How Hungary’s richest man funneled millions into Orbán’s propaganda machine

Hungarian political advertising agency Megafon Digital Incubator Center, which rose to prominence in 2020 for running social media campaigns supporting the ruling Fidesz party and its leader Viktor Orbán, received approximately $12 million in donations from V-Híd Zrt., a company owned by Lőrinc Mészáros, Orbán's childhood friend. Internal documents obtained by Direkt36, a Hungarian investigative journalism outlet, reveal that these payments accounted for roughly a third of Megafon’s total revenue from 2022 to 2024. By 2024, the funding contributed by V-Híd exceeded half of Megafon’s overall income. The payments from V-Híd were described in the documents as "donations." Communications between the two entities suggest a close working relationship. In February 2023, Megafon’s founder, István Kovács, expressed gratitude to V-Híd for its financial support and indicated openness to further contributions. Less than a week later, V-Híd issued an internal directive to transfer 500 million forints, approximately $1.4 million, to Megafon. This payment was made the same day, according to a transfer receipt included in the documents. Additional transfers totaling about $1 million followed in July 2023. These funds supported Megafon’s efforts to produce and distribute pro-Fidesz content on social media platforms. Among the materials created were videos released ahead of the 2024 municipal elections, which accused the opposition of attempting to draw Hungary into conflict by backing Ukraine in its ongoing war with Russia. Despite losing the national election in April, Fidesz remained active politically, with Megafon continuing to organize events featuring Orbán and maintaining a presence on social media. Following the election results, newly elected Prime Minister Péter Magyar announced plans to halt the allocation of state advertising to pro-Fidesz media outlets, including nearly 500 publications controlled by the Central European Press and Media Foundation (KESMA). This move could significantly impact the operations of organizations like Megafon, which had relied heavily on such funding. Lőrinc Mészáros, who amassed considerable wealth during Orbán’s tenure in office, has built a vast business empire encompassing sectors such as construction, banking, and energy. According to Transparency International, Mészáros’s companies secured seven percent of all public procurement contracts between 2018 and 2020, valued at approximately $2 billion. His businesses have also engaged in extensive international travel, including trips to Europe, the Middle East, and Asia, with expenses exceeding $3.5 million in recent years. József Péter Martin, executive director of Transparency International’s Hungarian chapter, described the relationship between Mészáros and Megafon as indicative of a broader pattern. “Mészáros’s company wins the public procurement contract and gets rich as a result. He uses that money to fund a private company that works to keep Fidesz in power by spreading propaganda,” Martin stated. Despite the revelations, neither V-Híd nor Megafon responded to requests for comment. Mészáros also declined to provide a statement. The documents obtained by Direkt36 include detailed records of transactions and communications between the two entities, shedding light on the financial mechanisms that sustained Megafon’s operations. The findings are part of the Mészáros Files investigation, a collaborative effort involving ICIJ and other media partners. The investigation highlights the intricate connections between powerful business figures and political actors in Hungary, revealing how financial resources can be leveraged to shape public discourse and influence electoral outcomes.