The Vatican Court of Appeal rejected former auditor general Libero Milone's appeal regarding his wrongful dismissal lawsuit against the Vatican Secretariat of State. The court upheld the lower court's decision, which dismissed the lawsuit and ordered Milone to pay costs from the initial trial. Milone was appointed as the first auditor general in 2015 and was forced to resign in 2017 by Cardinal Angelo Becciu. Milone claims he was forced out due to discovering corruption within the Roman curia.
12 days ago
The Vatican City Court of Appeal has once again rejected the wrongful dismissal lawsuit filed by former Auditor General Libero Milone against the Secretariat of State 1. This decision, issued on July 22, 2025, reaffirms a lower court's dismissal of the case from the previous year 1. The court also upheld the order for Milone to pay the initial trial costs, amounting to tens of thousands of euros, and mandated that appeal costs be split among all parties 1.
Libero Milone, appointed by Pope Francis in 2015 as the Vatican's first auditor general, was forced to resign in 2017 1. Then-sostituto Cardinal Angelo Becciu accused Milone and his deputy, Ferruccio Panicco, of "spying" on the private financial affairs of senior curial officials, including Becciu himself 1. Milone and Panicco were detained for hours by Vatican gendarmes and allegedly threatened with prosecution if they refused to resign 1.
Milone asserts that his dismissal was a direct consequence of his discovery of "systematic corruption" within the highest echelons of the Roman Curia, claiming his office and computer had been under surveillance for months 1. He specifically stated that he uncovered evidence of cardinals "putting money in their pockets" and engaging in "strange things" 1.
Milone's legal team argued that Italian jurisprudence should apply, holding the institution (Secretariat of State) responsible for illegal actions committed by its officials, even if those officials acted for personal purposes 1. They contended that the Secretariat of State, as the "papal secretariat," bears general liability for events occurring within Vatican City State 1.
However, the appeal judges disagreed, echoing the lower court's reasoning 1. They noted that while Cardinal Becciu's actions to force Milone from office might have been unlawful, Becciu himself was not sued by Milone, nor criminally prosecuted in Vatican City for this specific affair 1. Therefore, the court concluded that additional liability for the Secretariat of State could not be established 1. The judges stated that liability for unlawful actions by employees requires establishing liability against the alleged perpetrators first 1.
Cardinal Becciu, who forced Milone's resignation, was later convicted of corruption and abuse of office in a separate Vatican City court case in December 2023 1. Milone has previously stated that he was fired because he was investigating the type of questionable investments and illicit financial practices that ultimately led to Becciu's indictment and conviction, specifically mentioning the London investment property on Sloane Avenue 1.
Milone and Panicco had filed hundreds of pages of documents intended to prove widespread corruption among senior curial officials and demonstrate they were forced out for uncovering it 1. However, both the lower court and the Court of Appeal excluded these filings as irrelevant to the wrongful dismissal case 1. The appeal judges ruled that the documents contained "general and repeated attribution to persons holding top positions in the Roman Curia of practices that are at least immoral and certainly indecent," which would harm the "good name" of individuals not party to the lawsuit 1.
Following this rejection, Milone's only remaining legal recourse within Vatican City is to petition the city state’s Court of Cassation, the final judicial forum 1. Notably, the Court of Cassation was reformed by Pope Francis in 2023, with the appointment of cardinals without legal backgrounds as judges 1.
Milone has indicated he might consider releasing the excluded files to the public if his lawsuit proves unsuccessful 1. He has also stated that he has been unable to work due to the reputational damage caused by the Vatican's statements about him 1. His former deputy, Ferruccio Panicco, who died from cancer in 2023, had claimed that Vatican officials seized and withheld his personal medical records, delaying his treatment 1.
What constitutes just governance within the Church?
In the Catholic Church, just governance is understood through principles that uphold human dignity, promote the common good, and ensure the participation and flourishing of all members. Key among these principles are subsidiarity and solidarity, which are deeply interconnected and essential for a well-ordered ecclesial life .
Subsidiarity, initially developed within the Church's social doctrine, posits that matters should be handled at the lowest possible level of authority, closest to those directly affected . This principle emphasizes that larger or higher-level institutions should not interfere with or absorb functions that can be effectively carried out by smaller, more local entities .
In the context of Church governance, subsidiarity means:
Solidarity complements subsidiarity, ensuring that the pursuit of individual and local good does not lead to selfishness or neglect of the wider community, especially the most vulnerable . It is a "firm and persevering determination to commit oneself to the common good," recognizing that all are responsible for all .
In Church governance, solidarity implies:
The Catholic Church's social teaching emphasizes the inseparable relationship between subsidiarity and solidarity . They are not opposing principles but rather two sides of the same coin, working together to achieve just governance and the common good . Subsidiarity ensures that decisions are made as close as possible to those affected, respecting their agency and fostering their participation, while solidarity ensures that these localized efforts are integrated into a broader commitment to the well-being of the entire community, preventing isolation or neglect .
Just governance within the Church, therefore, involves a dynamic balance where authority is dispersed to empower local communities and individuals, while simultaneously fostering a deep sense of mutual responsibility and commitment to the universal common good.