Vatican publishes regulations on the awarding of public contracts

Vatican City, Dec 17, 2019 / 10:02 am (CNA).- For more than a year, CNA has been following a Vatican financial scandal involving a bankrupt Italian hospital, a potentially illicit loan from the Vatican’s central bank, and a controversial grant request to an American charitable foundation.

The financial scandal is one of several unfolding at the Vatican, and covered by CNA. Having trouble keeping them straight? You’re not alone. This is the first in a series of CNA explainers, designed to help you keep track of the money trails in and out of the Vatican.

Here’s the IDI scandal in a nutshell:

In 2012, an Italian hospital, owned by a religious order, went bankrupt, because its administrators had run up large debts while embezzling millions of dollars. The Vatican Secretariat of State then created a for-proft partnership with the religious order that had owned the hospital. The partnership agreed to purchase the hospital. To do so, it received – through a complex series of transactions – 50 million euro, through a loan from the Vatican central bank, APSA, despite the fact that APSA had agreed with European banking regulators not to make commercial loans.

In an attempt to take the loan off APSA’s books, officials in the Secretariat of State then asked the Papal Foundation, a U.S.-based charitable foundation, for a $25 million grant, which they reportedly requested under misleading or ambiguous pretenses. The grant was approved, but subsequent questions from board members ultimately led to controversy and opposition. The Vatican’s secretary of state, Cardinal Pietro Parolin, has said he organized the loan and the grant.

Here are the major figures and developments in the ongoing story of the IDI hospital:
 
IDI hospital – The Istituto Dermopatico dell’Immacolata (IDI), an Italian dermatological hospital. After a series of embezzlement scandals drove the hospital into bankruptcy, it was purchased by a for-profit partnership created between the Vatican’s Secretariat of State and the religious order that had owned and managed the hospital.
 
IOR – The Vatican’s commercial bank, also known as the Institute for Religious Works, or the Vatican Bank. In 2015, the IOR rejected a request for a 50 million euro loan to a for-profit partnership created between the Vatican Secretariat of State and a religious order with the intention of purchasing the bankrupt IDI hospital. IOR board members determined that the hospital would never be able to repay the loan.
 
APSA – The Vatican’s central bank, similar to a federal reserve. Under 2012 European regulatory agreements, APSA cannot make commercial loans. However, after the IOR in 2015 rejected a 50 million euro loan request to purchase the bankrupt IDI hospital, APSA approved the loan, raising questions of whether it violated European regulations in doing so. Officials with the Vatican Secretary of State then asked the U.S.-based Papal Foundation for a grant to help remove the loan from APSA’s books. That grant fell through, and APSA has now reportedly written off most of the loan.
 
Papal Foundation – A U.S.-based group that gives grants to causes endorsed by the pope, often in developing nations and typically of $300,000 or less. The Papal Foundation was asked in June 2017 for a $25 million grant to help with a temporary cash shortage at the IDI hospital. The funding was initially approved, with cardinal board members who supported the grant outnumbering lay board members who opposed it. However, some lay board members continued to object to the grant, questioning whether it was actually intended to cover the bad APSA loan. Amid increased scrutiny, the grant collapsed. $13 million of the grant has already been paid, which the Vatican Secretary of State now says is being treated as a loan that will be repaid through discounts against future grant requests.
 
Cardinal Angelo Becciu – Formerly the number two official at the Vatican Secretariat of State. Multiple Vatican sources have told CNA that Becciu, along with Cardinal Giuseppe Versaldi, was key in organizing the effort to acquire the IDI hospital and to pressure the Papal Foundation into approving a $25 million grant to help offset the potentially illicit APSA loan, removing it from the books. Becciu denies any involvement, saying he had lost interest in the project by the time of the Papal Foundation grant.
 
Cardinal Pietro Parolin – Vatican Secretary of State. Parolin told CNA that he was responsible for arranging the 2014 loan of 50 million euros from APSA, the Vatican’s central bank, to partially fund the purchase of the bankrupt IDI hospital. He said the arrangement was “carried out with fair intentions and honest means,” although the loan appears to violate 2012 regulations prohibiting APSA from making commercial loans. He also said that he had devised a plan, along with Cardinal Donald Wuerl, to ask the U.S.-based Papal Foundation for the money to cover APSA’s bad loan.
 
