Vatican Bank Profits Plunge Following Clean-Up

Tyler Durden's picture




 

It seems not even The Pope's private bank can make money when its only allowed to do it the legal way. As The FT reports, profits at the Vatican bank plunged last year after thousands of accounts were closed as part of an overhaul of the scandal-ridden institution. The Vatican bank, officially known as the Institute for Religious Works (IOR), now has 17,419 customers, down from 18,900 in 2012 and net profit fell from EUR86.6m in 2012 to EUR2.9m last year. So - in sum - accounts fell 8% and profits collapsed 97% - is it any wonder Pope Francis plans to replace the board and all the executives at the 'bank'.

 

Having shut all Embassy accounts to halt money laundering, The FT reports,

Since April 2013 almost 3,000 accounts have been closed and more than 2,000 have been blocked as a result of a screening process of all the accounts held in the troubled bank.

 

George Pell, the Australian cardinal heading the secretariat for the economy at the Vatican, said in a statement: “This is a time of major change in the Holy See . . . we are creating simpler, more efficient structures for those serving the mission of the Catholic Church.”

 

The Vatican bank, officially known as the Institute for Religious Works (IOR), now has 17,419 customers, down from 18,900 in 2012.

 

In only the second annual report to be published, the bank announced net profit fell from €86.6m in 2012 to €2.9m last year.

 

Under the restructuring plan the bank, where decades of corruption and mismanagement did much to tarnish the image of the Vatican, the IOR is expected to be stripped of its powers to manage assets and return to its original purpose of sending funds to missionaries and Church groups around the world.

 

In a statement on Tuesday issued alongside the annual report, the bank blamed the falling profits on a rise in expenses, losses related to proprietary investments in external funds and the fluctuation in the value of gold reserves.

Cleaned-up, fully confessed and flagelated...

“We have focused on making the IOR compliant with financial regulation, safer and more transparent, so as to create options for the Holy Father to decide on the future of the Institute.

"we have laid the groundwork for a new team to make the IOR a truly outstanding service provider in Catholic finance,"

* * *

Perhaps it's time for The Holy See to look into HFT? That's not illegal (yet)

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Tue, 07/08/2014 - 14:47 | 4936313 world_debt_slave
world_debt_slave's picture

Doh!

Tue, 07/08/2014 - 14:56 | 4936369 TeamDepends
TeamDepends's picture

OT:  Whoa!  Check this out over on the left side of Drudge:

Claim:  Residents Asked To Shelter Illegals-- In Their Homes....  Developing....

It's not a link/can't click it as of now.  Anybody heard about this?

Well sure Dictaster Barry, I WANT scabies and lice.  And no, since they are not technically soldiers it is not a violation of the 3rd Amendment.

Tue, 07/08/2014 - 15:04 | 4936383 Pladizow
Pladizow's picture

This is the price for ex-communicating the Mafia and being pedophiles!

Tue, 07/08/2014 - 16:07 | 4936686 Ratscam
Ratscam's picture

yap and many other crimes, see roberto Calvi, Pope John Paul I, read or watch Vatican Inc. by Gian Luigi Nuzzi. Vatican owns roughly 20% of urban Italien real estate. These scums, responsible for millions of dead people in history, will never go bankrupt.

Tue, 07/08/2014 - 16:34 | 4936786 InTheLandOfTheBlind
InTheLandOfTheBlind's picture

dont forget armenians and all those killed in ww2 as well as the spanish inquistion and counter reformation (which is currently spilling across the southern border)

Tue, 07/08/2014 - 19:06 | 4937412 BringOnTheAsteroid
BringOnTheAsteroid's picture

So why do fuck heads still call themselves Catholics. All people have to do is not show up to church anymore and the child abuse and corruption will be eradicated veerrrryyyyyy quickly. People do keep showing up because they are brain washed automatons.

Tue, 07/08/2014 - 14:57 | 4936376 Buckaroo Banzai
Buckaroo Banzai's picture

This is way off topic, but I just found out that Tulving went bankrupt a few months ago. How did I miss this?

http://about.ag/TulvingPostMortem.htm

Tue, 07/08/2014 - 15:09 | 4936422 Its_the_economy...
Its_the_economy_stupid's picture

Boating accident. many creditors damaged.

Tue, 07/08/2014 - 15:28 | 4936515 Duffy Duck
Duffy Duck's picture

off topic, BB? Aren't you one of those poor idiot suckers who thinks the Jesuits secretly run the Fed, the US government, Israel, and they just use the Jewish people we see running the Goldmans and the Fed and Treasury as a front - all without any evidence at all of course...

figured you'd be all over this.

Tue, 07/08/2014 - 16:32 | 4936777 InTheLandOfTheBlind
InTheLandOfTheBlind's picture

spoken like an ill-informed twit....  aint no conspiracy that this papacy is run by the jesuits....  you fuckwads are a dime a dozen

Thu, 07/10/2014 - 23:22 | 4946168 Duffy Duck
Duffy Duck's picture

Did I say that the Pope isn't a Jesuit - you blithering idiot twat?

