DSK: A hero once upon a time
Dominique Strauss-Kahn, the disgraced chief of IMF who resigned yesterday due to mounting international pressure, was looked upon as a great economist of all times. DSK, as he is popularly known, was all set to run for French Presidency next year in the banner of the Socialist Party.
Many in France believe that Strauss-Kahn's IMF stint was a result of a strategic move by Nicholas Sarkozy who came into power in the 2007 presidential election. Critics of Sarkozy argue that, instead of promoting Strauss-Kahn to a position of power, the French president was actually smartly seeing him off to faraway Washington.
That was a time when the world economies were questioning the need for an institution like IMF. As Strauss-Kahn himself pointed out later ''It was like wondering about the need for fire-fighters when you don't have a fire''.
However, in 2008, the world was set to change by a large measure. All major world economies went through torrid times and Heads of State were frantically arranging crisis meetings that aimed at solving the issue of credit. It was during this time that Strauss Kahn, the efficient former French Finance Minister, emerged as a surprise hero.
As head of the International Monetary Fund (IMF), Strauss Kahn came up trumps in making a few astute decisions that eventually tripled the funds of IMF. The world leaders were convinced of his leadership at the helm of the lending organisation and helped arrange a huge sum of $1.1 trillion.
It was DSK who also foresaw the destabilising of the Euro and quickly initiated the European leaders into taking a timely evasive action - i.e. arranging $1 trillion through an EU-IMF collaboration. It was this brainwave that bailed out the worst affected European nations and eventually made sure that the Euro is alright.
What next for Strauss Kahn?
The next few days will be crucial for Strauss Kahn, who is currently languishing in Rikers Island jail. After today's hearing, it will be known whether Strauss-Kahn will be granted bail by the New York court.
While the alleged incident has almost ruined his presidential dreams, a recent opinion poll suggests that all is not lost for him. The results of the poll show that majority of the Frenchmen do not believe in the recent allegation and considers him as the victim of a conspiracy.
However, whether he will acquit himself and fully restore people's faith in him can only be seen in the coming days.