Overview

• Poland’s funds ministry has frozen all further disbursements under the 1.2 billion złoty HoReCa scheme and mandated individual audits of roughly 2,400 grants, with initial findings due by late September.
• An interactive government map showed EU Covid recovery grants funded purchases ranging from yachts and tanning beds at a pizzeria to equipment registered at a swingers’ club address.
• Law and Justice (PiS) has seized on the disclosures as evidence of waste and cronyism, calling for parliamentary inspections and prosecutor referrals to trace every decision.
• Prime Minister Donald Tusk pledged zero tolerance for abuse of EU funds, prompting prosecutors to open preliminary inquiries and heightening demands for accountability.
• The scandal intensifies pressure on Tusk’s fragile coalition since the funds ministry is run by Polska 2050, compounding tensions after recent cabinet reshuffles and electoral setbacks.