Close ally quits in fresh blow to Silvio

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An Italian minister resigned in the middle of an embezzlement trial on Monday, dealing a fresh blow to Prime Minister Silvio Berlusconi as he faces one of the most difficult periods of his two-year premiership.
The resignation of Aldo Brancher, a former executive in Mr Berlusconi’s Fininvest media empire who was unexpectedly named as “minister for federalism” in June, was announced in a Milan court at a hearing over embezzlement in a bank takeover.
“I am announcing my irrevocable decision to resign as government minister,” Mr Brancher said, adding that he wished to avoid the case being “instrumentalised” by opponents of the government. His departure comes at a time when Mr Berlusconi is struggling with slumping popularity, open conflict with partners in his centre-right coalition and broad opposition to a $33.54 billion austerity package intended to shore up Italy’s creaking public finances.
Mr Berlusconi expressed support for Mr Brancher but said in a statement that he accepted the resignation, which he said had been offered to avoid “unfair controversy”.
Mr Brancher’s departure, which follows the resignation in May of industry minister Claudio Scajola over a shady real estate deal, follows a storm of criticism over his sudden appointment on June 18 and his subsequent claim for immunity from prosecution because of his new job.

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