Chirac targeted in corruption probe

By Thierry Leveque

PARIS (Reuters) - Former President Jacques Chirac has been placed under formal investigation by a French judge for suspected embezzlement of public funds when he was mayor of Paris, Chirac's lawyer Jean Veil said on Wednesday.

Chirac, who lost his immunity from prosecution after stepping down as president in May, has consistently denied any wrongdoing in a series of graft cases that have cast a shadow over his record as the capital's mayor between 1977-1995.

"Formal investigation" means a suspect could eventually be ordered to stand trial. The judge investigating the case could also decide there is not enough evidence to prosecute.

Chirac, 74, is the first former president of modern day France to be placed under investigation by magistrates.

Wednesday's case revolves around jobs allegedly handed out to centre-right sympathisers by Paris city hall. Chirac was questioned over a separate case of alleged fake jobs in July.

Veil said Chirac was questioned by judge Xaviere Simeoni on Wednesday and declared he was innocent of any wrongdoing.

"On the issue of principle, he considers that the jobs were perfectly legitimate and that they were good policy for the city hall," Veil told reporters after the questioning.

Chirac's meeting with the judge on Wednesday focused on the organisation and functioning of the mayor's office. A further meeting, to deal more specifically with the jobs under question, will be organised "in a few months", Veil said.