Friday 6 January 2012

German President Christian Wulff?s loan scandal adds to Merkel?s pressure

German President Christian Wulff came under increased scrutiny after reports that he telephoned a newspaper editor in an effort to block a story revealing a private home loan he received in 2008.

The incident presents German Chancellor Angela Merkel, who nominated Wulff in 2010, with a new political headache as she scrambles to find a solution to the debt crisis.

Bild, Germany?s most-read newspaper, said the president called its editor, Kai Diekmann, on Dec 12 and left a voice-mail message expressing anger at the forthcoming story and threatening legal action.

Bild published the story Dec 13 that Wulff negotiated a 500,000 euro ($646,000) loan from the wife of a businessman friend to pay for a new home when he was Lower Saxony state premier. Wulff apologized for not revealing the loan last month in a bid to calm criticism that risks becoming a distraction to Merkel.

Merkel hasn?t addressed Wulff?s travails since she said before her Christmas vacation departure last month that he had her ?full confidence.?

Wulff, 52, a former deputy leader of Merkel?s Christian Democratic Union party, was picked by the chancellor to replace the previous incumbent, Horst Koehler, after Koehler?s surprise resignation in May 2010. Wulff was elected by a special national assembly on June 30 of that year only after the third attempt.

The chancellor?s majority in the assembly has since narrowed to as few as two seats from 21 seats after regional election defeats throughout 2011.

Merkel is pushing for a blueprint on closer fiscal ties in Europe by the end of March to combat the crisis. She is due to host French President Nicolas Sarkozy Jan 9 for talks in Berlin with the threat of a credit-rating downgrade still hanging over the euro area.

Merkel, in her New Year?s address, pledged to defend the euro and warned of hard times to come.

Source: http://c.moreover.com/click/here.pl?r5696327179

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