EU Worried By World Bank Dispute

Wolfowitz has said he will not resign over a promotion he approved for his girlfriend, despite increasing fears among bank-member governments that the affair is hurting its image as an agency that is tough on corruption.

A spokesman for the EU Aid Commission, Louis Michel, said the commission is concerned about the allegations and is monitoring the situation.

Wolfowitz has come under fire for the high-paying promotion he agreed for his girlfriend, bank employee Shaha Riza.

A number of European countries have raised concerns about the affair but none has publicly called for the dismissal of Wolfowitz.

(Reuters)