Rome, Italy (FT.com) -- The Vatican will establish a new authority to combat money laundering as the tiny state seeks the blessing of international regulators who have refused to include it on lists of countries compliant with international norms.
In a papal document to be published on Thursday, the Vatican will promise to adhere to European rules targeting money laundering. The decree, or motu proprio, will apply to all government bodies at the Holy See including the Vatican Bank, also known as the Institute for Religious Works (IOR).
The Vatican's new Financial Information Authority will enforce rules "concerning the prevention of illegal financial activity" and join "the fight against money laundering and terrorism financing", the Holy See said in a statement on Wednesday.
Cardinal Attilio Nicora, head of the body responsible for Church properties and funding, will oversee the new anti-money laundering regime.
The Vatican covets inclusion on lists -- compiled by bodies including the Organisation for Economic Co-operation and Development and the Financial Action Task Force -- of jurisdictions deemed to be compliant with international money laundering norms.
The announcement comes three months after court officials in Rome launched an investigation into the Vatican bank's top two officials -- Ettore Gotti-Tedeschi, chairman, and Paolo Cipriani, director-general -- for suspected breach of anti-money laundering norms. CNN
