The Council of Europe’s anti-money laundering and counter terrorist financing body (MONEYVAL) today published the third progress report of the Holy See/Vatican City State. The report evaluates the Holy See’s compliance with the recommendations made by MONEYVAL in its Mutual Evaluation Report in July 2012 and developments since the last progress report submitted in December 2015.
MONEYVAL recognised that – judging from a desk-based review – the Financial Information Authority (AIF) seemed to be working efficiently as both a financial intelligence unit and as supervisor of the one financial entity in the Holy See. In the past two years, the Holy See has established a functioning reporting system. Both the AIF and the judicial authorities have sought and were responding to international cooperation requests in their work.
MONEYVAL noted that the Holy See had still not brought a money laundering case to court. While considerable amounts of money continued to be frozen, no criminal case had yet produced a confiscation order. MONEYVAL recommended the Holy See to assure that the money laundering aspects of all outstanding investigations in financial crime cases are proactively pursued. In this regard, the Committee noted that the overall effectiveness of the Holy See’s engagement with combatting money laundering depends on the results that are achieved by the prosecution and the courts.