The Vatican's new financial authority has appointed as its director
Francesco De Pasquale, the Holy See said in a statement on Monday.
The
watchdog is part of a drive to comply with new European banking
standards amid accusations that the Vatican had been breaching
international norms on money laundering.
The Vatican's Financial Information Authority president Cardinal
Attilio Nicora appointed De Pasquale, who has since 1990 been a member
of the Italian delegation to the inter-governmental body the Financial
Action Task Force on Money Laundering.
The new Vatican financial watchdog was created in late 2010 by new rules signed into law on 30 December by Pope Benedict XVI.
The watchdog will work with the Holy's See's various financial
institutions, including the Vatican Bank (IOR) and oversee their
transactions.
In September 2010, Rome prosecutors put the director of the Vatican
Bank, Ettore Gotti Tedeschi, and his deputy under formal criminal
investigation after receiving a tip-off from the Bank of Italy about
possible money laundering.
The Italian judiciary seized 23 million euros which the Vatican had
deposited at a branch of an Italian commercial bank, reportedly Credito
Artigiano, near Saint Peter's Square, allegedly without properly
identifying either the depositor or the recipient.
The Vatican has repeatedly said a "misunderstanding" has arisen over
the suspect transaction claimed there had been no wrongdoing by its
bank or its employees and sought complete transparency in its financial
operations.
In a letter issued by the Holy See, Benedict said he was approving
the new law to bring the Vatican banking regulations into line with
international efforts to combat money laundering and the financing of
terrorism.