAURA PENA, EUR/PGI: JODY BUCKNEBERG, INL, DRL, PRM, IWI

E.O. 12958: N/A
TAGS: KTIP KCRM KFRD KWMN ELAB PGOV MCA PHUM PREF
SMIG, KMCA, EU, HU
SUBJECT: HUNGARY: 2010 TRAFFICKING IN PERSONS REPORT

REF: SECSTATE 2094

BUDAPEST 00000098 001.2 OF 012


The entire cable is sensitive but unclassified; please treat
accordingly.

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SUMMARY
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1. We believe the Government of Hungary (GOH) fully complies
with the minimum standards for the elimination of
trafficking. The GOH has improved its efforts to combat
trafficking and followed through on its proposals to address
the problem. Notably, the government improved its support for
victims, providing $88,500 to NGOs working against
trafficking in persons (TIP),up from zero financial support
in 2008. Convictions for traffickers increased in 2009, with
87 percent receiving a prison sentence.

A new pilot program established in cooperation between the
Office of Justice and National Police Board established three
victim support centers to proactively contact and support
victims of violent crimes. At the end of December, the GOH
signed a contract with an NGO to open a new shelter for
trafficking victims. The government referral system, designed
in cooperation with the GOH and NGO victims' assistance
centers, continued to work effectively during the year.

Hungary has established a solid anti-TIP framework through
its National Strategy but now needs to continue implementing
an action plan with the TIP stakeholders. Hungary needs to
further support important services for trafficking victims,
either directly or through NGOs, and increase training
efforts for law enforcement officials, in particular, outside
of Budapest.


2. Responses below are keyed to questions posed in para 25-35
of reftel:

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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 (MOJ) is the lead government agency on TIP issues
and is the primary point of contact on all related issues.
Other government agencies involved were the Ministry of
Foreign Affairs (MFA),the Ministry of Social Affairs and
Labor (MSAL),and the National Bureau of Investigation (NBI).
Several NGOs provided information related to victims
assistance, prevention efforts, and government cooperation.
These NGOs included the International Office of Migration
(IOM),the Hungarian Baptist Aid (HBA),the Hungarian
Interchurch Aid (HIA),the Foundation for the Women of
Hungary (MONA) and the European Roma Rights Center (ERRC).
Post considers the sources to be generally reliable. HBA has
requested to remain anonymous.

-- B. Hungary is primarily a country of origin and transit,
and secondarily a destination country for women trafficked
for sexual exploitation. There were no official estimates of
the actual number of victims trafficked from, to, or through
Hungary. Officials reported that 94 trafficking victims, all
Hungarian nationals, were identified during 2009 compared to
the 75 victims reported in 2008. Abroad, MFA consular
officers identified 28 Hungarian trafficking victims.
Officials could not clearly establish how many victims were
internally trafficked as traffickers rotated victims
internally and internationally.

Internal trafficking for sexual exploitation originates
primarily from eastern Hungary and terminates either in
Budapest or along the Austrian border. The impact of
Hungary's acceptance into the U.S. visa waiver Program on
November 17,2008 is being closely monitored by government
officials. MFA reported that three trafficking victims
requested assistance from Hungarian consulates in the U.S.

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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. In
December 2009, the EU lifted the visa requirements for
citizens from Serbia, Montenegro and Macedonia. Authorities
report no increase in trafficking activities resulting from
this change. Victims were trafficked internationally from
Hungary to the Netherlands, the United Kingdom, Denmark,
Germany, Austria, Italy, Switzerland, Spain, Ireland, the
United States (U.S.). The Netherlands and Switzerland are
increasingly becoming the destination country of choice for
Hungarian traffickers. In a September news report, Dutch
police claimed that 20-25 percent of the women in Amsterdam's
red light district were Hungarian, mainly from the
northeastern city of Nyiregyhaza. Correspondingly, NGOs
reported that the trafficking unit in the Zurich police
department employed a full-time Hungarian-speaking staff
member to respond to the sharp increase in Hungarian
trafficking victims following Switzerland's entry into the
Schengen zone in early 2009. These women and girl
prostitutes, mainly of Roma ethnicity, were chiefly from
Eastern Hungary, notably from the towns of Berettyoujfalu and
Puspokladany. The principal countries of origin for victims
of trafficking through Hungary were Slovakia, Romania,
Ukraine, Moldova, Poland, countries of the former Yugoslavia,
and China. Victims trafficked to Hungary included ethnic
Hungarians from western Romania for purposes of sexual
exploitation including male minors.


