Strauss-Kahn, NYC hotel maid settle suit

December 11, 2012 08:42

Former International Monetary Fund leader Dominique Strauss-Kahn and a New York City hotel maid have signed a settlement of her sexual assault lawsuit, a judge has announced, saying that terms of the deal were confidential.

The lawsuit stemmed from a May 2011 hotel suite encounter. It also spurred criminal charges, forced Strauss-Kahn's resignation from the IMF and cut off his potential candidacy for the French presidency.

The criminal case was dropped after prosecutors said his accuser, Nafissatou Diallo, had credibility problems. She said she always told the truth about the encounter.

Strauss-Kahn called her suit defamatory and countersued for $1 million.

Strauss-Kahn's lawyers acknowledged late last month there had been settlement talks, though they dismissed as "flatly false" a French newspaper report that Strauss-Kahn had agreed to pay $6 million. Diallo's lawyers declined to comment.

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