Open

Coming up

Don't miss

Replay


LATEST SHOWS

BUSINESS DAILY

Argentina set for deeper recession after default

Read more

THE INTERVIEW

Dr Matshidiso Moeti, Former WHO Deputy Regional Director for Africa

Read more

MEDIAWATCH

Towards a 'Third Intifada'?

Read more

IN THE PAPERS

Germany and Russia discuss secret Ukraine deal

Read more

DEBATE

Iraq's Christians: Nowhere to Run? (part 2)

Read more

IN THE PAPERS

France commemorates a hero of the left

Read more

DEBATE

Iraq's Christians: Nowhere to Run?

Read more

WEB NEWS

Fake Twitter accounts spread chinese propaganda

Read more

FOCUS

What solutions for California's overcrowded prisons?

Read more

  • Kiev declares 24-hour ceasefire to aid MH17 probe

    Read more

  • Israel calls up 16,000 more reservist as Gaza death toll soars

    Read more

  • Video: Inside Hamas ‘terror’ tunnels in Gaza

    Read more

  • Sierra Leone declares state of emergency over Ebola outbreak

    Read more

  • Scores feared dead in India landslide

    Read more

  • Russia ordered to pay further EUR1.9bn to Yukos shareholders

    Read more

  • Iraq's Christians: Nowhere to Run?

    Read more

  • Russia defiant as US, EU unveil 'phase three' sanctions

    Read more

  • US House votes to sue Obama for over-reaching his powers

    Read more

  • Argentina fails to reach deal with creditors

    Read more

  • Women should not laugh in public, Turkey's deputy PM says

    Read more

  • Suspect in Jewish Museum attack charged with 'terrorist' murder

    Read more

  • US rebounds to 4% growth in second quarter

    Read more

  • Rats on the rampage at Louvre museum gardens

    Read more

Business Europe

Belgium PM in the eye of the Fortis storm

Video by Olivia SALAZAR WINSPEAR

Latest update : 2008-12-19

Under mounting pressure to resign, Belgium's Prime Minister Yves Leterme awaits a Supreme Court report on the Fortis case amid suspicions that his office sought to influence an appeal court ruling on the breakup of the bank.

REUTERS - The future of Belgian Prime Minister Yves Leterme hung in the balance on Friday ahead of a report from the Supreme Court over suspicions of political meddling in the judicial system. 

Leterme faced mounting pressure to quit on Thursday over accusations that his office had sought to influence an appeal court ruling that last week froze the break-up of stricken financial group Fortis. 

Ministers met for seven hours and emerged just before midnight to say no one would be resigning -- at least for the time being. 

Leterme's future had looked bleak on Thursday afternoon when an incendiary letter from the head of the Supreme Court to the chairman of the lower house of parliament was made public. 

"Everything was done that the ruling of the 18th chamber of the court of appeal could not be delivered as planned," read one passage of the letter, although it did not name Leterme. 

Ministers said they would await a full report from the Supreme Court, expected to be available on Friday afternoon, before meeting again. 

"Total chaos," read the headline in Le Soir. "Outlaw" said La Libre Belgique below a picture of a pensive Leterme. "A painful death walk" was the title on De Morgen. 

The prime minister has denied influencing the appeal court, although acknowledged that one of his officials contacted the husband of one of the judges several times.

Leterme only came into power in March after nine months of deadlock due to a tussle over the extent that powers should be devolved to Belgium's regions -- a key demand for Dutch-speaking Flemish parties.
 
Only this July, he tendered his resignation after failing to break the deadlock, which reignited speculation the 178-year-old country could split. He stayed on after King Albert refused to let him quit.
 
Fortis was carved up by the Dutch, Belgian and Luxembourg governments with France's BNP Paribas buying the Belgian operations after an 11.2 billion euro ($16.1 billion) cash injection failed to calm investor concerns. 

Angry shareholders launched legal action, and the victory at the appeal court has thrown the government's bailout plans into disarray in the midst of a financial and economic crisis.

 

Date created : 2008-12-19

COMMENT(S)