Merkel Angers Greek Leaders

    German chancellor Angela Merkel gives a statement on February 17, 2012 at the Chancellery in Berlin, after German President announced he resigned as prosecutors demanded his immunity be lifted to investigate allegations he abused his position. Wulff  resigned today after a string of scandals, handing Chancellor Angela Merkel a political headache at home as she battles to lead Europe from its debt crisis. Late Thursday, the prosecutor in the northern city of Hanover announced an "initial suspicion" against Wulff's film producer friend David Groenewold, who reportedly picked up the bills for Wulff's hotel and an upgrade during two short breaks. 
 AFP PHOTO / BARBARA SAX (Photo credit should read BARBARA SAX/AFP/Getty Images)

    Barbara Sax, AFP / Getty Images

    The German government insisted Friday that Chancellor Angela Merkel had never called for a referendum on the continued use of the euro when the country holds elections next month. The Greek government released a statement on Friday saying Merkel proposed the referendum during a phone call with Greek President Karolos Papoulias. The statement added that the proposal “obviously” could not be considered by the interim government appointed this week. Greece will hold a new vote on June 17.

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