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international monetary fund

Following conviction, IMF board stands behind Christine Lagarde

The International Monetary Fund's executive board has expressed "full confidence" in Christine Lagarde's ability to lead the lending agency, following her conviction Monday of one count of negligence tied to her time as the finance minister of France.

Lagarde, who in 2007 became the first female finance minister of France and is the first woman to head the IMF, will not serve any time in prison or have a criminal record. She also said she will not appeal the ruling, adding, "I am not satisfied with it, but there's a point in time when one must stop, turn the page, and move on." After a weeklong trial, France's Court of Justice of the Republic decided Lagarde was negligent in managing an arbitration involving tycoon Bernard Tapie, which led to the fraudulent misappropriation of public funds, The Associated Press reports. Lagarde was never accused of fraud.

Lagarde had potentially faced a year in prison and a fine, but the court noted she was busy dealing with the global economic crisis when the arbitration was underway, and because the award has been annulled, it never cost the public any money. The IMF contends that Lagarde has shown "outstanding leadership" and is respected around the globe.