The socialist grandee quits his role at a prestigious institute as he is investigated for the "laundering of tax-fraud proceeds".
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Lang, a major figure in French socialist governments between the 1980s and 2000s, is being investigated for suspected "laundering of tax fraud proceeds".
It follows the US Department of Justice's release of the Epstein files, which have documented links between the Lang family and the late American sex offender.
Lang, now 86, denies wrongdoing and on Saturday described the allegations against him as "baseless".
He told AFP the investigation "will bring much light on to the accusations that are questioning my probity and my honour".
Hours after the investigation was announced, Lang offered to resign as head of the Arab World Institute, a body that promotes cooperation and exchanges between France and Arab nations.
In a letter to Foreign Minister Jean-Noel Barrot, seen by AFP, Lang said he would submit his resignation at the next board meeting.
The former French minister, who is named almost 700 times in the Epstein files, had until now resisted pressure to step down.
Barrot, who had summoned Lang for talks on Sunday, said he had acknowledged the resignation offer and planned to start the process of looking for a successor.
Lang's daughter Caroline, 64, is also being investigated in the case. Earlier this week she stepped down as head of a French film producers' union.
On Tuesday, he told broadcaster BFMTV he had known nothing about Epstein's crimes when he met him "some 15 years ago". The US financier was convicted in Florida in 2008 of soliciting a minor for prostitution.
Lang - who served as culture minister between 1981 and 1993 and later as minister of education - says he was introduced to Epstein by US actor-director Woody Allen.
He said he had found Epstein "passionate about art, culture and cinema".
In a separate interview on Tuesday, he told RTL radio that Epstein had been "generous" and "courteous", adding: "When I meet people I don't ask to see their criminal record."
Details from the f
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