L’Oreal heiress questioned in financial investigation

The heiress to the L’Oreal cosmetics fortune is being questioned by French investigators in a probe into her finances which has embroiled the government, her lawyer said today.

Georges Kiejman said Liliane Bettencourt is answering financial investigators’ questions in her villa in the Paris suburb of Neuilly-sur-Seine. She is being questioned as a witness in a probe of alleged tax evasion.

A dispute within the Bettencourt family has mushroomed in recent weeks to include allegations of tax evasion, and claims of illegal financing of President Nicolas Sarkozy’s 2007 election campaign.

Mr Sarkozy denied the claims and said they are an effort to smear him.

Ms Bettencourt is Europe’s richest woman, according to Forbes.