-- C. The only trafficking cases within and from Hungary
which came to the attention of the authorities were cases of
trafficking for sexual exploitation. TIP victims in Hungary
are forced to solicit clients on rural roads, city streets,
in brothels (disguised as lap-dance bars or massage parlors),
and in some cases, apartments or private homes. Traffickers
use threats, force and emotional attachment to ensure
compliance. Victims are usually housed in apartments owned by
traffickers or outbuildings on their property. In most cases,
virtually all victims' earnings (as well as, in cases of
trafficking to or from Hungary, 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 many are also deceived about
such false opportunities by personal acquaintances, family
friends or family members. 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. Victims trafficked within and outside Hungary are
trafficked for sexual exploitation. The majority of
internally trafficked victims originated in the poorer
regions of the eastern part of the country. The high-risk
groups included young, rural women mainly of Roma origin and
adult female orphans. A large percentage of the victims,
especially the underage female victims, originate from
orphanages, state care homes and juvenile correctional
facilities, either when they leave or are released at age 18,
but a number are also trafficked while they are still in
these state institutions and homes, according to NGOs. The
young women, and sometimes boys, are especially vulnerable to
exploitation in prostitution and human trafficking. MONA
reported the ongoing and prevalent phenomenon of underage
girls in a Budapest correctional facility/state care home,
were recruited and prostituted by male pimps during the hours
that they were allowed to leave the facility. In turn, the
young victims (most between 14 and 16-years-old) recruited
and prostituted other girls in the home. When orphans leave
these institutions at age 18 (only some are permitted to stay
longer in state homes or apartments, under certain conditions
until age 24),the state gives the orphan a one-time average
stipend of HUF 500,000 (approximately $2,700). This amount is
usually less than what is needed for an apartment lease and

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living expenses, but more than what they have seen until
then. NGOs claimed that this stipend is a danger factor, as
pimps and traffickers aware of the stipend, seek to take it
from the newly-released young adults.

There is also a mentorship program available to those over
the age of 18, but in practice it is not used very often, and
is not viewed by NGOs as very effective. The orphans usually
have a lower education level compared to other young adults;
have very few employment or higher education options; and
often have a very weak or perhaps nonexistent family or
support network. 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. According to government officials and NGOs the majority
of traffickers were individuals or small, family-based
groups. There is evidence that women are sold into
prostitution by their families. This typically happens in
very low-income families. The principal recruitment methods
used by traffickers included employment ads promising well
paying work for waQresses or dancers published in free
weekly publications, on the internet, or spread by word of
mouth, for instance, at discos. Post has no evidence that
bona fide employment, travel agencies, or marriage brokers
are fronting for traffickers. However, in two cases where the
victims were exploited for their labor in the U.S.,
authorities assume that Hungarian employment agencies were
involved. Some victims know they are being recruited to
perform illegal work, but do not expect to have to perform
sexual services.

Other methods included 'boyfriends' that groomed young girls
and women, creating an emotional attachment and buying them
gifts, and in the worse cases, raping and threatening them
before prostituting them. Authorities in Switzerland and
Italy claim that a high percentage of Hungarian trafficking
suspects have Roma ethnicity. While government officials
comment that it is not uncommon for trafficking victims to
use fraudulent documentation, especially with victims under
18-years-old, a significant number travel with bona fide
documents, making it difficult to identify victims as they
are unaware of their intended victimization. Traffickers
transported victims in cars, trains, planes and buses.
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.

