Loading
Analysis
Despite setbacks, Vatican Bank undergoing important evolution
By Andrea Gagliarducci
Rene Brulhart, Director of the Vatican Financial Information Authority, speaks to the press about the Vatican's finances on May 22, 2013. Credit: Estefania Aguirre/CNA.
Rene Brulhart, Director of the Vatican Financial Information Authority, speaks to the press about the Vatican's finances on May 22, 2013. Credit: Estefania Aguirre/CNA.

.- News that Vatican Financial Intelligence Authority (AIF) has been admitted to a global network of financial oversight agencies proves that the Vatican is threading an international and multilateral path to adhere to international standards.

It “represents a recognition of the Holy See/Vatican City State’s systematic efforts in tracking and fighting money laundering and financing of terrorism,” said René Bruelhart, director of the Authority of Financial Information, in a July 3 statement.

The news of admission to the Egmont Group, an umbrella organization for 130 Financial Intelligence Units, became official just days after the unexpected resignations of the Vatican bank's general director Paolo Cipriani and his deputy Massimo Tulli, who stepped down on July 1.

Cipriani and Tulli’s sudden exit came on the heels of the recent arrest of Msgr. Nunzio Scarano, an employee of the Administration of the Patrimony of the Apostolic See. He allegedly used his account at the Institute for Religious Works, the so-called “Vatican bank,” for money laundering.

In a broader perspective, the recent facts signal that the reform that began under Benedict XVI and continues under Pope Francis' watch is gaining momentum.

In Dec. 2009, as part of a monetary agreement with the European Union, the Vatican agreed to implement an anti-money laundering law within one year.

Despite setbacks, like the Sep. 2010 seizure of 23 million euro being transferred between Institute accounts with Italian banks, the line of reform has advanced.

Then-bank president Ettore Gotti Tedeschi, together with Cipriani, was questioned by the public prosecutor in Rome about the suspect movements. Though their clarifications were not deemed satisfactory, the money was eventually freed when the anti-money laundering law came into effect on March 15 of the following year.

Then, on May 24, 2012, Gotti Tedeschi received a “no confidence” vote by the Governing Board of the Institute for Religious Works citing nine reasons including “failure to carry out basic duties incumbent upon the President.”

The investigation continued and led to Cipriani and Tulli’s resignations along with the arrest of Msgr. Scarano.

In the meantime, the Vatican’s anti-money laundering law has undergone a major revision.

After its Nov. 2011 on-site visit, the committee of Council of Europe evaluators known as MONEYVAL criticized the Vatican law, which was tied to Italian anti-money laundering law, and asked for a revision. The organization evaluates the adherence of member States to international anti-money laundering standards.

The revised law has since met international standards, but at the same time proved that any special relationship that may have existed between Italy and the Holy See has now come to an end.

In retrospect, the 2012 vote of “no confidence” could be considered the first in a series of actions that mark a new era for the Vatican Bank. The comprehensive reform that was first requested by MONEYVAL in a July 2012 report is giving it structure.
         
Meanwhile, inclusion in the Egmont Group will go down as another milestone in combating money laundering and terrorism financing for the Vatican. According to the July 4 press bulletin from the Holy See, it “marks a further step in its contribution to this global effort.”

 


 

Tags: Vatican Bank, Vatican Finances


Ads by AdsLiveMedia(What's this?)

* The number of messages that can be online is limited. CNA reserves the right to edit messages for content and tone. Comments and opinions expressed by users do not necessarily reflect the opinions or beliefs of CNA. CNA will not publish comments with abusive language, insults or links to other pages

RESOURCES »

Ads by Google (What's this?)

Featured Videos

Pope Francis celebrates the closing Mass and announces site of next World Youth Day
Pope Francis celebrates the closing Mass and announces site of next World Youth Day
Pope Francis visits poor neighborhood and meets with young people from Argentina
Pope Francis celebrates Mass at the National Shrine of Our Lady of Aparecida
Denver rally draws hundreds in support of religious freedom
Pope Francis prays over a sick man in St Peter's Square
Denver women's clinic will offer natural, Catholic care
Interview Clips: Barbara Nicolosi speaks to CNA
US Cardinals press conference at North American College
Pope Benedict to retire to monastery inside Vatican City
Pope cites waning strength as reason for resignation
Hundreds convene in Denver to urge respect for life
New Orange bishop encourages Catholic unity in diversity
Chinese pro-life activist calls for reform, international attention
At Lincoln installation, Bishop Conley says holiness is success
Mother Cabrini shrine reopens in Chicago after a decade
Ordination of 33 deacons fills St. Peter's with joy
Cardinal says "Charity is the mother of all the virtues"
Augustine Institute expands evangelization effort with new campus
Bishops recall 'Way of St. James' as chance to trust in God
Los Angeles cathedral's newest chapel houses Guadalupe relic
Apr
25

Liturgical Calendar

April 25, 2014

Friday within the Octave of Easter

All readings:
Today »
This year »

Catholic Daily

Gospel of the Day

Jn 21:1-14

Gospel
Date
04/25/14
04/24/14
04/23/14

Daily Readings


Saint of the Day

St. Mark, the Evangelist »

Saint
Date
04/24/14

Homily of the Day

Jn 21:1-14

Homily
Date
04/25/14
04/24/14
04/23/14

Ads by AdsLiveMedia.com

Ads by AdsLiveMedia.com
     HTML
Text only
Headlines
  

Follow us: