Vatican funds seized in money laundering probe

Church officials say they're surprised and confused over Italian authorities' allegations.

A CDN$31-million bank account belonging to the Vatican has been suspended by Italian authorities as part of a money laundering investigation in Rome. The bulk of the money was about to be transferred to a bank in Frankfurt, Germany. Reportedly, the church aroused suspicion when it failed to disclose where the money had come from. The same bank, known as the Institute for Religious Works, came under investigation for money laundering in the 1980s for its alleged role in a scandal which culminated in the murder Roberto Calvi, a man known as "God's Banker" because of his close association to the Catholic Church.