--------------
THE GOVERNMENT'S ANTI-TIP EFFORTS
--------------

-- AQhe 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 had the lead on all trafficking issues and
coordinated the government activities through a State
Secretary-level national coordinator. Other government
agencies involved included the Ministry of Foreign Affairs
and the Ministry of Social Affairs and LaboQThe National
Strategy details the Qfficking situation in HunQry 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 inter-ministerial working group invites
NGO participation to its quarterly meetings. According to
NGOs, the National Coordinator rarely, if ever, attended the
working group meetings. The government claimed that the
implementation of the Action Plan is ongoing, though NGOs
stated that they are still unaware of the Action Plan.


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-- C. The government reported budgetary limitations in
combating TIP. Government ministries fund TIP programs "out
of hide" as there was no specific allocation for TIP. During
the year, the government spent 245.7 million Hungarian
Forints (HUF) (approximately $1.3 million) on
anti-trafficking efforts including HUF 229 million
(approximately $1.2 million) on prosecution and enforcement
resources to include a special TIP investigation unit, a
hotline, and crisis centers. In 2009, the government provided
HUF 16.7 million (approximately $88,359) to TIP NGOs, HUF 4.5
million (approximately $23,800) for research, HUF 3.2 illion
(approximately $17,200) for training, HUF 3 million
(approximately $15,800) for prevention, HUF 6 million
(approximately $31,700) for shelter support. In 2008, the GOH
did not support any TIP NGO. Representatives from the
National Bureau of Investigation (NBI) 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 considered legislation to include pandering as 'a TIP
crime for many years without success. NBI cited that the
absence of any special TIP judges or prosecutors, as well as
untrained country police officers, as limiting factors.

-- D. The National Strategy established a mechanism for the
GOH to systematically monitor its anti-trafficking efforts,
but there was minimal operational evidence. The national
coordination mechanism requires regular communication and
meetings with key TIP stakeholders, which occurred 12 times
during the year. The GOH replied to external queries from
international organizations and took part in elaborating the
international and ED documents on trafficking. However, the
government did not release regular internal reports on
trafficking. The individual agencies involved in anti-TIP
efforts operated independently of each other, relying on
informal communication channels to share information.

-- E. Hungary has a reliable birth registration and
citizenship process. The citizenship law is based on the
principles of jus sanguinis, meaning that a person acquires
citizenship by birth from a parent who is a citizen. Hungary
also offers a naturalization path to citizenship. Upon
meeting specific criteria, immigrants to Hungary are entitled
to a residency permit. It is unknown what percentage of the
small immigrant community is undocumented, specifically from
the Chinese and Vietnamese population.

-- F. All investigative and prosecuting agencies were
integrated into the law enforcement database (ENYUBS),which
increased data collection. Implemented in late 2008, the
database tracks TIP and TIP-related crimes in a centralized
crime database. The database allows police officers across
Hungary to use it 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.


--------------
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 five 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 the human body; in criminal conspiracy; or in

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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 involves making illegal
pornographic material. During this reporting period, the GOH
amended article 175/B paragraph 5 of the penal code, which
increased the penalty involving victims under 12 years of
age, from a minimum of five to fifteen years, to five to
twenty years up to life imprisonment. 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 transborder trafficking cases.

The GOH acknowledges that the Hungarian Supreme Court has set
strict evidentiary requirements for proving the crime of TIP,
which makes successful prosecutions under paragraph 175/8
difficult. Prosecutors must prove that a person was bought
and sold. 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 (ENYUBS). 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.

-- 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. This
reporting period, the GOH amended article 175/8 paragraph 5
of the penal code which increased the penalty involving
victims under 12 years of age, from a minimum of five to
fifteen, to five to twenty years up to life imprisonment.

