Now that the prosecution's case is reportedly on the "verge of collapse," there are signs that former IMF head and leading French politician Dominique Strauss-Kahn could be freed from house arrest. According to Bloomberg, "Prosecutors agreed to release former International Monetary Fund chief Dominique Strauss-Kahn on his own recognizance, two people familiar with the matter said."

Strauss-Kahn was accused of attempting to rape a hotel maid and forcing her to perform oral sex on him on May 14 at the Times Square Sofitel. Last night, as reports that Strauss-Kahn would appear in court today to discuss reason started to trickle out, the NY Times dropped the bombshell that Manhattan DA's office investigators had found problems with the accuser's story. The accuser, a Guinean immigrant, may have ties to criminal activities, "including drug dealing and money laundering," and there are inconsistencies with what she's telling investigators and what's in her asylum application: "She told investigators that her application for asylum included mention of a previous rape, but there was no such account in the application. She also told them that she had been subjected to genital mutilation, but her account to the investigators differed from what was contained in the asylum application."

A source told the Post, "She’s a con artist... She cannot be put on the stand. She’d be a flawed witness." The maid's brother, though, said, "I categorically refute the accusations that my sister was involved in drug dealing and money laundering. "We are the descendants of very pious Muslim scholars, we cannot let ourselves get carried along by the easy gain of money. My sister even refused to sell cigarettes when she was here with me in Conakry around ten years ago when I ran a cafe."

Manhattan DA's office spokeswoman Erin Duggan said, "When the district attorney outlined the charges voted on by the grand jury, he said the office would continue to investigate the facts of this case, wherever they lead. That is exactly what the office has done." One of Strauss-Kahn's lawyers, Benjamin Brafman, told Bloomberg, "There will be certain disclosures made about the credibility of the witness."

Strauss-Kahn has been under house arrest for over a month at a $50,000/month Tribeca townhouse.