French police searched offices in the finance ministry and the headquarters of chemical firm Rhodia yesterday in what a legal source said were moves linked to an investigation into the company's past accounts.

Finance minister Thierry Breton headed Rhodia's audit committee during 1999-2002, the period under investigation. He is in the US but has been informed about the search, a spokeswoman said. She confirmed police searched offices in the ministry but declined to comment on whether the search was linked to the Rhodia probe.

The legal source said the search at the ministry had been requested by examining magistrate Henri Pons, who is coleading the investigation into Rhodia.

"It [the search] is in the framework of Rhodia."

Mr Breton's lawyer, Claude Serra, said he hoped the search would clarify matters.

"We hope the search conducted at the finance ministry was really necessary for the investigation and that it will enlighten the judge," Mr Serra told Reuters.

Rhodia said police were searching its offices and it was co-operating fully with their investigation.

Mr Breton, the former head of France Telecom, was on Rhodia's board from April 1998 until September 2002.

The finance ministry said in March that Mr Breton had not seen any irregularities in the company's accounting during that period and had pointed out that the inquiry was investigating company management in general and not Mr Breton in particular. - (Reuters)