UCA News
Contribute

Italy seeks arrest of broker in Vatican property deal

Gianluigi Torzi served as the middleman in the Vatican's purchase of a London property
Italy seeks arrest of broker in Vatican property deal

Italian police stand guard on April 4 in St. Peter's Square in the Vatican after the pope's Easter Mass and Urbi et Orbi blessing. (Photo: Filippo Monteforte/AFP)

Published: April 14, 2021 06:27 AM GMT
Updated: April 14, 2021 06:31 AM GMT

Italian authorities have issued an arrest warrant for Gianluigi Torzi, an Italian broker who served as the middleman in the Vatican's majority stake purchase of a property in London's posh Chelsea district.

According to court documents, Italy's finance police requested the warrant after an investigation into Torzi and three associates who are suspected of money laundering, fraud and tax violations, the Reuters news agency reported April 12.

Although the charges are related to violations against Italian finance regulations, the charges stemmed from the Vatican's investigation into Torzi.

As of April 13, the warrant had not been served because Torzi is in Britain. The broker's Italian lawyer vowed to file an appeal against the warrant, Reuters reported.

The arrest warrant is the latest chapter in the investigation of the questionable property deal that has been at the center of claims about financial mismanagement at the Vatican.

Vatican police conducted a raid on offices in the Secretariat of State and the Vatican financial oversight office in October 2019. The next day, the Italian magazine L'Espresso published an internal notice as well as leaked documents alleging the raid was part of a Vatican investigation into how the Secretariat of State used $200 million to finance the London property development project.

The judge also criticized what he said were omissions by the Vatican prosecutor

According to the leaked documents, the Vatican Secretariat of State purchased a majority stake in the property in 2018, incurring millions of dollars in debt.

In June, Vatican authorities arrested Torzi, accusing him of extorting $17 million from the Vatican as payment for the majority stake and his role in brokering the deal.

After spending 10 days in a Vatican jail cell, Torzi was granted a conditional release after providing "a detailed memorandum" and documents "deemed useful for the reconstruction of the facts under investigation."

Nevertheless, he still faced Vatican charges of extortion, embezzlement, aggravated fraud and money laundering, and assets from his company Vita Health Limited, the fund used to receive the Vatican's $17 million payment to Torzi, were frozen.

However, a British judge reversed the order to freeze Torzi's assets in March. In his 42-page ruling, Judge Tony Baumgartner said that after considering all matters related to the case, "I do not consider there is reasonable cause to believe that Mr. Torzi has benefited from criminal conduct."

The judge also criticized what he said were omissions by the Vatican prosecutor regarding the accusations against Torzi and said the Vatican's "nondisclosures and misrepresentations are so appalling that" reversing the order to freeze the assets was justified.

Help UCA News to be independent
Dear reader,
Lent is the season during which catechumens make their final preparations to be welcomed into the Church.
Each year during Lent, UCA News presents the stories of people who will join the Church in proclaiming that Jesus Christ is their Lord. The stories of how women and men who will be baptized came to believe in Christ are inspirations for all of us as we prepare to celebrate the Church's chief feast.
Help us with your donations to bring such stories of faith that make a difference in the Church and society.
A small contribution of US$5 will support us continue our mission…
William J. Grimm
Publisher
UCA News
Asian Bishops
Latest News
UCA News Catholic Dioceses in Asia
UCA News Catholic Dioceses in Asia
UCA News Catholic Dioceses in Asia