-- C. The basic penalty for labor trafficking offenses is
imprisonment between one to five years if the criminal act
subjects 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 to keep 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 the 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 twenty years if the victim is under 12,
and if the victim is under the care of the perpetrator or if

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more than one person has sexual intercourse with the victim
on the same occasion, knowing about each other's acts.

-- E. The GOH initiated 27 investigations and brought charges
against 16 persons suspected of TIP crimes in nine cases
during the year. In one case, authorities seized nearly HUF
200 million (approximately $1 million) in cash, cars and
other property from two suspects. According to Ministry of
Justice and Law Enforcement data, 23 perpetrators were
convicted for 31 TIP sexual exploitation crimes. Of the 23
convictions for sexual exploitation, 20 convictions resulted
in sentences ranging from eight months to nine years in
prison. Twelve of these convictions resulted in prison
sentences of less than three years. Three convictions carried
a three to four year sentence, while the remaining five were
sentenced to more than five years. Of the 23 total
convictions, three resulted in suspended sentences. Of these,
four sentences included additional fines. Fines in three of
the cases were between HUF 300,000 - HUF 500,000
(approximately $1,600 - $2,600). In the other case, the fines
were HUF 4 million (approximately $21,164). There was no
additional information available to explain the disparity
between the fines in these four cases. In one case HUF
351,400 (approximately $1,900) was confiscated.

Compared to 2008, penalties for convicted traffickers were
more severe in 2009. In 2008, the 16 reported convictions
resulted in only nine prison sentences with seven cases
ending in a suspended sentence. Only 56 percent of convicted
traffickers received a prison sentence in 2008. By contrast,
in 2009, 20 of the 23 convicted traffickers, or 87 percent,
received a prison sentence, while only three received
suspended sentences. Disturbingly, a breakdown of the
conviction data by county revealed that all nine convictions
originating in Szabolcs-Szatmar-Bereg County were sentenced
to less than three years, with one suspended sentence. 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 conducted regular training for consular
officers destined for overseas assignments. In cooperation
with IOM, the GOH elaborated training materials that police
personnel deliver to their communities. The material
describes the main methods of recruitment tactics and the
most common ways of exploitation, including the risks of
working or staying abroad. The GOH reported that county
police forces delivered regular training for professionals,
youth child protection facilities, and churches. However, the
NBI reported that it did not receive any additional funds
from the GOH to support TIP training for police officers,
including victim sensitivity training.

The government provided the HBA and IOM with HUF 3 million
(approximately $15,800) for six trafficking-prevention
training sessions for the staff of an unaccompanied minor
shelter. MONA, the Women's Rights Association, and the
Association of Street Social Helpers (NANE),held three
two-day training sessions for police officers and
law-enforcement officials. The training provided 55 law
enforcement officials with tools to better combat trafficking
and assist victims, raise awareness about the connection
between trafficking in persons, sexual exploitation and
prostitution, and to increase participants' sensitivity
towards victims of trafficking and persons in prostitution.

--G. The government cooperates with other nations, mainly the
Netherlands, on a regular basis as most TIP cases have an
international component. Most of the cooperation is done with
information exchanges, however there were three cases
involving operative cooperation. These cases included Germany
and Austria.

-- H. The GOH is willing to extradite foreign nationals
charged with trafficking, unless the suspect may be subject
to the death penalty. Hungary generally does not approve the
extradition of its own nationals. The U.S. - Hungary

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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. During the reporting period,
authorities extradited eight persons from Hungary on
trafficking charges, while two persons were extradited from
abroad to Hungary.

-- 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 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. According to the information of the
Office of the Military Prosecutor there were no criminal
procedures launched in TIP cases committed by Hungarian
peacekeeping troops during the reporting period.

-- L. The GOH and multiple NGOs confirmed that there is no
evidence that Hungary is a destination for child sex tourism.
However, NGOs and the media reported that Hungary, Budapest
in particular, became a destination for sex tourism, mainly
stag parties. Low cost airlines, inexpensive alcohol and
prostitution services appealed to Western European male
tourists. In flight magazines on routes to Budapest feature
strip clubs and 'massage parlors'.

