Wulff in trouble

Germany's President Christian Wulff prepared to face tough questions on Wednesday after he denied misleading state lawmakers over receiving a private mortgage loan.

Wulff received a 500,000 euro ($665,000) loan from the wife of wealthy businessman, Egon Geerkens in 2008, while he was premier of north German state Lower Saxony.

On Tuesday the German mass circulation paper Bild alleged that the loan payment rendered previous claims the president made regarding his business relationship with Geerkens untrue.

Faced with questions from the opposition Greens in 2010, Wulff issued a statement saying he had not had any business links with Geerkens, a claim which opposition now says was misleading.

"Christian Wulff did not lie to the Lower Saxony parliament. But I can understand the irritation of the lawmakers there as Christian Wulff has not told the whole truth," said Social Democrat parliamentary floor leader Thomas Oppermann.

Wulff's spokesman Olaf Glaeseker rejected the allegations, however, saying the president had not mentioned the loan because he wasn't asked about it. "A truthful 'no' was given to a non-ambiguous question," read a statement from Glaeseker.

Helping a friend

The president's office said Wulff had been paying back the loan in monthly installments at four percent interest. According to the newspaper Bild, bank mortgages had cost around five percent in interest at the time of the loan. It has since been converted to a bank loan.

In an interview with Germany's Spiegel Online, Egon Geerkens defended the president saying he and his wife had been helping their friend find a new home after divorcing.

"Christian had to re-organize his life and everyone knows how expensive a divorce is," he said.

Wulff gave up the job of premier of Lower Saxony when he was appointed German president in June 2010. Although his role is largely ceremonial, commentators have noted that damaging headlines could reflect badly on his political ally and fellow Christian Democrat Angela Merkel who pushed for his appointment as president last year.

Wulff and his second wife previously hit the headlines after receiving a free airline upgrade while flying to Florida to stay at the Geerkens' vacation home in late 2009. Wulff later paid for the upgrade.

Author: Charlotte Chelsom-Pill (AFP, dpa)
Editor: Andreas Illmer