Vatican Sentences Former Bank Chief to Prison for Property Embezzlement Scam

A court on Jan. 21 sentenced the former chief of the Vatican bank to nearly nine years in prison for charges of embezzlement, misappropriation of funds, and money laundering.

A court on Jan. 21 sentenced the former chief of the Vatican bank to nearly nine years in prison for charges of embezzlement, misappropriation of funds, and money laundering.

The Vatican court convicted 81-year-old Angelo Caloi of embezzling up to €57 million (US$69 million) in a property sale scheme of an Italian real estate owned by the bank known as Institute of Religious Works (IOR) between 2001 and 2008.

Sentenced to eight years and 11 months in prison, Caloi became the highest-ranking official convicted of a financial crime in Vatican.

The court also convicted Caloi’s 97-year-old lawyer Gabriele Liuzzo and his son Lamberto who are both consultants to the bank.

Gabriele received the same jail sentence as Caloi while the court sentenced Lamberto to five years and two months in prison.

The court also sentenced them with a combined fine of €28,500 (US$34,695).

All three denied any wrongdoings.

How the court sentences would be carried out has not been immediately made clear, including if Caloi and Gabriele would indeed serve their prison time due to their ages.

Furthermore, the court awarded IOR around €23 million (US$28 million) in restitution using the money seized from the Swiss and Vatican bank accounts of the defendants that were frozen while the investigation was ongoing.


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