Advertisement

  1. ITV Report

IMF chief Christine Lagarde found guilty in negligence trial over role in a £336m payout to businessman

Christine Lagarde has been found guilty of negligence but will not be passed a sentence. Credit: PA

A French court has found International Monetary Fund chief Christine Lagarde guilty in a negligence trial over her role in a £336 million payout to a businessman.

Lagarde is accused of improperly signing off on the decision to allow an out-of-court arbitration in a dispute between Bernard Tapie, a supporter of former president Nicolas Sarkozy, and the state in 2008.

She was French finance minister at the time.

Lagarde had appealed against a judge's order for her to stand trial, but France's highest appeals court ruled she had to do so.

Delivering his verdict on Monday, a top judge said Lagarde showed she was negligent by not seeking to overturn an arbitration ruling in Mr Tapie's favour, which ordered the state payout to him.

An appeals courts has since thrown out the settlement decision.

Largard will not be passed a sentence by the court.

An response to the court's ruling, an IMF spokesman said its executive board is expected to meet shortly to consider the verdict against Lagarde.