Vatican Bank – The Scandal that Wasn't

Ettore Gotti Tedeschi, the president of the Vatican Bank, has strongly denied allegations the bank broke anti-money laundering rules and sees the publicity of the inviestigation into him and the bank as an attack on the institution and the Vatican.

"Since I assumed the presidency of the IOR I have committed my whole self, according to the indications received by the Pope and the Secretary of State, to make every transaction more transparent and in line with international norms against money laundering,” he said in an interview in today's Il Giornale. “For this reason, I feel really humiliated.” He added: “God is always present in everything I do. "

Here's the interview (my translation).

What was your reaction to the news of the investigation of IOR and of yourself?

"Bitterness and humiliation. I do not know what else to say. Together with the Director of the Institute, Paul Cipriani, I am committed to tackling the problems which are now being investigated. We are working to enter the so-called White List, i.e. the list of countries that comply with international anti-money laundering and we hope to do so by December. I have an excellent relationship with the Bank of Italy and there is a continuous exchange of information ...».

Can you explain what happened with the Credito Artigiano and that 20 million directed to JP Morgan Frankfurt?

"Meanwhile, let me clarify that regards a remittance from IOR to IOR: we simply transferred the money to invest in German bonds.

Why were the rules against money laundering not respected?

"We are implementing the rules. Regarding the object of the investigation, there was an error in the procedure implemented with Credito Artigiano. But the operation is very clear, there is nothing hidden or to hide: only a transfer of funds from IOR itself.

The State Secretariat has renewed total confidence ...

"I met Cardinal Bertone, I found him to be very concerned about what happened. I have been invited to remain in my place, also because I'm doing exactly what I was asked to do, that is to make each operation of IOR more transparent. This is the clear desire of my superiors and for this reason I consider what is happening ... almost against nature! A procedural error has been used as an excuse to attack the Institute, its president and, more generally, the Vatican."

Why do you think someone wants to attack you or the Holy See?

"I think that the statement of the Secretariat of State and its sense of amazement shines through. .. [it happened] just when we are working as hard as possible to enforce rules against money laundering. Cardinal Bertone has appointed Cardinal Attilio Nicola, president of the supervisory board inside the Vatican, to monitor the implementation of all provisions for the White List. We are available to provide information, it would have been enough to ask us instead of slapping it on the front page.”