Thursday, November 17, 2016

Developments In Two Diocese Bankruptcies

There have been developments this week in bankruptcy proceedings of two different Catholic dioceses.  RNS reports that the Archdiocese of St. Paul and Minneapolis has filed a revised plan under Chapter 11 offering to pay $132 million to settle nearly 450 child sex abuse claims asserted against its clergy.  Lawyers for the claimants, however, say that the offer is far too small.

Meanwhile in New Mexico, the Diocese of Gallup has been prevented from finalizing its exit from bankruptcy because of a new suit filed against it by Sisters of the Blessed Sacrament, a religious order that founded St. Michael Indian School in Arizona.  According to Tuesday's Alamogordo Daily News, a new suit against the Sisters of Blessed Sacrament claims a woman was sexually abused at the school by a Franciscan friar. The Sisters have in turn filed suit against the Diocese of Gallup.