Paris: The International Monetary Fund's managing director was convicted Monday of negligence by a special French court for her role in a hugely contentious arbitration award to a businessman in 2008.
But Christine Lagarde, who was France's finance minister at the time, was spared punishment and a criminal record.
The Court of Justice of the Republic, made up of three judges and 12 parliamentarians, tries cases concerning ministers for alleged crimes while in office.
Lagarde, not present for the verdict, maintained her innocence through the weeklong trial. The prosecutor had asked for an acquittal.
The guilty verdict, even without punishment, tarnishes Lagarde's impressive career as one of the most powerful women in world finance. It raised immediate doubts about whether the IMF's first female managing director will be able to continue in that job she has held since 2011.
The International Monetary Fund board is expected to meet shortly to discuss the implications of the surprise guilty verdict against IMF chief Christine Lagarde on Monday in a French court.
"The Executive Board has met on previous occasions to consider developments related to the legal proceedings in France. It is expected that the Board will meet again shortly to consider the most recent developments," fund spokesman Gerry Rice said in a statement.
The case revolves around a 403 million-euro ($425 million) arbitration deal given to tycoon Bernard Tapie in 2008 over the botched sale of sportswear maker Adidas in the 1990s. The amount prompted indignation in France.
Civil courts have since quashed the unusually generous award, declared the arbitration process and deal fraudulent and ordered Tapie to pay the money back.
The Washington-based IMF said after Monday's verdict that its executive board would meet soon "to consider the most recent developments."
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