Hungary seeks to curb supreme court power over state finances

“Hungary’s ruling Fidesz party on Tuesday proposed stripping the Constitutional Court of jurisdiction over matters relating to state finances, such as a planned major change to the pension system. […]

In legislation submitted to parliament, Fidesz proposed that the country’s highest court should no longer rule on matters of the state budget, its execution, central taxes, fees, social security contributions, and tariffs.

Such a change would help the government head off a legal challenge from private pension funds, which earlier on Tuesday said they would ask the court to annul a new law that suspends transfers of members’ contributions to the funds they run.

Fidesz said that its planned legal change would prevent a review of the pension bill and that the top court no longer needed such powers 20 years after the fall of Communism.

“The Constitutional court has wide-ranging rights to review laws, which had been justified in the first period of the regime change,” Fidesz parliament group leader Janos Lazar wrote in the justification filed with the legislation.

“As the legal system has solidified, such a wide jurisdiction for the Constitutional Court has become unjustified.”

Fidesz can change any laws thanks to its two-thirds majority in parliament.”

http://www.reuters.com/article/idUSLDE69P1M520101026