Relief: IMF Chief Cleared In Sex Scandal

Whew. It looked for a moment like Domminique Strauss-Kahn, head of the IMF, might go down in a sex scandal at the worst possible time. Although Strauss-Kahn did have a sexual relationship with subordinate Piroska Nagy, the IMF’s governing board decided he did not abuse his position:

WSJ: A. Shakour Shaalan, the longest serving member of the board, chaired the Saturday session where it discussed Mr. Strauss-Kahn’s behaviour. Mr. Shaalan said the board decided unanimously not to censure Mr. Strauss-Kahn. But after the meeting, he said, “I personally spoke to him … and informed him this should not happen again.”

Essentially the outside law firm, Morgan Lewis & Bockius, looked at two issues: had Mr. Strauss-Kahn abused his power in starting the relationship and had he either favoured or punished Ms. Nagy as a result. The law firm found that he had done neither.

See also:

IMF Sex Scandal: Chief May Have Inappropriately Banged Subordinate


NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at

Tagged In