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. Last Updated: 07/27/2016

Scandal May Unseat World Bank Leader

WASHINGTON -- The controversy involving World Bank President Paul Wolfowitz and his role in helping a close female friend transfer to a high-paying job moves to center stage Sunday as the bank's policy-steering committee meets.

Wolfowitz has been working behind the scenes at weekend meetings of finance ministers and central bankers to drum up support to stay in his post. On Sunday, he will present reports to the bank's development committee and participate in its closing news conference.

The former U.S. deputy defense secretary has been under fire since it emerged that he had secured a $193,590 job for his companion, Shaha Reza, at the U.S. State Department soon after he joined the World Bank in 2005.

The United States, Britain and France, whose governments have a major role in bank operations, said it was important to await the outcome of an investigation into Wolfowitz's actions by the World Bank's board of directors.

But Britain's international development secretary, Hilary Benn, added that he believed the controversy had hurt the World Bank and was distracting attention from the bank's agenda of helping developing countries.

U.S. Treasury Secretary Henry Paulson called Wolfowitz "a very dedicated public servant" and said the review process should be allowed to proceed.