Theodore McCarrick – Former cardinal who has now been laicized for sexually abusing minors. McCarrick met with the secretary of APSA in July 2017. He later pressured lay board members of the Papal Foundation to support the grant, suggesting that questioning the Vatican funding request was inappropriate and would challenge the integrity of the foundation itself.

Cardinal George Pell – Former head of the Prefecture for the Economy, charged with overseeing the Vatican’s financial accountability. In this role, Pell reportedly objected to the APSA loan to buy the IDI hospital. After lobbying from Becciu, Pope Francis withdrew oversight authority of APSA from Pell’s office in 2015. Pell is currently in prison in Australia, convicted on controversial sex abuse charges, which he is appealing.

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Milan, Italy, Mar 25, 2017 / 01:27 pm (CNA/EWTN News).- In last meeting during his day trip to Milan, Pope Francis issued a harsh criticism of bullying in schools, asking youth to promise him and Jesus to never bully others, and telling teachers to be aware of the problem.

“There is an ugly phenomenon in education today: bullying. Please, be aware,” the Pope said during a March 25 encounter with youth in Milan.

He responded to a question posed by a catechist asking how to foster an open dialogue between educators, students and their parents. Among other points, he told teachers to watch out for bullying before addressing the youth about it themselves.

“I ask you, in silence: in your schools, in your neighborhoods, is there someone that you mock? That you make fun of because they look a little funny, because they are a little fat? That you like to embarrass and hit because of this?” the Pope asked.

“Think about this. This is called bullying,” he said, and asked the youth – many of whom will receive the sacrament of Confirmation this year – to use their Confirmation to “make the promise to the Lord to never do this” and to pray that it doesn’t happen in their schools, neighborhoods or parishes.

“Understood? Promise me: never, never make fun of, never mock a friend, a neighbor, etc. Do you promise this?” he said. Not satisfied with the strength of their answer, he again asked the youth the same question, which was then met with a roaring “yes”.

“Think in silence if you do this and if you are able to promise this to Jesus. Promise Jesus to never bully.”

Pope Francis spoke to a stadium filled with youth at the end of his March 25 daytrip to Milan.

The pope started his trip visiting the city’s impoverished “White Houses” complex greeting several of the families who live there, including a Muslim family.

He then headed directly to Milan’s cathedral where he met with the priests and religious before praying the Angelus and eating lunch with inmates at the city’s Casa Circondariale di San Vittore prison.

After lunch, he celebrated Mass at Milan’s Parco di Monza for the Feast of the Annunciation, traveling by car after to the Meazza-San Siro Stadium where he met with some 78,000 people, including catechists, volunteers and many of the 45,000 youth who have either received the Sacrament of Confirmation in 2017 or will receive it, along with their parents and family members.

After scripture readings and a series of performances by the youth, Francis responded to three of their questions, one of which was posed by a boy named Davide, one by a couple with three children and one by the catechist.

In his response to Davide’s question about what helped him to grow in friendship with Jesus when he himself was young, the Pope said it came down to three main things: his grandparents, playing with his friends and participating in groups at this parish.

Francis recalled how one grandfather had told him to “never go to bed without saying something to Jesus; tell him goodnight.” This reinforcement combined with the prayers he learned from his grandmothers and his mother helped reinforce the faith, he said.

“Grandparents have the wisdom of life, and with that wisdom they teach us to grow closer to Jesus,” he said, urging the youth to talk to their grandparents, “ask them whatever questions you want. Listen to what they say.”

Playing with friends also helps, he said, because in knowing how to play well with others, “without insulting each other,” you learn “to respect others, you learn to make a team, to work together, and this unites us to Jesus. So play with your friends!”

Parish life is also crucial, he said, and jestingly encouraged the youth to have the same excitement about Mass as they do about their groups and activities.

When answering the couple’s question on how they can transmit the beauty of the faith to their children without sounding boring, annoying or authoritarian, Pope Francis advised them to think of who helped them to grow in the faith.

He asked the stadium to take a moment and ponder the answer in silence, explaining that an important figure for him was the priest who baptized him and who was then present throughout his life until he entered the novitiate with the Jesuits.

“I never, never forget that priest. He was an apostle of the confessional; merciful, good, a hard worker. And so he helped me to grow,” the Pope said, explaining that he asked for this reflection because “our children watch us constantly; even when we are not aware.”

On this point, as he often has in the past, Francis warned against the damage it can do to children when they see their parents fight.

“You don’t understand the suffering a child experiences when they see their parents fight, they suffer. And when their parents separate, they pay the price,” he said, explaining that when parents bring a child into the world, “you must be aware of this.”

