The Hungarian capital will be terminating by mutual agreement the consultancy contract with New York-based David Koranyi. The leftist mayor of Budapest denies that his movement received foreign funding in the latest campaign, the Hungarian daily Magyar Nemzet reports.

It is now clear that the movement of Peter Marki-Zay, the failed prime ministerial candidate of the Hungarian Left, received almost two billion forints (approx 4.8 million euros) during the election campaign from Action for Democracy, a US-based organisation linked to George Soros. The National Bureau of Investigation has launched an investigation into the case on suspicion of embezzlement and money laundering, Magyar Nemzet reports, noting that another organisation also surfaced in the Hungarian leftist primaries, the 99 Movement, which is linked to Budapest mayor Gergely Karacsony. The association spent over one hundred million of forints (over 240 thousand euros) on facebook ads promoting the mayor, according to the 24.hu portal.

What is more, the organisation received donations in the value of 260 million forints (630 thousand euros) from unknown sources. Action for Democracy for a time listed the 99 Movement on their website among those they supported, but later issued a statement in writing indicating that there was a mistake and that they never supported the movement.

Responding to a journalist’s question, the Budapest mayor said that they are parting ways with Koranyi, one of the central figures in the case. Koranyi, a resident of New York, is the Hungarian leader of Action for Democracy, who also used to be the advisor of former left-wing Prime Minister Gordon Bajnai, and is now Mayor Karacsony’s advisor at City Hall. Former prime ministerial candidate Peter Marki-Zay’s movement also received foreign monies through Koranyi. Gergely Karacsony, however, continues to insist that no foreign funds have been received by his movement, Magyar Nemzet reports.