[Mrs. Don-o]

I am no lawyer, but I do know from news sources that a lot of Vatican financial transactions have been have been investigated by Italy, and indictments, trials and convictions have resulted for Vatican employees.

My guess (and this is only a guess) is that if the institution is physically outside of the State of Vatican City --- that is, operating in Italy --- Italy law apparently has some kind of jurisdiction.

If foreign currencies are involved, I believe international regulators can intervene as well.

I imagine that international financial transactions can spark very complicated jurisdictional disputes.

But what do I know. Any smart FReepers here who know more, who can comment?

[Jim Noble]

I know the Lateran Treaty of 1929 governs relations between the governments of Italy and the Vatican State, and that Italy has certain rights - but I do not know the details.

[G Larry]

Perhaps, but it occurs to me that Italian “oversight” never seemed to slow down the Mafia.