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Christine Lagarde to be investigated for alleged role in political fraud case

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The IMF chief, Christine Lagarde, has been placed under formal investigation by French magistrates. Photograph: Gary Cameron/Reuters The head of the International Monetary Fund , Christine Lagarde , has been charged with "simple negligence" over her handling of a controversial €400m payout to French business tycoon Bernard Tapie when she was finance minister. Lagarde announced that she had been placed under investigation by a magistrate on Tuesday – the French equivalent of being charged in the UK – after being questioned for 15 hours at the court of justice in Paris, which deals with cases of alleged ministerial wrongdoing. But she told a reporter that she would not resign from her position: "I'm going back to work in Washington this afternoon," she said. The IMF chief insisted that she had not broken the law and would appeal. The case is an embarrassment for Lagarde, the IMF and France. Ju