The Holy See yesterday said the investigation into Vatican employee Msgr Nunzio Scarano, arrested two weeks ago on suspicion of involvement in a €40 million money smuggling operation, "could be extended to additional individuals".
Along with Italian secret service agent Giovanni Zito and financial broker Giovanni Carenzio, Msgr Scarano is suspected of using the Vatican bank, IOR, and the Vatican City state organisation, APSA, to move sums of money.
The extension of the investigation looks like another step in the process of curia reform initiated by Pope Francis. It comes a day after the Holy See revealed that it had overhauled the penal code governing the affairs of Vatican City. Penalties for child sex abuse and for information leaking have been toughened.