Well, that's about as valid as listening to sovereign citizens' interpretation of the US constitution. (At least from the Catholic point of view as far as I can tell.)
> Nowhere in the Bible for example it is written that one can pay off sins by giving money to some authority.
I'm no expert but doesn't James 2:26 says "Faith without works is dead."?
Surely giving some money (that you had to work hard for!) to the greatest charity in the world (the Catholic church) should count as a good work?
(But I'm just playing devil's advocate here. I don't know what their official reasoning is.)