Twist in Strauss-Kahn Case

Questions Are Raised About Accuser's Veracity; Hearing Is Set on Terms of Bail

By MICHAEL ROTHFELD And CHAD BRAY

The sexual-assault case against former International Monetary Fund leader Dominique Strauss-Kahn appeared to be weakening Thursday as prosecutors and his defense team prepared to raise questions about the credibility of the maid who accused him, people close to the case said.

Problems with the prosecution's main witness are expected to be made public at a last-minute court hearing scheduled for Friday morning before State Supreme Court Justice Michael Obus. Defense lawyers are likely to ask the judge to end house arrest and electronic monitoring, two restrictive conditions of Mr. Strauss-Kahn's bail.

"There will be serious issues raised by the district attorney's office and us concerning the credibility of the complaining witness," said Benjamin Brafman, a lawyer for Mr. Strauss-Kahn.

Mr. Strauss-Kahn, 62 years old, has pleaded not guilty to charges of sexually assaulting the maid in his suite May 14 at the Sofitel hotel in Manhattan.

Prosecutors aren't expected to immediately ask for dismissal of the charges against Mr. Strauss-Kahn, who faces a seven-count indictment, people familiar with the matter said.

A lawyer for the alleged victim, Kenneth Thompson, couldn't be reached for comment.

Prosecutors are expected to reveal in court that the maid told them she had been the victim of a gang rape in her home country of Guinea, and later admitted that she had made the story up, a person familiar with the matter said.

The revelations about the witness also involve her interaction with a man jailed on drug charges with whom she was taped in a telephone call, one person familiar with the situation said. Prosecutors and defense lawyers met Thursday to discuss the issues.

The issues regarding the maid's credibility were reported Thursday by The New York Times on its website.

The May 14 arrest of Mr. Strauss-Kahn, an international political figure, at New York's John F. Kennedy International Airport as he prepared to depart on a flight for Paris, has generated headlines and debate around the world, cost him his job at the helm of the IMF and has apparently dashed his hopes for a run at the French presidency.

It has also fueled speculation in Mr. Strauss-Kahn's home country of conspiracies against him driven by politics and profit.

Prosecutors had previously said in court that the maid, a 32-year-old immigrant, had immediately cried out to witnesses upon leaving the room, indicating the veracity of her story. Investigators also found DNA evidence from Mr. Strauss-Kahn at the scene, law enforcement sources have said.

But the defense lawyers had indicated they would argue the encounter was consensual, and hired investigators to scrutinize the woman's credibility.

In recent weeks, according to people familiar with the situation, investigations by the defense team and law enforcement have resulted in the discovery of the false statement by the maid to prosecutors and the association with the man jailed on drug charges.

While the immediate future of the case remains unclear, prosecutors are expected to support efforts by the defense to ease Mr. Strauss-Kahn's bail restrictions.

—Sean Gardiner and Tamer El-Ghobashy contributed to this article.

Write to Michael Rothfeld at michael.rothfeld@wsj.com