BUCHAREST (Reuters) - Romanian anti-corruption prosecutors on Monday named Prime Minister Victor Ponta as a defendant in a criminal inquiry, charging him with forgery, tax evasion and money laundering.
The move intensifies pressure on Ponta, 42, who said on Sunday he was stepping down as leader of his leftist PSD party until the investigation was completed.
But he has repeatedly denied any wrongdoing and called the allegations against him politically motivated, making clear he will not resign as prime minister despite calls from President Klaus Iohannis for him to quit.
The Romanian leu did not react to the news, trading firmer at 4.4320 against the euro as news of a bailout deal revived risk appetite in Central European markets.
The investigation began on June 5 and focuses on Ponta's activities as a lawyer from 2007-2009. He became prime minister in 2012.
"Prosecutors ordered a stepping-up of the penal action against the defendant Ponta, a lawyer at the time of the deeds ... on charges of forgery of documents - 17 counts - accessory to tax evasion... and money laundering," the DNA anti-corruption prosecutors said in a statement.
Romanian television showed Ponta, who returned to Bucharest last week after nearly a month in Turkey for knee surgery, leaving the DNA headquarters on crutches.
He told reporters he would meet prosecutors again in August.
The prosecutors said they had also temporarily seized assets belonging to the prime minister.
(Reporting by Radu Marinas; Editing by Mark Trevelyan)