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Edition: U.S. Article Comments (0) Email Print Reprints Full Focus Best of the week Our top pictures from the past week. Full Article Read Obama's Democrats in disarray over expiring tax cuts 19 Nov 2010 Saudi king to seek medical treatment in U.S. 3:02pm EST U.S. envoy in Asia amid new North Korea nuclear concern 8:12am EST Afghan withdrawal timeline "irrational": Taliban 9:16am EST Ireland goes for bailout as it eyes bank restructure | 3:54pm EST Discussed 170 Obama’s Democrats in disarray over expiring tax cuts 115 Analysis: Europe is next test for weakened Obama 95 Sweet drinks, sales tax targeted to cut deficit Watched Row over vote orgasm video Fri, Nov 19 2010 Japanese Tourism Bra Wed, Nov 10 2010 Bejeweled bra exposed in NY Thu, Oct 21 2010 Poll shows Sarkozy ratings up but new scandal looms Tweet This Share on LinkedIn Share on Facebook By Daniel Flynn and Gerard Bon PARIS (Reuters) - An opinion poll on Sunday showed French President Nicolas Sarkozy's popularity rebounding from record lows, but he faced a growing scandal over allegations of kickbacks on 1990s naval deals with... Related News Poll shows Sarkozy ratings up but new scandal looms 9:30am EST No proof to link Sarkozy to Karachi bomb probe: source Fri, Nov 19 2010 WRAPUP 1-France's Sarkozy eyes taxes, immigration for now Tue, Nov 16 2010 France's Sarkozy keeps key figures in reshuffle Sun, Nov 14 2010 PENPIX-Key players in likely French reshuffle Sat, Nov 13 2010 Analysis & Opinion CFR on Pakistan: hold course (for now) Between the lines: Obama’s comments on Kashmir Related Topics World » France's President Nicolas Sarkozy arrives for the opening session of the NATO Summit in Lisbon November 19, 2010. Credit: Reuters/Marcelo Del Pozo By Daniel Flynn and Gerard Bon PARIS | Sun Nov 21, 2010 2:27pm EST PARIS (Reuters) - An opinion poll on Sunday showed French President Nicolas Sarkozy's popularity rebounding from record lows, but he faced a growing scandal over allegations of kickbacks on 1990s naval deals with Pakistan. The conservative leader, 55, hoped a cabinet reshuffle last week would help turn the page on a difficult year marred by allegations of illegal funding of his conservative UMP party and national protests over his pension reform. Sarkozy is also trying to use an ambitious agenda under France's year-long presidency of the G20 group of nations, which began this month, as a platform for rebuilding his popularity in the run-up to a presidential election in early 2012. A survey by pollsters Ifo in the Journal du Dimanche showed Sarkozy's approval rating up 3 percentage points to 32 percent in early November, after hitting a low-point in October during union-led protests against legislation to raise the pension age. The poll was conducted either side of a November 14 cabinet reshuffle, which retained heavyweights like Economy Minister Christine Lagarde but ditched centrists and left-wing converts to shore up Sarkozy's right-wing support base. However, Sunday's newspapers all led on the investigation into the "Karachi affair," in which 11 French naval engineers and technicians died in a 2002 bomb attack in the Pakistani port, originally thought to be the work of Islamist militants. Relatives of the victims launched a case this week against former President Jacques Chirac and his then chief-of-staff Dominique de Villepin, alleging the suicide attack was a reprisal for Chirac's decision to halt commissions on Agosta submarine sales to Pakistan when he won power in 1995. A judge is also separately investigating whether illegal payments from the contract were used to finance the 1995 presidential bid of Sarkozy's political mentor Edouard Balladur, prime minister in 1994 when the submarine contracts were signed. "We owe the truth to the families," Socialist legislator Jerome Cahuzac told Europe 1 radio on Sunday, calling for a parliamentary investigation into the affair and accusing the government of withholding information on Balladur's funding. "NOTHING BEING HIDDEN" Villepin, Sarkozy's political rival, said on Friday he had "very strong suspicions of illegal back-payments" to French politicians and asked to testify before the judge. On Sunday, Villepin said as far as he was aware there was not any link between the 2002 bombing and Chirac's decision to stop the payment of commissions seven years earlier. Sarkozy, who was budget minister in Balladur's government when the deals were signed, on Saturday denounced what he called a "controversy which has no basis" and pledged all the necessary documentation would be placed at the disposal of investigators. The daughter of one of the engineers killed in the attack told Le Parisien newspaper on Sunday Sarkozy's statement "sounds like a confession. "He is acknowledging there are documents which are interesting for the investigation which have not yet been handed over," Magali Drouet told the newspaper. 1 2 Next World Add a Comment *We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language or appear to be spam and review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. © Copyright 2010 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Reader Feedback Mobile Newsletters RSS Podcasts Widgets Your View Analyst Research Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts Venture Capital Journal International Financing Review Project Finance International PEhub.com PE Week FindLaw Reuters on Facebook Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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