Careful, I think there's a Lizard Illuminati Annunaki behind you.

 

Gods, you're dumb.

 

Tue, 07/08/2014 - 16:47 | 4936835 Freddie
Freddie's picture

Catholic church taking in illegals but other Protestant denominations also getting into the act. Sickening.

Tue, 07/08/2014 - 14:46 | 4936324 buzzsaw99
buzzsaw99's picture

JEBUS CHRIST ON A CRACKER

Tue, 07/08/2014 - 14:51 | 4936342 GooseShtepping Moron
Tue, 07/08/2014 - 15:14 | 4936448 SheepDog-One
SheepDog-One's picture

Cheezus, SLICED!

Tue, 07/08/2014 - 14:47 | 4936325 pakled
pakled's picture

Religion is as religion does.,..

Tue, 07/08/2014 - 15:14 | 4936446 Lore
Lore's picture

Good Lord. With all their membership, with all that tithing, the best they can come up with is €2.9 Million? The cathedrals are tax exempt. Where in hell (!) does all that money go? What do those cardinals smoke in the Sistine Chapel? Maybe it can be packaged and sold. What about all that Nazi gold, and all the stuff they looted and pillaged from Central America, South America, Africa, Australia, Canada and elsewhere? They would't rehypothecate that, would they? I mean, these are Men of the Cloth, for Heaven's sake. Maybe it's time to do the honest thing and return everything to the rightful owners across the world.

The Vatican has a long, sordid history, written in perversion, atrocity, psychopathy and blood. I hope it goes as bankrupt as the morality of its paedophiles.

Tue, 07/08/2014 - 15:16 | 4936455 SheepDog-One
SheepDog-One's picture

'All their membership'.....last I heard the Vatican was so panicked about their rapidly declining membership they were going back to training priest to do exorcisms.

Tue, 07/08/2014 - 15:31 | 4936503 Lore
Lore's picture

You heard wrong. And more sheeple will flock to religious institutions as the global situation deteriorates.

Catholic Church Membership Statistics (wiki)

Church membership in 2011 was 1.214 billion (17.5% of the world population), an increase from 437 million in 1950 and 654 million in 1970. Since 2010, the rate of increase was 1.5% with a 2.3% increase in Africa and a 0.3% increase in the Americas and Europe. 48.8% of Catholics live in the Americas, 23.5% in Europe, 16.0% in Africa, 10.9% in Asia and 0.8% in Oceania. Catholics represent over half of all Christians.

In 2011, the Church had 413,418 priests. The main growth areas have been Asia and Africa with 39% and 32% increases respectively since 2000, while the numbers were steady in the Americas and dropped by 9% in Europe. In 2006, members of consecrated life totalled 945,210; 743,200 of whom were female...

413,418 priests @ €50K = approx €21 Billion. A very large pot must be stored somewhere. If not Vatican Bank, then where?

Vatican Bank: Historical Allegations (wiki)

Tue, 07/08/2014 - 15:35 | 4936546 SheepDog-One
SheepDog-One's picture

Sorry, I don't believe stats from child molester.

Tue, 07/08/2014 - 15:38 | 4936564 Lore
Lore's picture

Fair point, but I can tell you from observation that the church seems to be thriving in Asia. Poor saps.

Thu, 07/10/2014 - 00:16 | 4942234 IronForge
IronForge's picture

Returned to the Masses who were taken advantage of.

As for the Priests who molest and condone who do, there are plenty of Prison Facilities around the World who would incarcerate Paedophiles.

Tue, 07/08/2014 - 17:59 | 4937096 Greenskeeper_Carl
Greenskeeper_Carl's picture

legal fees, lawyers, and out of court hush-hush settlement money for all the children these sick fuckers have molested and raped. My wife is catholic, and i have sworn my kids will never, under any circumstances, be alone with a member of the catholic clergy. That church is one of the most evil institutions ever on the face of the earth, all the harm they have caused people since their existence, and fucking sheep like her family still give them money, it makes me sick. No way they will actually go bankrupt, although that would make my day. Several of their diocese have gone bankrupt, i think the last one was out in california. Guess why? No one I know would donate money to the legal defense of a child predator, but thats exactly what you are doing when you give any catholic institution money. As an atheist, I think they are all pretty much equally silly and stupid, but the catholic church is outright evil

Tue, 07/08/2014 - 19:00 | 4937383 jez
jez's picture

Lore: wherever it's all gone, I'm sure it's God's will.

Tue, 07/08/2014 - 14:50 | 4936343 disabledvet
disabledvet's picture

Too bad he's not AIG. No problem serving God and mammon there.

"Broadcast live!" no less.

Tue, 07/08/2014 - 14:55 | 4936364 tallen
tallen's picture

It's a shame Jesus won't push up those EBITDA figures.

Tue, 07/08/2014 - 14:55 | 4936366 putaipan
putaipan's picture

no wonder they're trying to cash one of these things .....

http://benjaminfulford.net/wp-content/uploads/2014/06/vatican-6.JPG

wait. wouldn't 14 quadrillion dollars cover the worlds' derivitive exposure?

