The Fallen 'Right Hand of the Pope'... Vatican Cardinal Sentenced to Heavy Prison Term for Real Estate Corruption

Invested in Real Estate with Offerings Resulting in Massive Losses
Dismissed from All Positions... Prosecuted Alongside Brokers

Cardinal Giovanni Angelo Becciu (75, Italy), who was indicted on charges of embezzling Vatican funds and engaging in corrupt real estate transactions, has been sentenced to a heavy prison term by the court.

According to foreign media reports, the Vatican court on the 16th (local time) found Cardinal Becciu guilty of a significant number of charges including embezzlement, abuse of power, and subornation of perjury, sentencing him to 5 years and 6 months in prison.

The main charges against Cardinal Becciu relate to corruption linked to a failed investment in luxury real estate in London, UK. Between 2014 and 2018, the Holy See invested a total of 350 million euros (approximately 494.7 billion KRW) to purchase and manage luxury buildings in the Chelsea area, a wealthy district of London, but sold the property last year after incurring losses exceeding 140 million euros (approximately 197.9 billion KRW).

Cardinal Giovanni Angelo Becciu
Photo by AFP Yonhap News

There were criticisms that the Holy See, led by the Secretariat of State, had recklessly invested in real estate that was not initially highly valued. The timing of the Vatican’s investment in London real estate coincided with Cardinal Becciu’s tenure as Substitute for General Affairs of the Secretariat of State. Cardinal Becciu served as Substitute for General Affairs from 2011 to 2018 and as Prefect of the Congregation for the Causes of Saints from 2018 to 2020.

This case brought to light the chronic problem of opaque financial management within the Holy See. Particularly, there was widespread criticism both inside and outside the Church because the “Peter’s Pence” funds, which are collected from the faithful and used to support the poor, were used as the investment capital. Furthermore, the media reported that unusually large commissions were paid to real estate brokers, causing a significant scandal.

In response, the Secretariat of State cooperated with financial supervisory authorities in the United Arab Emirates (UAE), the United Kingdom, Jersey Island (known as a tax haven), Luxembourg, Slovenia, and Switzerland to conduct a wide-ranging investigation. In September 2021, they announced that they had uncovered a vast network of market manipulators who caused significant losses to the Vatican’s finances, including funds intended for the Pope’s personal charitable projects.

In July 2021, the Vatican prosecutor indicted Cardinal Becciu, recognizing his involvement in the investment corruption. Nine other suspects, including real estate brokers, were also charged. Once considered one of the most powerful figures in the Vatican and even a potential future pope, Cardinal Becciu resigned from all his positions. He was known as Pope Francis’s right-hand man and is the highest-ranking official to be tried in a Vatican court since modern times.

The view of St. Peter's Basilica in the Vatican [Image source=Pixabay]

In July, the Vatican prosecutor requested a sentence of 7 years and 3 months for Cardinal Becciu, along with the confiscation of assets worth 14 million euros (approximately 1.98 billion KRW), a lifetime ban from holding public office, and a fine exceeding 10,000 euros (approximately 14.13 million KRW).

Meanwhile, ahead of the trial, the Holy See unprecedentedly disclosed detailed records of its real estate investments in Italy and abroad. The Holy See owns a total of 5,171 properties, including 4,051 in Italy and 1,120 in London, UK; Paris, France; Geneva and Lausanne, Switzerland.

According to the Apostolic See’s Administration of the Patrimony of the Apostolic See (APSA), 92% of the Italian properties are concentrated in Rome and its surroundings, which encompass Vatican City, and about 86% are used as Vatican offices or residences for priests and laypeople working for the Holy See. Many properties also serve public functions such as monasteries, hospitals, and schools. Foreign media, however, reported that “most overseas real estate is primarily investment-oriented.”

This content was produced with the assistance of AI translation services.