--------------
PROTECTION AND ASSISTANCE TO VICTIMS
--------------

-- A. In 2001, Parliament adopted the Witness Protection Act,
which stipulates protection of victims/witnesses of
trafficking. The program is available for foreign nationals
as well. Endangered witnesses can be moved to a protected
residence within Hungary or to another country and their
identity can be altered. The state socially and financially
supports protected persons. No trafficking victims
participated in the Witness Protection Program in 2009.
Additionally, 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 foreign 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.
Reportedly, no trafficking victims applied for temporary
residence permits.

Several NGOs expressed concern that the government's legal
interpretation of "victim" is often times too narrow to
include victims of trafficking, thus making it difficult for
these organizations to secure government funding. NGOs also
complained that the 30 day reflection period is not long
enough for victims to work through the trauma and decide to
testify. Hungarian victims are not granted a reflection
period, but must decide right away if they will cooperate. No
trafficking case is tried without the victim's testimony.

-- B. There were approximately 60 regional and local victim
protection offices and 11 regional crisis centers where
trafficking victims could receive short-term psychological,
social, and legal assistance. The MSAL supports an assistance
hotline (the National Crisis Management and Information

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Telephone Services - OKIT). Among other target groups, this
hotline also provides assistance to victims of trafficking in
the form of emotional support and referral to the shelter(s)
for victims of trafficking. Child TIP victims are placed in
state care juvenile facilities, when circumstances do not
allow them to return to their families. There are currently
two TIP adult victim care facilities operating in Hungary.
One shelter has been owned and operated by an NGO, HBA, since

2005. The government supported HBA's shelter operations in
2007, providing HUF 13 million (approximately $74,901 at that
time). During the reporting period, the NGO operated the
shelter exclusively with private donations. In 2009, the HBA
shelter provided assistance to 45 trafficking victims during
the reporting period, of which nine were referred by the
crisis hotline and two were referred by NBI, but the majority
from the crisis hotline. The six bed 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, though some stay
longer. The HBA also 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 shelter in the country of origin, or assistance
with gaining legal residence in Hungary.

The second shelter is government funded. On December 30, the
government signed an initial and renewable six-month contract
valued at HUF 6 million (approximately $31,700) with the NGO,
HIA, to support a shelter exclusively for trafficking
victims. The six-person capacity shelter provides legal,
medical, psychological and social services to victims. Due to
limited funding, the new shelter will only accept Hungarian
victims returning to Hungary from abroad, or Hungarian
victims trafficked internally within Hungary.

Some NGOs expressed concern that neither the shelters, nor
the government, share information as to what services the
shelters provide, what kind of training their staff receives,
general data on victims such as the number of victims
assisted, from where or to they were trafficked. Some TIP
NGOs that refer victims to the shelters have almost no
information about what will happen to the victims once they
arrive. Some argue that data on victims and their traffickers
would help devise better policies and programs to combat
trafficking and protect victims.

Some NGOs criticized the government for the lack of
transparency in contracting for shelter services in 2009, as
it did not release any public tender for support to run a
shelter.

-- C. All government funding comes from the federal budget
but may be administered at the county level. The GOH,
directly and indirectly, provides trafficking victims with
access to legal, medical, or psychological services. In
October 2009, the 2005 Crime Victim Support and State
Compensation Act was amended easing the application process
and requirements. Under this act, Crime victims can receive
compensation (lump sum or allotments) and psychological
services. In 2009, no TIP victims applied for this benefit.
MSAL operated a crisis hotline, which was successful in
directing trafficking victims to the appropriate service
providers. The hotline, funded entirely by the MSAL, employed
a staff of 12 operators and one director position. Several
other NGOs reported that the crisis hotline operated
successfully and effectively during the year.

