Times 2

Strauss-Kahn released on bail, IMF battle hots up

France's Lagarde leads race for new IMF chief

NEW YORK/WASHINGTON, May 21 (Reuters) - Dominique Strauss-Kahn left jail on bail on Friday and was whisked to a safe house off Wall Street where he will be held under round-the-clock armed guard.
French Finance Minister Christine Lagarde led the race to succeed him in the top job in global finance. But developing countries, whose clout in the world economy has grown in recent years, kept up pressure on Europe and the United States to avoid a backroom deal over the appointment.

Strauss-Kahn, indicted for allegedly trying to rape a hotel housekeeper last Saturday, left New York's Rikers Island jail after a judge said bail conditions had been met. Photographers gathered outside an apartment building in New York's financial district where he was expected. A man held up a placard on which was scribbled “D.S.K., Not In My Backyard” -- referring to Strauss-Kahn's initials.

Strauss-Kahn, 62, later arrived at another building on Broadway, in the same area, a police source said, to spend a few days before a more permanent home is found for him in the city during potentially long legal proceedings.

He will be subject to electronic monitoring around the clock and must wear a tracking device on his ankle. The former French finance minister was once seen as a strong contender to be the next president of France and he played a central role in tackling the global financial crisis of 2007-09.He denies the charges and has vowed to prove his innocence.

He resigned from the International Monetary Fund on Wednesday. Strauss-Kahn's lawyers posted $1 million in bail and a $5 million insurance bond, as ordered by a judge on Thursday. Lagarde was in pole position to take over his job as many of Europe's capitals rallied behind her.

She has been praised for her role in tackling the European debt crisis and for her experience, with France this year chairing the Group of 20, in handing the often conflicting economic demands of advanced and developing economies.

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