Statute of the Supervisory and Financial Information Authority

TITLE I

• The Supervisory and Financial Information Authority (“the Authority”) is an Institution Associated with the Holy See.
• The Authority possesses public canonical legal personality and civil legal personality.
• The Authority has its legal seat in the Vatican City State.

• The Authority, which is guaranteed full autonomy and independence in the performance of its institutional functions, has exclusive competence for:
  • supervision and regulation for the purposes of preventing and countering money laundering, the financing of terrorism and the financing of the proliferation of weapons of mass destruction;
  • financial intelligence, including the receipt of suspicious activity reports, operational analysis, strategic analysis, domestic and international cooperation, and the dissemination of information spontaneously and upon request;
  • prudential supervision and regulation of entities that carry out a financial activity on a professional basis.
• In exercising its regulatory powers, the Authority adopts regulations, instructions and guidelines.
• The Authority provides support to other public authorities of the Holy See and the Vatican City State in the prevention and countering of money laundering, the financing of terrorism and the financing of the proliferation of weapons of mass destruction, as well as the relevant predicate offences.
• The Authority may act as an alternative dispute resolution body for disputes that may arise between customers and entities that carry out a financial activity on a professional basis concerning financial transactions and services.
• In the cases provided for by law, the Authority imposes administrative sanctions or proposes to the President of the Governorate of the Vatican City State the imposition of administrative sanctions.

• The Authority shall submit an annual report on its activities to the Council for the Economy, with a copy to the President of the Financial Security Committee.
• The Council for the Economy may request periodic reports from the Authority on the activities it carries out, whilst respecting its operational autonomy and international standards on confidentiality in the field of supervision and financial intelligence.
• The Authority, in accordance with the applicable accounting rules, shall submit its budget and balance sheet directly to the Council for the Economy for approval.
• The Authority shall publish an annual report on its official website.

• The Authority is provided with resources commensurate with its institutional functions, within the limits set out in the budget.
• The Authority receives its annual operating funding from the Administration of the Patrimony of the Apostolic See, the Governorate of Vatican City State and entities that carry out a financial activity on a professional basis. The Council for the Economy determines the contribution to be made by each.
• The financial resources allocated annually to the Authority are used autonomously, in accordance with sound financial management principles, without the need for further authorisation.
• The Authority may rely on the Administration of the Patrimony of the Apostolic See or the Governorate of the Vatican City State for the procurement, in accordance with current legislation, of goods and services.

TITLE II

• The Authority is governed and represented by a Director, who is responsible for setting policy and coordinate the activities. The Director is assisted by a Deputy Director.
• The Authority is divided into Units which carry out the tasks assigned to them autonomously and with operational independence.
• The Chief Legal Counsel, the administrative services and the IT services support the Authority’s activities.
• The areas of competence, powers and responsibilities of the Director, the Deputy Director, the Units, the Chief Legal Counsel and the Officials assigned to the services supporting the Authority’s activities, as well as the procedures and measures designed to ensure the independence and operational separation of functions, are set out in the Internal Regulation.

• The Director is appointed by the Supreme Pontiff ad quinquennium from among persons of proven integrity, free from conflicts of interest and with recognised expertise in the legal, economic and financial fields and in the areas falling within the Authority’s remit.
• The Director is the legal representative of the Authority.
• The Director:
  • is responsible for the Authority’s operations; plans, directs and supervises its activities, ensuring their effectiveness, efficiency and proper conduct;
  • ensures the separation of the Authority’s functions, as well as the requirements of confidentiality and security;
  • issues regulations, instructions and guidelines in the cases provided for by the legal framework.
• During Vacancy of the Apostolic See, the Director ceases to exercise his functions.
• The Deputy Director is appointed by the Supreme Pontiff ad quinquennium, on the proposal of the Director, from among persons of proven integrity, with no conflicts of interest and recognised expertise in legal, economic and financial matters and in the areas falling within the Authority’s remit.
• The Deputy Director stands in for the Director in the event of the Director’s absence. During Vacancy of the Apostolic See, the conduct of ordinary business or matters that cannot be postponed is entrusted to the Deputy Director.
• The employment relationship of the Director and the Deputy Director shall be governed by the principles and rules laid down in the Regulation for Lay Executive Personnel of the Holy See and the Vatican City State of 22 October 2012, as supplemented and amended.

• The Authority is composed of three Units:
  • the Unit for Supervision and Regulation concerning the prevention and countering of money laundering, the financing of terrorism and the financing of the proliferation of weapons of mass destruction;
  • the Unit for Financial Intelligence;
  • the Unit for Prudential Supervision and Regulation.
• The Units are operationally autonomous and independent in the performance of their duties.

• The Chief Legal Counsel supports the Director and the Units in their respective duties, represents the Authority in court, manages all litigation matters, and handles the legal aspects relating to the exercise of sanctioning powers.
• The Chief Legal Counsel ensures the effective operation of the alternative dispute resolution system for disputes relating to the provision of financial services.
• The Chief Legal Counsel is responsible for fundamental rights in the context of financial intelligence activities.

• The Authority is provided with human resources commensurate with its institutional functions, within the limits set out in the Staffing Plan.
• The Heads of Units, the persons responsible for the Units, the Chief Legal Counsel and Officials shall be selected from among persons of proven integrity, free from conflicts of interest and possessing a significant level of expertise in the legal, economic and financial fields and in the areas falling within the Authority’s remit. Their identification and selection must reflect, as far as possible, the universality of the Catholic Church.
• The recruitment and management of the Authority’s staff fall within the remit of the Director, who may call upon the Holy See’s Human Resources Directorate.

• The Authority may call upon the collaboration of Consultors, selected from among those who are distinguished for their learning, proven ability and prudence. The identification and selection of such Consultors must reflect, as far as possible, the universality of the Catholic Church.
• The Consultors are appointed ad quinquennium by the Supreme Pontiff on the proposal of the Director, through the Secretariat of State.
• The Consultors, who normally provide their services free of charge and to whom matters requiring special study may be entrusted, contribute to the Authority’s activities by offering their opinions, usually in writing. Where deemed necessary, the Consultors – all or some of them, depending on their specific expertise – may be convened as a body to examine particular matters and give their opinion.

TITLE III

• The documents, data and information held by the Authority are:
  • used exclusively for the purposes laid down by the legal framework;
  • protected in order to ensure their security, integrity and confidentiality;
  • covered by official secrecy.
• Documents, data and information relating to the Authority’s functions, with particular regard to those pertaining to financial reporting, may be accessed and used exclusively by staff specifically designated and authorised in accordance with the Internal Regulation.
• The Internal Regulation sets out the levels of access to information, the relevant security measures, and the procedures for sharing and transmitting information, where required by law, via secure channels.
• The Authority is responsible for the safekeeping of its archives, both paper-based and digital, which must be stored in a secure and protected location.

In matters not provided for in these Statutes and the Internal Regulation, reference shall be made to the provisions of canon law and to the legislation in force within the legal system of the Holy See and the Vatican City State, insofar as they are applicable.