Thursday, December 06, 2018

Santa Fe Archdiocese Files Under Chapter 11

In a letter from Archbishop John Wester (full text) dated Nov. 29, the Catholic Archdiocese of Santa Fe (NM) announced that it is filing for Chapter 11 Reorganization order the federal Bankruptcy Code in order to deal with the growing number of clergy sexual abuse claims.  The letter says in part:
Given our desire to care for all victim survivors, and given the fact that we have settled over 300 claims, but that such claims continue to be filed, I see this as the wisest and most prudent course to take. It is very important that everyone understand that we have not taken this step to avoid responsibility. On the contrary, we firmly believe that Chapter 11 is the most merciful and equitable way for the Archdiocese to address its responsibility to the victim survivors, to continue to meet its commitment to prevent abuse, and to continue its mission to all those who depend on the outreach of the Church. 
The cost of settlement of the over 300 cases which included insurance funds totaled approximately $52 million dollars of which the Archdiocese paid a substantial amount. Currently we have approximately 40 pending cases, which we need to address in a caring and Christ-like manner.
AP has additional background.