“We take responsibility to help this child grow in the faith,” he said, and suggested that the couple reach Chapters 1 and 4 of his post-synodal apostolic exhortation Amoris Laetitia, a fruit of the 2014 and 2015 Synod of Bishops on the Family.

Dedicated to love in marriage and in the family, the Pope told them the chapters, particularly the first, would be helpful, and told them to never forget that “when you fight, children suffer and they don’t grow in the faith.”

He also stressed the importance of playing with their children and practicing the works of mercy together, which help nourish faith and family life.

Sunday’s are an especially good day to spend together as a family, he said, but noted that for some this is hard to do, since many have to work on weekends in order to provide for their families.

“Parents at this time can’t or have lost the virtue of playing with their children,” he said, explaining that whenever when he hears a parent complaining about their children’s behavior, he often asks if they take time to just sit and play with their children.

Many parents “don’t know how to respond,” he said, recalling how he once spoke with a father who only saw his children on the weekends, since he left for work while they were still asleep and came back after they were already in bed.

“It’s this life that takes your humanity,” he said, and told parents to “play with your children, and transmit the faith.”

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Vatican City, Oct 5, 2017 / 04:49 am (CNA/EWTN News).- As the Chaldean Catholic Church begins their annual synod, Pope Francis kicked the meeting off by telling leaders of the eastern rite that given the new apprehensions arising from increasing political instability, they must urgently work to promote unity at all levels of society.

“If in fact a tragic page has closed in some regions of your country, it means that there is still much to be done,” the Pope said Oct. 5, urging Chaldean Church leaders in Iraq “to work tirelessly as builders of unity.”

This unity is especially important between pastors of the Chaldean Catholic Church and leaders of other Catholic rites in the area, who should work together in “promoting dialogue and collaboration among all the actors of public life” in helping to facilitate the return of displaced persons and to heal divisions, he said.

Francis stressed that this commitment to unity “is necessary now more than ever in the current Iraqi context, faced with new uncertainties about the future.”

“There is need for a process of national reconciliation and of a joint effort of all the components of society, to reach shared solutions for the good of the whole country,” he said, and voiced his hope that the “strength of spirit, hope and industriousness” characteristic of Iraqi society would never diminish.

He told the Church leaders to “remain firm” in their intention of “not falling into discouragement before the difficulties that still remain despite what has been done in the reconstruction work on the Nineveh Plain.”

Pope Francis spoke to participants in the Synod of the Chaldean Catholic Church, which is taking place from Oct. 4-8 in Rome,and comes on the tails of a recent Aid to the Church in Need conference on rebuilding towns and villages on the Nineveh Plains, during which Patriarch Luis Rafael Sako, Chaldean Patriarch of Baghdad, was a keynote speaker.

In addition to new fears and uncertainties roused by the recent referendum vote to liberate Iraqi Kurdistan from the Iraqi central government, making it an independent state, other talking points in the Chaldean synod will include forced migration, the return of displaced persons, the rebuilding of villages on the Nineveh Plains, Chaldean Church law, liturgical topics and vocational pastoral activities.

In his speech, the Pope said that given Iraq’s roots as a land of “civilization, encounter and dialogue” evangelized by St. Thomas the Apostle, it’s especially important that Christians in the region are united in promoting “respectful relations and interreligious dialogue through all components of society.”

He also encouraged them for a number of new vocations to the priesthood and religious life. However, with a general decline in vocations throughout the Church, Francis also cautioned against “welcoming into seminaries people who are not called by the Lord.”

“It’s necessary to examine well the vocation of youth and to verify their authenticity,” he said, explaining that formation in seminaries must be integral and “capable of including various aspects of life responding in a harmonious way to the four human, spiritual, pastoral and intellectual dimensions.”

The Pope also urged Chaldean Church leaders to work together with the Latin Church to address the diaspora of their faithful throughout the world, with an eye to the local ecclesial contexts in which they live, both from a numerical point of view, and that of religious liberty.

Special attention must be paid, he said, to the pastoral care of faithful in the territories where ancient eastern communities “have long been established,” while also promoting “communion and fraternity with the Latin rite communities in order to give the faithful a good witness without spreading divisions and disagreements.”

The Congregation for Oriental Churches will help in this task, Pope Francis said, and closed his address praying that the Chaldean Synod gathering would be “a fruitful moment of fraternal dialogue and reflection for the good of the beloved Chaldean Church.”

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