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The Executive Board of the International Monetary Fund in June appointed former French finance minister Christine Lagarde as its Managing Director in full knowledge of the legal procedure concerning her and which this week led to the opening of an investigation into her suspected involvement in 'aiding and abetting falsification' and 'misappropriation of public funds'. At a moment of grave international economic turmoil, the IMF, still reeling from the Dominique Strauss-Kahn affair, finds itself further weakened. Philippe Riès returns to the background of Lagarde's appointment and interviews Ted Truman, senior fellow with the Washington-based Peterson Institute for International Economics and a former assistant secretary of the US Treasury for International Affairs, about the consequences of Lagarde's predicament for the IMF.
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