European countries led by Germany and France want Wolfowitz to step down, while support for the embattled president has eroded in Nordic nations and elsewhere, according to bank officials and others close to the situation.

A special bank panel is investigating whether Wolfowitz violated bank rules in his handling of the 2005 promotion of bank employee Shaha Riza to a high-paying State Department job.

The World Bank's 24-member board will decide what action, if any, to take; a decision is expected this week. The board could ask him to resign, signal it does not have confidence in his leadership, reprimand him or take no action.

Critics, including World Bank staff, former bank officials, the European Parliament, aid groups and some Democrats say the controversy has damaged the development institution's reputation and may hobble its ability to fight global poverty. They are pressing Wolfowitz to step down on his own.

Wolfowitz has said he made a mistake, and he has apologized. He plans to make his case before the special panel on Monday.

His attorney, Robert Bennett (news, bio, voting record), said Saturday that Wolfowitz "has no intention of resigning under this cloud." Bennett said that when Wolfowitz personally addresses the special panel on Monday, "We are going to be presenting powerful evidence that Mr. Wolfowitz acted in good faith."

The panel, which is make recommendations to the board, is said to be finalizing its work.

"We have full confidence in Paul Wolfowitz and expect that he will be able to work with the World Bank to resolve these issues," White House spokesman Tony Fratto said Saturday.