/ 19 May 2011

Prosecution: Ex-IMF chief ‘has incentive to flee’

Prosecution: Ex Imf Chief 'has Incentive To Flee'

Dominique Strauss-Kahn has a “substantial incentive to flee” if bailed, a lawyer prosecuting the former IMF chief on sexual assault and attempt rape charges told a court on Thursday.

Strauss-Kahn “has the personal, political and financial means to flee. He is an international figure who truly has global influence”, prosecutor John McConell said, seeking to persuade the judge to deny bail.

The lawyer called the defence’s offer to post $1-million “unreasonable” and said the court had seen nothing about Strauss-Kahn’s assets.

“He has the stature and resources not to be a fugitive on the run. He has the assets to live a life of ease” in many parts of the world, the prosecutor argued.

The defence argues that Strauss-Kahn is innocent of all charges and did not flee the hotel but simply went to a lunch date with his daughter, who will testify to that effect.

They are offering to have him wear an ankle monitoring bracelet and post bail of $1-million in an attempt to free him from the notorious Rikers Island jail in New York pending trial.

An earlier bail offer was turned down by a different judge in a first hearing on Monday.

The IMF is hiring
On Thursday the IMF launched a search for a successor to Strauss-Kahn, just hours after the IMF chief resigned amid the sex case scandal.

“The dean of the IMF executive board is initiating contacts with his colleagues today about the selection process for the managing director,” IMF spokesperson William Murray said.

The dean of the 24-member executive board is Abdel Shakour Shaalan, an Egyptian who represents the Arab states on the 24-member governing board.

The board’s 24 members represent the 187 IMF member nations, either as individuals for the largest economies and IMF shareholders like the United States, or for regional groupings of smaller economies.

The 24 directors have votes weighted by the size of their country’s or region’s subscription to the Fund.

Acting IMF managing director John Lipsky earlier announced the board would begin the search on Thursday.

Vacuum
The leadership vacuum at the powerful institution, which makes loans to struggling economies, has prompted cries from the developing world for an end to the gentleman’s agreement between the US and Europe that a European always fills the post while an American always heads the World Bank.

Lobbying has already begun over the post, which has been occupied by a European since 1945. Many developing economies have called for a chief from elsewhere, with former Turkish finance minister Kemal Dervis the non-European favorite.

At a conference at the IMF’s Washington headquarters, the head of the US Treasury’s international affairs indicated the Obama administration was keeping its options open.

“We haven’t taken a position on any particular candidate,” Lael Brainard said.

Brainard was responding to a question of whether the US supports a certain candidate, and in particular the apparent European favorite for the job, French Finance Minister Christine Lagarde. — AFP