Thursday, August 4, 2011

New IMF Chief Under Investigation

A French court on Thursday ordered an investigation into new IMF chief Christine Lagarde's role in a much-criticized $400 million arbitration deal in favor of a controversial tycoon, reports AP.

Lagarde was named IMF chief after Domonique Strauss-Kahn resigned amidst allegations of a sexual attack against a NYC hotel maid.

A commission at France's Court of Justice of the Republic decided Thursday that an investigation should be launched into Lagarde's role in the arbitration deal. It is a special court that convenes rarely and only to handle cases involving government ministers, says AP..

A senior prosecutor had requested an investigation in May, saying he suspected Lagarde overstepped her authority in allowing the arbitration to go forward.

No comments:

Post a Comment