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WASHINGTON - MR DOMINIQUE Strauss-Kahn, the French head of the International Monetary Fund, is under investigation into whether he abused his power by engaging in a sexual relationship with a subordinate, The Wall Street Journal reported early on Saturday.
The newspaper said the law firm of Morgan, Lewis & Bockius LLP had been retained by the IMF to conduct the probe, which is expected to be completed by the end of the month.
According to the report, the investigation focuses on Mr Strauss-Kahn's relationship with Hungarian-born Piroska Nagy, a former senior official in the IMF's Africa department, who is married.
The two are said to have exchanged emails about a possible intimate relationship, which apparently began early this year during a conference in Europe, said The Journal.
However, the emails were discovered by Ms Nagy's husband, prominent Argentine-born economist Mario Blejer, who has worked at the IMF, the paper said.
The Journal quotes Mr Strauss-Kahn as saying in a statement that he has cooperated and continues to cooperate with outside counsel to the fund concerning this matter.
The 'incident which occurred in my private life' took place in January 2008, the director is quoted as saying. 'At no time did I abuse my position as the fund's managing director.' -- AFP
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