Dominique Strauss-Kahn Resigns From I.M.F.

Dominique Strauss-Kahn resigned Wednesday as head of the International Monetary Fund after explosive allegations that he had sexually attacked a cleaning lady in a midtown Manhattan hotel room.

“It is with infinite sadness that I feel compelled today to present to the Executive Board my resignation from my post of Managing Director of the IMF,” he said in a statement issued Wednesday. “I think at this time first of my wife—whom I love more than anything—of my children, of my family, of my friends.”

His resignation comes just days after he was taken off an Air France plane at Kennedy International Airport and arrested in connection with the alleged attack.

Mr. Strauss-Kahn, a former French finance minister, had been expected to declare his candidacy for the French presidency soon. He was seen as the figure most likely to oust President Nicolas Sarkozy.

In issuing his resignation Wednesday, Mr. Strauss-Kahn said, “I want to say that I deny with the greatest possible firmness all of the allegations that have been made against me.”

News of the arrest produced an earthquake of shock, outrage, disbelief and embarrassment throughout France.

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http://www.nytimes.com/2011/05/19/business/19imf.html

François Fillon reappointed PM as Nicolas Sarkozy veers to the Right

François Fillon proved he was an unsackable force to be reckoned with in French politics on Sunday after President Nicolas Sarkozy reappointed him as prime minister in a long-awaited reshuffle.

The new line-up signalled a shift to the Right as left-wingers and centrists were ousted in favour of members of Mr Sarkozy's own right-wing UMP party 18 months ahead of his expected re-election campaign.

Mr Fillon's reappointment was a sweet victory for the man whose "British" self-effacement earned him the nickname in political circles of "Mr Nobody".

Once belittled as a mere "collaborator" by France's flashy "hyper-President", commentators suggested that power had been transferred to Mr Fillon, now the country's "hyper-prime minister".

Jean-Louis Borloo, the centre-right ecology minister who had been seen as the prime minister's likely replacement, announced that he had "decided not to be part of the next government". Clearly disgusted at failing to secure the top job, Mr Fillon's disgruntled rival may now seek to run for President in 2012.

While Mr Sarkozy is mired in record low popularity levels, Mr Fillon's quiet tenacity in pushing through reforms has earned him the respect of the nation. A poll published last week showed Mr Fillon was the only top Right-winger in a position to win a presidential run-off against Martine Aubry, the Socialist party leader, should it take place today. Mr Sarkozy would be beaten, the poll found.

"History will show that Mr Fillon's time at Matignon [the prime minister's residence] was a success. But the verdict on Nicolas Sarkozy's five-year term is still uncertain," one former cabinet member told Le Point magazine.

The slimmed-down cabinet included one new heavyweight: Alain Juppé, the former prime minister, in charge of defence.

As expected, Eric Woerth, the labour minister embroiled in the Bettencourt affair involving France's richest woman, was dropped.

Also ousted were two former stars of the President's once ethnically diverse government. Rama Yade, the only black government figure, had taken regular potshots at the President as human rights then sports minister; Fadela Amara, of North African descent, ran aground as urban affairs minister over a pledge to enact a "Marshall Plan" for France's high-immigrant suburbs.

Bernard Kouchner, the flamboyant former Socialist was ousted as foreign minister in favour of the Gaullist Michèle-Alliot Marie, until now in charge of justice. Eric Besson, another former Socialist, moved to the industry ministry from that of immigration, which lost the controversial "national identity" part of its name.

Christine Lagarde retained her finance minister post, while Frédéric Mitterrand survived as culture minister despite a recent scandal in which he admitted to partaking in sexual tourism in Thailand.

Hervé Morin, the outgoing defence minister and leader of the centre-Right Nouveau Centre party, denounced the new cabinet line-up as a right-wing "campaign team" in which he had no place.

"France needs pluralism, and democracy needs balance. Since April 2010 the head of state has not agreed with this proposition, and so for my part I can't remain in government," said Mr Morin, who is considering running for President.

The reshuffle message from Mr Sarkozy was clear: he intends to keep up his reformist drive despite massive public opposition and there will be no "veer" towards more consensual "social" policies.

Political opponents said the reshuffle was proof the President had nothing new to offer the country just weeks after crippling strikes over his pension reforms. "It's indecent to suggest that things will change. The policies will still be those of Nicolas Sarkozy," said Jean-Marc Ayrault, leader of the Socialist parliamentary group.

"This is episode 125 of the soap opera. We're waiting for episode 126. There are so many episodes that we're losing track of what a government is supposed to be about," quipped Cécile Duflot, the Green Party leader.

http://www.telegraph.co.uk/news/worldnews/europe/france/8132987/Francois-Fillon-reappointed-PM-as-Nicolas-Sarkozy-veers-to-the-Right.html