IMF Head Christine Lagarde convicted

Q.  International Monetary Fund head Christine Lagarde was on 19th Dec convicted over a massive payout to which tycoon?
- Published on 20 Dec 16

a. Bernard Tapie
b. Lucien Arbel
c. Etienne Mimard
d. Andre Michelin

ANSWER: Bernard Tapie
 
IMF Head Christine Lagarde convictedInternational Monetary Fund head Christine Lagarde was on 19th Dec 2016 convicted for negligence over a massive state payout to a tycoon when she was French finance minister.

Though convicted, she was not given a sentence.

The 2007 decision by Lagarde to permit a dispute over flamboyant businessman Bernard Tapie's sale of the Adidas sports brand to Credit Lyonnais bank to be resolved by private arbitration panel was under scrutiny.

The 60-year-old former corporate lawyer is also accused of failing to challenge the 404-million-euro (USD 422 million) award that emerged from the arbitration.

The payout raised concerns given Tapie's overt support for Lagarde's then boss, ex-president Nicolas Sarkozy, and it was subsequently cancelled by the courts.

Tapie had sold Adidas to Credit Lyonnais for the equivalent of 315.5 million euros in 1993.

The bank sold it on the following year for 701 million euros, prompting claims from Tapie that he had been cheated.

Another ex IMF head, Rodrigo Rato of Spain, is currently standing trial on charges of misusing funds when he was head of Spanish lender Bankia.

International Monetary Fund
  • Abbreviation: IMF
  • Formation: 27 December 1945
  • Type: International financial institution
  • Headquarters: Washington, D.C., United States'
  • Membership: 189 countries
  • Official language: English
  • Managing Director: Christine Lagarde
  • Main organ: Board of governors
  • Parent organisation: United Nations
  • Website: www.imf.org

Post your comment / Share knowledge


Enter the code shown above:
 
(Note: If you cannot read the numbers in the above image, reload the page to generate a new one.)