The bishop of a small Chaldean Catholic community in California has resigned and pleaded not guilty to embezzlement and money laundering after prosecutors said he took more than $270,000 from his parish.
Pope Leo XIV announced Bishop Emanuel Shaleta's resignation on Tuesday. Shaleta was arrested last week at San Diego International Airport while trying to leave the country, according to the San Diego County Sheriff's Office.
Prosecutor Joel Madero said Shaleta is accused of embezzling from St. Peter Chaldean Catholic Cathedral in El Cajon, east of San Diego. But Shaleta's defense attorney says those allegations are false.
Here's what to know:
Shaleta, 69, was born in Faysh Kahbur, a small town in Iraq near the Tigris River and the Syrian border, according to a biography on the St. Paul Assyrian Chaldean Catholic Church website. He entered seminary at age 15, training for the priesthood at St. John Minor Seminary near Mosul and Pontifical Urbaniana University in Rome. He was ordained by Pope John Paul II in 1984.
After receiving his doctorate in biblical theology, he was transferred to the United States, serving in Illinois, Michigan and California until 2015 when Pope Francis appointed him the bishop of the Eparchy of Mar Addai of Toronto of the Chaldeans in Canada.
Francis appointed him the Bishop of Saint Peter Apostle of San Diego of the Chaldeans in 2017.
Madero, the prosecutor, said the embezzlement allegations are connected to monthly rental payments of more than $30,000 from a tenant of the church’s social hall, and that there were discrepancies in the church’s financial accounts.
A court document with details of the allegations has been sealed. But the San Diego District Attorney’s office says Shaleta has been charged with 16 felonies, including eight counts of embezzlement and eight counts of money laundering.
Shaleta has pleaded not guilty.
During a recent Mass, Shaleta said he has never “abused any penny of the church money.”
Shaleta faces up to 15 years in prison if convicted on all charges, the district attorney’s office said. A preliminary hearing is scheduled for April 27.
The Chaldean Church released a formal statement, saying that the Vatican was investigating the matter and that “all perspectives are being taken seriously and require careful review, proper documentation, and time so that the truth may be fully and fairly discerned.”
The priests of the Chaldean Catholic Eparchy of St. Peter the Apostle released a statement in solidarity with Shaleta and asked for prayers for the church.
There are several branches of the Catholic Church that recognize the pope. That means they may have their own customs and rules, but they agree on the same church teachings. It also means the pope may appoint branch leaders and approve resignations.
The largest branch is commonly known as the Roman Catholic Church, and it is sometimes also called the Latin or Western Catholic church. There are also 23 Eastern branches of the church, including the Chaldean branch, that are in communion with the pope.
The Chaldean Catholic Church represents more than a million Aramaic-speaking Christians. The church traces its founding to the Apostle Thomas in the region that is now Iraq. Today, the headquarters — or Patriarchate — of the Chaldean church remains in Baghdad, Iraq.
The Chaldean Community Foundation estimates that the Chaldean and Assyrian branches together have roughly half a million members in the U.S., primarily in Arizona, California and Illinois.
The Vatican said in its daily bulletin Tuesday that Pope Leo XIV had accepted Shaleta’s resignation under the code of canon law for Eastern Rite churches, which allows for the pope to agree if a bishop asks to step down.
Leo actually accepted Shaleta’s resignation in February, but appears to have waited to announce the decision to avoid interfering with the police investigation. Leo named Bishop Saad Hanna Sirop as a temporary administrator.
The head of the Chaldean church, Cardinal Louis Raphael Sako, retired on March 9, and Leo announced the retirement at the same time as Shaleta's resignation.
It's not clear if the two departures are connected.
Sako, 76, said that he first discussed retiring with Pope Francis in 2024, but Francis encouraged him to remain. Sako said he asked Leo to retire again on Tuesday and Leo agreed.
Sako said he freely offered his resignation and was leaving "of my own will” to pursue prayer, writing and simple service. He had occasionally clashed with Iraq's political leaders, and his retirement comes as the U.S.-Israeli war in Iran has spilled into Iraq and other neighboring countries.
Before retiring, Sako wrote a letter to parishioners in the San Diego region, urging them to seek unity and “a compassionate, faithful heart, far from the spirit of revenge” during an "exceptionally painful situation.”
