Hungary

Hungary is a landlocked country in Central Europe that was a Soviet-bloc satellite state from 1945 to 1989, officially known as the Hungarian People's Republic. Its most significant moment in Cold War history was the Hungarian Revolution of 1956, in which a nationwide anti-communist uprising was crushed by Soviet military intervention, resulting in approximately 2,500 deaths and 200,000 refugees fleeing to the West. Hungary's transition from communism in 1989 - including its decision to open its border with Austria and allow East German refugees to cross to the West - was one of the key events that unraveled the Soviet bloc.¹

Cold War Period

Hungary fell within the Soviet sphere of influence at the end of World War II and underwent the standard Soviet consolidation: communist party takeover by 1948, show trials and purges in the late 1940s and early 1950s, collectivization of agriculture, and installation of a Stalinist government.

The 1956 revolution, which began October 23 in Budapest and spread nationally, was the most significant popular uprising against Soviet control in the post-war Eastern European satellite states. Imre Nagy's government briefly announced Hungary's withdrawal from the Warsaw Pact before Soviet tanks crushed the uprising on November 4. Janos Kadar was installed as leader under Soviet sponsorship.

Under Kadar, Hungary developed a form of "goulash communism" - relatively liberal economic policies and looser ideological enforcement compared to other Soviet bloc states - that made it somewhat more prosperous and politically relaxed than neighboring countries. Hungary became a popular destination for limited East-West tourism and was seen as the "happiest barracks" in the Soviet bloc.¹

1989 Transition

Hungary's communist government, weakened by economic difficulties and Kadar's removal in 1988, began negotiating with the opposition in 1989. On May 2, 1989, Hungary began dismantling its border fence with Austria - the first breach of the Iron Curtain. When Hungary officially opened its border with Austria on September 11, 1989, approximately 13,000 East German tourists who had gathered in Hungary were able to cross to the West. This exodus contributed directly to the pressure that produced the opening of the Berlin Wall on November 9, 1989.

Hungary became a NATO member in 1999 and a European Union member in 2004. Under Prime Minister Viktor Orban, in power since 2010, Hungary developed an authoritarian-nationalist government that has repeatedly clashed with European Union institutions over democratic standards.²

Embassy registrations in Washington, 1993 to 2002

The Hungarian embassy in Washington registered two law firms as its agents under the Foreign Agents Registration Act. Paul, Hastings, Janofsky & Walker (registration 4772) filed on March 1, 1993 for the Embassy of the Republic of Hungary, with Ambassador Pál Tar as the official dealing with the registrant, under a retainer agreement for December 1992 through December 1993 at $8,334 a month; its services were assistance with administrative and legislative strategies, with securing economic aid from the United States, and with raising Hungary's visibility in United States funding and foreign policy deliberations. The firm's statement for April to September 1994 reports a payment of $49,999.98 from the embassy on May 27, 1994 and lists its work on Budapest Expo '96, including fifteen contacts with the office of Representative Tom Lantos. A registrant's amendment gives August 5, 1994 as the date the embassy ceased to be a principal.³ Collier Shannon Scott, PLLC (registration 3694) filed on September 25, 2000 for the Embassy of Hungary, with Ambassador Géza Jeszenszky as the contact, under a one-year engagement at $10,000 a month for foreign operations legislation; its statement for June to December 2000 lists contacts on foreign military sales assistance to Hungary with congressional staff and the National Security Council, and on elections in Yugoslavia and minority rights with the Helsinki Commission staff and the State Department. The firm terminated the registration in May 2002.⁴ Frank Koszorus Jr. signed the Exhibit B of each registration and is the individual named in the short forms.³⁴