Although the government offers temporary residency,
short-term relief from deportation, and shelter to
trafficking victims who cooperated with police and
prosecutors, authorities claim that no one applied or
received such support. During the year, the government
allocated a total of 245.7 million forints (approximately
$1.3 million) to anti-trafficking efforts including: HUF 70
million (approximately $370,370) to trafficking victim
assistance programs, HUF 4.5 million (approximately $23,800)

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for research, HUF 3.2 million (approximately $17,200) for
training, HUF 3 million (approximately $15,800) for
prevention, HUF 6 million (approximately $31,700) for shelter
support, and HUF 157 million (approximately $829,630) on
prosecution and enforcement resources to include the special
trafficking in persons investigation unit.

The Office of Justice Victim Support Service ran a pilot
program from September to December with the National Police
Board and three county victim support service centers. The
aim of this pilot project was to proactively contact and
support more victims of violent and deliberate crimes. When
the police take a victim's statement, they request written
permission to share the victim's personal data with the
victim support service, which then immediately contacts the
victim. If the pilot program proves effective, the government
plans to broaden the program to the whole country.

-- 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. No foreign victims were identified in 2009.

-- E. The GOH did not directly provide longer-term housing
benefits to victims, or other resources to assist victims to
rebuild their lives. 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, 94 trafficking
victims were identified during the reporting period. Of
these, two were referred by NBI, and nine by the GOH-operated
crisis hotline, to the victims' assistance NGO for follow-up.
Law enforcement officials referred two victims to care
facilities. The GOH provided assistance to any trafficking
victims through government-funded assistance programs during
the year (see para C above).

-- H. NGOs 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
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.
Twenty-seven victims assisted in the GOH's investigations,
resulting in charges against 16 persons suspected of TIP
crimes during the year. 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

BUDAPEST 00000098 010.2 OF 012


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 I0M, 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 2009,
consular officers identified 28 Hungarian trafficking
victims: six in Germany; six in Italy; six in Austria; three
in the United States; two in the United Kingdom; two in
Spain; one in Greece; one in South Africa; and, one in
Switzerland. In the two U.S. cases the victims were employed
as housekeepers and au-pairs/babysitters. In all cases, the
MFA worked 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 facilities 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 2009, IOM and the GOH
carried out a prevention campaign and training workers at an
unaccompanied minor shelter. IOM also refers Hungarian
victims identified by their offices outside of Hungary to the
victims' care facility in Budapest.

The HBA has done considerable street-level work, operates a
victims' shelter, 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.

Women United Against Violence (NANE) is a small, but active,
NGO. Although NANE's primary focus is on violence against
women, it provides counseling to trafficking and domestic
violence victims and promotes public awareness of these
issues.

The Foundation for the Women of Hungary (MONA) primarily
focuses on women's empowerment, it lead a project to
establish inter-professional support services in Hungary to
promote the fight against trafficking in women, prostitution,
and violence against women. The project aims to establish
cooperation between the governmental authorities for a more
appropriate legal policy by organizing training for
policemen, and forums for the target groups to foster
professional cooperation.

The European Roma Rights Center (ERRC) is an international
public interest law organization engaging in a range of
activities aimed at combating anti-Romani racism and human
rights abuse of Roma. Currently they are researching regional
trafficking trends among the Roma.

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

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 MOJ and the Hungarian National Police, in
cooperation with IOM and the Hungarian Oil Company Ltd. (MOL)

BUDAPEST 00000098 011.2 OF 012


launched a demand-side campaign from March to June 2009. The
three month campaign employed press conferences, radio
interviews, an article in "Cop" magazine, and posters placed
in 100 gas station restrooms to reach the target audience of
25-45 year old males. The posters which showed a bed with
money on it and handcuffs, stated "You can get out of it, but
can she?" was intended to get the audience to consider how
hiring a prostitute could support the trafficking industry.
The slogan stressed the lack of choice that TIP victims have.
Other 'giveaways' like badge holders and coasters with the
slogan and the MOJ website address on them were distributed
to members of the target group. Additionally, IOM developed
anti-demand related information that was posted on the MOJ
website. MOJ stated that nearly 10,000 target group members
received the campaign materials and the on-line information
material was downloaded 4,000 times. MOJ financed the
campaign with HUF 3 million (approximately $15,800). Some
NGOs complained that the campaign was not visible enough and
that the message was not clearly about TIP victims.
Additionally, the government funded IOM to provide a
six-session trafficking prevention training course to shelter
staff at the unaccompanied minor shelter.

