The close vote of 260-238 signaled the assembly's unhappiness with the way EU leaders chose Jacques Santer as a compromise after Britain vetoed an earlier candidate.
The narrowness of the balloting could hurt Santer's effectiveness in leading the executive agency, the European Commission, over the next five years. Santer would replace Jacques Delors, whose term will expire in January.
A simple majority of the 567-seat assembly was required to approve his nomination.
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