Tue, 07/08/2014 - 14:58 | 4936371 goldpercent
goldpercent's picture

What am I missing?  That almost seems impressive.  They did something to cleanup corruption and they were willing to lose 97% of their profits in the process.   I am clearly missing something.

Tue, 07/08/2014 - 15:01 | 4936385 Sudden Debt
Sudden Debt's picture

They have the front seat on the "sign from god"

And as the vatican... I believe they are and have the best financial guys and info in the world.
They are money.

Tue, 07/08/2014 - 15:28 | 4936518 WarPony
Tue, 07/08/2014 - 15:24 | 4936495 Renewable Life
Renewable Life's picture

I totally agree, I think that PF knows that when you flush the sewer, alot of shit comes out!  This is a bank after all that has been around for over a 1000 years!  What there doing here is, wealth preservation!  Ill bet you, the next move they are making is, once you get the BS flushed, the corruption and fraud removed, they start buying gold like crazy:)

Tue, 07/08/2014 - 15:37 | 4936550 Clycntct
Clycntct's picture

Yea like I hear angles singing in the background.

They were just waiting till the end of the music

That's why bars in music seem to stop angles song.

Tue, 07/08/2014 - 16:51 | 4936847 css1971
css1971's picture

The catholic church is evil. Has been since the beginning. I'm sure these changes will be designed to make it more evil in the long run.

Tue, 07/08/2014 - 14:57 | 4936375 GoatHerder
GoatHerder's picture

So the Vatican leased their gold hoard to short paper gold. To think I am hurting my precious stack at mass every Sunday by giving my hard earned Fiascos to the poor widows and orphans.

Tue, 07/08/2014 - 23:22 | 4938351 StychoKiller
StychoKiller's picture

Well then, get thee hence and alleviate some suffering: http://www.worldvision.org

Tue, 07/08/2014 - 14:57 | 4936378 Sudden Debt
Sudden Debt's picture

There's a lot of chatter about the 16th juli in the derivatives market.
I'm pretty curious what might happen because all of a sudden the markets start to react on bad news on low volume during the summer....

That's weird if you look to the last few years..

But I do remember a august somewhere in the year 2008 that had the same kind of chatter...

Tue, 07/08/2014 - 15:01 | 4936391 GoatHerder
GoatHerder's picture

V the Gorilla economist has been talking about this lately.

Tue, 07/08/2014 - 15:07 | 4936417 Sudden Debt
Sudden Debt's picture

And the german government and english government is inquiring to the banks about the exposure in derivatives with that specific date.

Tue, 07/08/2014 - 15:29 | 4936525 GoatHerder
GoatHerder's picture

Are they pulling the plug on this shit show? The alternate financial media has always said it will end when the dollar collapses. Maybe it's as simple as it ends when the banksters decide it ends. Why not crash this sucker and blow another bubble as there currently are no heirs to king dollars throne at this time.

Tue, 07/08/2014 - 15:01 | 4936392 Grande Tetons
Grande Tetons's picture

Maybe there is something to that OrangeyMcCunt video afterall. 

Tue, 07/08/2014 - 23:24 | 4938355 StychoKiller
StychoKiller's picture

My bad, I scheduled a car detailing on that date for my wife's b'day present!

Tue, 07/08/2014 - 14:58 | 4936379 astoriajoe
astoriajoe's picture

So that would imply that maybe the other banks have the potential for somewhat lower earnings sans douchebaggery.

Tue, 07/08/2014 - 15:01 | 4936390 SheepDog-One
SheepDog-One's picture

Looks like the Super Adventure Club took their little boy raping club money somewhere else, the heat on the Vatican sponsors was just too much.

Tue, 07/08/2014 - 15:01 | 4936393 samsara
samsara's picture

Little known fact,  Pope Francis was once a Bouncer at an Argentinian Bar.

http://thechive.com/2014/07/08/interesting-facts-from-around-the-web-34-photos/interesting-facts-8-2/

Tue, 07/08/2014 - 15:07 | 4936414 youngman
youngman's picture

You would think they would make billions just counting the change they make every Mass for the offering.......or at least a few million when some church takes out a loan on a new Chalace...ya would think????

Tue, 07/08/2014 - 15:11 | 4936435 SheepDog-One
SheepDog-One's picture

In other Vatican news, they're so panicked about rapidly declining churchgoers that the Vatican is now going back old school and training up exorcist priests, that's a no shitter.

Tue, 07/08/2014 - 15:11 | 4936437 Peter K
Peter K's picture

The more likely scenario is that Francis is just a bad manager.

Just sayin......

Tue, 07/08/2014 - 16:32 | 4936776 Peter Pan
Peter Pan's picture

He might prove to be the Ron Paul of the Catholic Church that the American people didn't have the balls or brains to elect.

Tue, 07/08/2014 - 15:23 | 4936482 WarPony
WarPony's picture

If goldy-boy Peter Sutherland is still around they are certainly still doing g-ds work.

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