The St. Peter Chaldean Catholic Cathedral is seen Tuesday, March 10, 2026, in El Cajon, Calif. (AP Photo/Gregory Bull)
DUBAI, United Arab Emirates (AP) — Iran attacked commercial ships on Wednesday across the Persian Gulf and targeted Dubai International Airport, escalating a campaign of squeezing the oil-rich region as global energy concerns mounted and American and Israeli airstrikes pounded the Islamic Republic.
Two Iranian drones hit near Dubai International Airport, home to the long-haul carrier Emirates and the world’s busiest for international travel. Four people were wounded but flights continued, the Dubai Media Office said.
Iran's joint military command announced it would start targeting banks and financial institutions in the Middle East. That would put at risk particularly Dubai, in the United Arab Emirates, which is home to many international financial institutions, as well as Saudi Arabia and the island kingdom of Bahrain.
Earlier, a projectile hit a Thai cargo ship off the coast of Oman in the Strait of Hormuz, setting it ablaze. Authorities are searching for three missing crew members from the Mayuree Naree after 20 were rescued by the Omani navy, according to Thailand’s Marine Department.
Kuwait said its defenses downed eight Iranian drones and Saudi Arabia said it intercepted five heading toward the kingdom’s Shaybah oil field.
Iran has effectively stopped cargo traffic in the narrow strait through which about a fifth of all oil is shipped. It has also targeted oil fields and refineries in Gulf Arab nations, aiming at generating enough global economic pain to pressure the United States and Israel to end their strikes.
The U.N. Security Council was to vote later Wednesday on a resolution sponsored by the Gulf Cooperation Council demanding Iran stop attacking its Arab neighbors.
Witnesses reported continuous airstrikes hitting Tehran after Israel said it had renewed its attacks. Explosions were also heard in Beirut and in southern Lebanon after Israel said it was hitting targets connected to Iran-backed Hezbollah militants.
The attacks set a building ablaze in central Beirut’s densely populated Aicha Bakkar area, engulfing the top two floors. Lebanon’s Health Ministry said four people were wounded.
Other Israeli strikes on southern and eastern Lebanon killed 14 people, and a Red Cross worker also died Wednesday of wounds sustained Monday, when his team was hit by an Israeli strike while they were rescuing people from an earlier attack.
Lebanon's Health Ministry said Wednesday that 570 people have been killed in the country since that latest fighting began. Hezbollah fired rockets at Israel after the United States and Israel began the wider war with their surprise bombardment of Iran.
Israel warned of Iranian attacks and sirens rang out in Tel Aviv and elsewhere, but there were no immediate reports of casualties.
Saudi Arabia said it had destroyed six ballistic missiles launched toward Prince Sultan Air Base, a major U.S.- and Saudi-operated facility, and intercepted two drones over the eastern city of Hafar al-Batin.
The United Kingdom Maritime Trade Operations center, run by the British military, reported an attack on a container ship off the United Arab Emirates, saying the “extent of the damage is currently unknown but under investigation by the crew.” Another ship was hit by a projectile in the Persian Gulf, it said. The crew was reported safe.
The ship attacks follow intense American airstrikes targeting Iranian navy assets and the port city of Bandar Abbas on Tuesday.
The Iranian threat against financial institutions did not identify any specifically. It came after a Tehran location of Bank Sepah, the state-owned financial institution sanctioned by the U.S. over funding its armed forces, came under attack early Wednesday, killing staffers there, the state-run IRNA news agency reported.
At the United Nations, the Security Council was to vote Wednesday afternoon on the Gulf Cooperation Council resolution, according to three diplomats speaking on condition of anonymity ahead of an official announcement.
The draft resolution, obtained by The Associated Press, condemns Iran’s attacks on Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, the UAE and Jordan. The measure calls for an immediate end to all strikes and threats against neighboring states, including through proxies.
It would be the first Security Council resolution considered since the start of the war on Feb. 28.
Oil prices remained well below Monday's peaks but the price of Brent crude, the international standard, was still up some 20% Wednesday from when the war began, and consumers around the world are already feeling the pain at the pump.
Germany and Austria said they are releasing parts of their oil reserves following an International Energy Agency request for its members to release 400 million barrels to help temper energy price spikes.
The largest-ever previous collective release of emergency stocks by IEA member countries was 182.7 million barrels, in the wake of Russia’s full-scale invasion of Ukraine in 2022.
Japan also said it will release some of its reserves starting Monday.
The U.S. military said Tuesday it had destroyed 16 Iranian minelayers near the Strait of Hormuz, though U.S. President Donald Trump said in social media posts that there were no reports yet of Iran mining the passage.
