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| IMF chief Christine Lagarde in negligence trial in France | IMF chief Christine Lagarde in negligence trial in France |
| (about 3 hours later) | |
| IMF chief Christine Lagarde has gone on trial in France for negligence over a compensation payment made by a state-owned bank to a businessman in 2008. | IMF chief Christine Lagarde has gone on trial in France for negligence over a compensation payment made by a state-owned bank to a businessman in 2008. |
| As finance minister of then-President Nicolas Sarkozy, she approved an award of €404m ($429m; £340m) to Bernard Tapie for the disputed sale of a firm. | As finance minister of then-President Nicolas Sarkozy, she approved an award of €404m ($429m; £340m) to Bernard Tapie for the disputed sale of a firm. |
| Mr Tapie had supported Mr Sarkozy in the 2007 presidential election. | Mr Tapie had supported Mr Sarkozy in the 2007 presidential election. |
| She is accused of allowing the misuse of public funds, rather than corruption. She denies wrongdoing. | She is accused of allowing the misuse of public funds, rather than corruption. She denies wrongdoing. |
| Lagarde faces French justice | Lagarde faces French justice |
| Christine Lagarde, 'rock star' IMF head | Christine Lagarde, 'rock star' IMF head |
| The case originates in the early 1990s, when Mr Tapie was a majority shareholder in sports goods company Adidas. | The case originates in the early 1990s, when Mr Tapie was a majority shareholder in sports goods company Adidas. |
| After launching a political career and becoming a cabinet minister in Francois Mitterrand's Socialist government in 1992, Mr Tapie had to sell the company. | After launching a political career and becoming a cabinet minister in Francois Mitterrand's Socialist government in 1992, Mr Tapie had to sell the company. |
| In 1993, he sued Credit Lyonnais, a state-owned bank that handled the sale, alleging that the bank had defrauded him by deliberately undervaluing the firm. | In 1993, he sued Credit Lyonnais, a state-owned bank that handled the sale, alleging that the bank had defrauded him by deliberately undervaluing the firm. |
| Facing jail | Facing jail |
| By 2007, the long-running case was referred by Ms Lagarde to binding arbitration. A three-member panel awarded the compensation a year later, causing a public outcry. | By 2007, the long-running case was referred by Ms Lagarde to binding arbitration. A three-member panel awarded the compensation a year later, causing a public outcry. |
| Last year, after eight more years of legal wrangling, a French court ruled that Mr Tapie had not been entitled to compensation and should repay the €404m. | Last year, after eight more years of legal wrangling, a French court ruled that Mr Tapie had not been entitled to compensation and should repay the €404m. |
| Ms Lagarde, 60, is now facing the Court of Justice of the Republic (CJR) on charges of "negligence by a person in position of public authority". | Ms Lagarde, 60, is now facing the Court of Justice of the Republic (CJR) on charges of "negligence by a person in position of public authority". |
| The court, composed mostly of politicians rather than judges, handles allegations of crimes committed by cabinet ministers in office. | |
| Ms Lagarde was sent to trial by CJR magistrates even though prosecutors had argued that the case should be dropped. The trial is due to last until 20 December. | |
| If convicted, Ms Lagarde could face one year in prison. | |
| She replaced Dominique Strauss-Kahn as IMF managing director in 2011. | |
| Mr Strauss-Kahn - also a former French finance minister - resigned following his arrest in New York on charges of sexual assault that were later dropped. | Mr Strauss-Kahn - also a former French finance minister - resigned following his arrest in New York on charges of sexual assault that were later dropped. |
| Lagarde-Tapie: A French saga | Lagarde-Tapie: A French saga |
| 1993: Credit Lyonnais bank handles sale of Adidas to enable tycoon to pursue ministerial career under then Socialist President Francois Mitterrand | 1993: Credit Lyonnais bank handles sale of Adidas to enable tycoon to pursue ministerial career under then Socialist President Francois Mitterrand |
| 1993-2007: Mr Tapie claims Credit Lyonnais undervalued Adidas and that he was cheated; lengthy court battle ensues | 1993-2007: Mr Tapie claims Credit Lyonnais undervalued Adidas and that he was cheated; lengthy court battle ensues |
| 1994: Bernard Tapie's highly indebted group collapses and is wound up by Credit Lyonnais | 1994: Bernard Tapie's highly indebted group collapses and is wound up by Credit Lyonnais |
| 2007: Mr Tapie supports conservative Nicolas Sarkozy in presidential election. Finance Minister Christine Lagarde intervenes in Tapie case to order binding arbitration | 2007: Mr Tapie supports conservative Nicolas Sarkozy in presidential election. Finance Minister Christine Lagarde intervenes in Tapie case to order binding arbitration |
| 2008: Special judicial panel rules Mr Tapie should receive damages of €404m; Ms Lagarde decides not to challenge ruling | 2008: Special judicial panel rules Mr Tapie should receive damages of €404m; Ms Lagarde decides not to challenge ruling |
| 2011: Public prosecutor recommends investigation into Ms Lagarde's decision to order arbitration | 2011: Public prosecutor recommends investigation into Ms Lagarde's decision to order arbitration |
| 2013: Ms Lagarde questioned by magistrate and her home searched. Mr Tapie under investigation. | 2013: Ms Lagarde questioned by magistrate and her home searched. Mr Tapie under investigation. |
| 2014: Ms Lagarde is cleared of the most serious charges of corruption, but investigated on charges of negligence | 2014: Ms Lagarde is cleared of the most serious charges of corruption, but investigated on charges of negligence |
| 2015: Appeals court orders Mr Tapie to pay back €404m with interest | 2015: Appeals court orders Mr Tapie to pay back €404m with interest |