The speaker of the City Council, Christine Quinn, is facing calls to resign following disclosures that the council hid millions of budget dollars behind fictitious organizations to create a slush fund that could be used for political favors. Charles Barron, a council member of Brooklyn and a longtime critic of Ms. Quinn, said yesterday that the speaker is “an embarrassment and distraction for City Hall.”

“She should step down and allow the investigation to go forward so we can be more focused on the budget,” he said. His call was first reported by a Daily News Web log. The U.S. attorney’s office and the Department of Investigation are examining the council’s finances, though Ms. Quinn has said she is not the target of the investigation. Mayor Bloomberg last week called Ms. Quinn “the most honest woman I know.”

A law enforcement group, 100 Blacks in Law Enforcement Who Care, also called on Ms. Quinn to resign yesterday. A spokesman for Ms. Quinn did not return calls for comment.

Ms. Quinn has said she first learned about the fake groups last fall and that all the money set aside for fictitious organizations on her watch was eventually given to legitimate groups.