If the strait is mined, it could take at least weeks to clean it up once the conflict is over.
Some tankers, believed linked to Iran, are continuing to get through the strait making so-called “dark” transits -- meaning they aren’t turning on their Automatic Identification System trackers, which show where vessels are. Vessels carrying sanctioned Iranian crude often turn off their AIS trackers.
The security firm Neptune P2P Group said Wednesday there had been seven ships pass through the strait since March 8. Of them, five were linked to Iranian-associated shipping, it said. In ordinary times the strait typically sees 100 ships or more transit daily from the Persian Gulf into the Gulf of Oman.
Meanwhile, the commodity-tracking firm Kpler said Iran has restarted crude exports through its Jask oil terminal on the Gulf of Oman. A tanker loaded roughly 2 million barrels at Jask on March 7, it said.
Concerns are growing over the health of Iran’s new Supreme Leader Ayatollah Mojtaba Khamenei after comments about him “being injured.”
The 56-year-old Khamenei — the son of the late Supreme Leader Ayatollah Ali Khamenei — has not been seen since becoming supreme leader on Monday. His father and wife both were killed in an Israeli airstrike on the first day of the conflict.
In addition to the 570 killed in Lebanon, Iran has said that more than 1,300 people have been killed there and Israel has reported 12 people dead.
The U.S. has lost seven soldiers while another eight have suffered severe injuries.
Magdy reported from Cairo, and Rising from Bangkok. Associated Press writers Sally Abou AIJoud in Beirut, Giovanna Dell’Orto in Miami, Jamey Keaten in Geneva, Jintamas Saksornchai in Bangkok, Kirsten Grieshaber in Berlin and Edith M. Lederer at the United Nations contributed to this story.
A man holds a picture of late Defense Minister Aziz Nasirzadeh beside his coffin as mourners attend the funeral procession for senior Iranian military officials and civilians killed during the U.S.-Israel campaign in Tehran, Iran, Wednesday, March 11, 2026. (AP Photo/Vahid Salemi)
A mourner holds a poster depicting Ayatollah Mojtaba Khamenei, right, the successor to his late father Ayatollah Ali Khamenei, left, as supreme leader, during the funeral procession for senior Iranian military officials and civilians killed during the U.S.-Israel campaign in Tehran, Iran, Wednesday, March 11, 2026. (AP Photo/Vahid Salemi)
Smoke rises from a building following an Israeli airstrike in Dahiyeh, Beirut's southern suburb, Wednesday, March 11, 2026. (AP Photo/Hassan Ammar)
Mourners attend the funeral procession for senior Iranian military officials and some civilians killed during the U.S.-Israel campaign, in Tehran, Iran, Wednesday, March 11, 2026. (AP Photo/Vahid Salemi)
FILE - A plume of smoke rises after a strike in Tehran, Iran, Monday, March 2, 2026. (AP Photo/Mohsen Ganji, File)
Rescue workers gather at the site where Israeli airstrikes hit apartments in Beirut, Lebanon, Wednesday, March 11, 2026. (AP Photo/Hussein Malla)
People take shelter in an underground metro station as air raid sirens warn of incoming Iranian missile strike, in Ramat Gan, Israel, Tuesday, March 10, 2026. (AP Photo/Oded Balilty)
A man passes in front of a destroyed building that housed a branch of Al-Qard Al-Hassan, a non-bank financial institution run by Hezbollah, which was hit by an Israeli airstrike in Dahiyeh, Beirut's southern suburbs, Lebanon, Tuesday, March 10, 2026. (AP Photo/Hussein Malla)
People walk past closed shops at the nearly empty traditional main bazaar in Tehran, Iran, Tuesday, March 10, 2026. (AP Photo/Vahid Salemi)
Motorbikes drive past a billboard depicting Iran’s late Supreme Leader Ayatollah Ali Khamenei, center, handing the country’s flag to his son and successor Ayatollah Mojtaba Khamenei, right, as the late revolutionary founder Ayatollah Ruhollah Khomeini stands at left, in a square in downtown Tehran, Iran, Tuesday, March 10, 2026. (AP Photo/Vahid Salemi)
Smoke rises from an Israeli airstrike in Dahiyeh, Beirut's southern suburbs, Lebanon, Tuesday, March 10, 2026. (AP Photo/Bilal Hussein)