This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

French Ex-minister Admits Lying About Bank Account

By JAMEY KEATEN

PARIS (AP) â¿¿ French President Francois Hollande on Tuesday decried an "unforgiveable moral error" by his former budget minister, who has jolted France's body politic by admitting on his blog to having lied about a once-secret foreign bank account.

Authorities filed preliminary charges against Jerome Cahuzac, a former plastic surgeon-turned-politician, for alleged money laundering, a spokeswoman for Paris prosecutors said. If convicted, he faces up to five years in prison and a 375,000 euro ($481,500) fine.

After months of denials, Cahuzac wrote on his blog that he had told investigating judges he had a foreign bank account for 20 years. Calls by The Associated Press to his lawyer and to colleagues were not returned and he could not directly be reached for comment. Cahuzac, who had long criticized the use of overseas tax havens, quit the government last month as the scandal swelled.

On his blog, www.jerome-cahuzac.com, the former minister wrote that he had taken steps to repatriate 600,000 euros worth of holdings now in the account.

Cahuzac also made a thorough mea culpa, expressing regret to his colleagues, supporters and all French, and asking Hollande, the prime minister and former colleagues for "forgiveness for the damage I have caused them." Fellow Socialists expressed disappointment and betrayal, and rival conservatives pounced: At least two scolded the Socialists for having lectured the political right on morality issues in the past.

Top government officials swung into crisis-management mode. Hollande's office said in a statement that the president "noted the admission of Jerome Cahuzac with great severity," and regretted how he "committed an unforgiveable moral error" with his public denials â¿¿ including on the floor of parliament.

Prime Minister Jean-Marc Ayrault said he spoke to Cahuzac on Tuesday, and that the former budget minister admitted to him that he had been dishonest.

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,778.15 +421.28 2.43%
S&P 500 2,061.23 +48.34 2.40%
NASDAQ 4,748.3960 +104.0840 2.24%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs