Lagarde, who at the time was Sarkozy's finance minister, has repeatedly denied wrongdoing in ending a judicial battle against billionaire Bernard Tapie and instead opting for arbitration.
Investigators suspect her of complicity in embezzling public funds after she overruled objections from advisers to proceeding with the €285m (£244m) payment to Tapie.
"This search will help uncover the truth, which will contribute to exonerating my client from any criminal wrongdoing," Lagarde's lawyer, Yves Repiquet, said.
The raid was conducted a day after France's budget minister resigned after being targeted in a tax fraud inquiry.
The French president, François Hollande, came to power last May vowing to crack down on the cosy relationships between politicians and business leaders he said were rife under Sarkozy.
Lagarde was in Frankfurt, Germany, at the time of the search, a spokesman for the IMF chief said.
Original Article
Source: guardian.co.uk
Author: Reuters in Paris
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