-- 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 is minimally used. Though the working group
meets quarterly and invites NGO participation, NGOs reported
expressed their disappointment in the lack of available data
from the government. Additionally, the GOH did not establish
an internet group for stakeholders to share information as
planned.

The multi-agency working group, which also incorporated NGOs
and IOs, met quarterly 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, setting an implementation
deadline of August 31, 2008. However, at the end of the
reporting year, MOJ stated that the Action Plan was still
being developed, with no clear indication of implementation.

-- E: Aside from the gas station poster campaign, there were
no reports that the GOH had taken any measures during the
reporting period to reduce the demand for 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

BUDAPEST 00000098 012.2 OF 012


trafficking or exploit trafficking victims was unavailable
for this reporting period. According to the information of
the Office of the Military Prosecutor there was no criminal
procedures launched in TIP cases committed by Hungarian
peacekeeping troops.

--------------
PARTNERSHIPS
--------------

-- A. Both the NBI and the Hungarian Consular Service
established good cooperation with their partner authorities
in Austria, the Netherlands, Switzerland, and Italy. As
mentioned previously, the government relies heavily on the
expertise and services provided by IOM and the two
faith-based organizations managing trafficking victim
shelters.

-- B. The government currently exchanges information in
investigations and in consular cases with other countries,
principally with Austria, Italy, The Netherlands,
Switzerland, Portugal, Czech Republic, Romania, Spain,
Germany, Slovenia France, Belgium and the United Kingdom.
Though the government participates in the EU-funded
transnational project on the fight against trafficking in
human beings, they do not provide financial assistance.

--------------
CHILD SOLDIERS
--------------

There were no reports of child soldiers in Hungary.


--------------
TIP HERO
--------------


3. Post nominates Deputy Head of Department for Gender
Equality of the Ministry of Social Affairs and Labor Mrs.
Iren Duani Adam as the 2010 TIP Hero. Mrs. Adam has
demonstrated outstanding commitment and dedication to
improving victim's assistance services provided by the
government of Hungary. She has been an active member of the
TIP working group since 2005 and has proposed and carried out
several key TIP initiatives. Due to her initiative MSAL
signed an agreement to open the first TIP shelter in Hungary
in 2005. That same year, she orchestrated the operations for
the crisis hotline, which refers TIP victims to assistance
centers. For the past several years, Mrs. Adam has organized
several training opportunities for professionals assisting
TIP victims. She continues to work closely with NGOs to
improve TIP victim assistance. In 2009 she campaigned for and
was granted funding to establish a second TIP victim shelter,
managed by the NGO, Hungarian Interchurch Aid. In addition to
her achievements, Mrs. Adam continues to provided extensive
information every year to supplement the annual TIP report.

Iren Duani Adam has been vetted through the Consular Lookout
and Support System (CLASS). No derogatory information about
her was returned.

--------------
POST POINT OF CONTACT
--------------


4. Post's POC for trafficking is Christina Hernandez, phone:
36 475-4598, fax: 36 475-4027. The number of hours spent in
preparation of the TIP report cable includes the following:
FS-03 Christina Hernandez- drafter 80 hours, FS-03 Jon
Martinson- reviewer 1 hour, FS-01 Paul O'Friel- reviewer 2
hours, DCM Jeffrey Levine- reviewer 2 hours, AMB Eleni
Kounalakis- reviewer 1 hour.
KOUNALAKIS