France's Finance Minister resigns over flat scandal

[Flagg]

FRANCE'S FINANCE MINISTER RESIGNS OVER FLAT SCANDAL


Received Friday, 25 February 2005 15:55:00 GMT
PARIS, Feb 25 (AFP) - France's Finance Minister Herve Gaymard, accused of lying in a scandal over a flat paid for by the state, gave in to the pressure Friday and handed in his resignation.
"I have decided to hand to the prime minister my resignation as minister for economy, finance and industry," Gaymard, who took over in November, said in a statement.
A 44 year-old ally of President Jacques Chirac and the father of eight children, Gaymard moved out of a luxury flat near the Champs-Elysees a week ago after the satirical weekly Le Canard Enchaine revealed that it was costing the state 14,000 euros (18,500 dollars) a month.
However the scandal burst out again on Wednesday when the same magazine revealed that Gaymard already has a large apartment of his own in central Paris.
"I am aware that I have made blunders, first of all a serious error of appreciation concerning the conditions of my state-paid apartment. I brought that situation to a close straightaway and will, as I have said, pay back any expenses that have been incurred," it said.
"But despite that my family has been for several days the victim of real harassment.
"Beyond that, I do not wish to prejudice the functions that the Republic has entrusted to me and which I respect most highly, nor the action of the government."
The office of Prime Minister Jean-Pierre Raffarin refused to comment Friday afternoon. Earlier government sources speaking anonymously told AFP that no outcome was being ruled out -- indicating that his resignation would not come as a surprise.

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