Christine Lagarde's trial is only the fifth to be held before the Cour de Justice de la Republique, a special tribunal created in 1993 to try cabinet ministers.

Managing Director of the International Monetary Fund (IMF) Christine Lagarde (R) stands with her lawyers before the start of her trial about a state payout in 2008 to a French businessman, at the courts in Paris, France, December 12, 2016. (TRT World and Agencies)

International Monetary Fund (IMF) chief Christine Lagarde went on trial in Paris on Monday accused of negligence leading to misuse of pubilc funds.

Lagarde, 60, was France's finance minister in the government of then-president Nicolas Sarkozy when she approved an out-of-court settlement with businessman Bernard Tapie in 2008 to end a long-running dispute between the magnate and the French state.

She denies any wrongdoing but risks up to a year in jail and a fine of 15,000 euros ($15,895) if convicted.

The IMF says it is confident she will be able to continue her duties while on trial, and is keeping her in position.

TRT World's Craig Copetas is following events from Paris:

Source: TRTWorld and agencies