A senior position, a high social status, and a network of useful connections do not necessarily guarantee immunity from legal proceedings. At least, it seems to be so in Europe. Managing director of the International Monetary Fund Christine Lagarde has recently been ordered to stand before the court over her role in the notorious ‘Tapie affair’. This corruption scandal dates back more than 20 years, and the court is not likely to settle the lawsuit any time soon. The dispute started in 1993, when a French businessman, Bernard Tapie, decided to sell his share in sportswear giant Adidas. Such large-scale financial deals are usually conducted through intermediaries, in this case, the reputable state-owned French bank Credit Lyonnais. However, after the transaction was completed, the indignant client accused the bank of engaging in fraud, saying that it secretly sold Adidas at a much higher price after deliberately undervaluing the company. Tapie then sued Credit Lyonnais for mishandling the sale and demanded compensation of 2 billion francs (320 million euros). Reportedly, Christine Lagarde was placed under formal investigation by French legal authorities for alleged ‘negligence’ in the use of public funds. Even though there has been no official confirmation so far that Lagarde was summoned by the court, the IMF chief issued a statement denying any possibility of her resignation caused by the allegations. Additionally, back in 2008 the French Ministry of Finance examined the case in every detail and ordered Credit Lyonnais to pay Bernard Tapie 400 million euros in compensation.
