Posted on 07/06/2004 10:53:36 AM PDT by NYer
Edited on 07/06/2004 5:03:15 PM PDT by Admin Moderator. [history]
PORTLAND, Ore. (AP) The Portland Archdiocese said Tuesday that it will file for bankruptcy, becoming the first Roman Catholic diocese in the nation to seek bankruptcy court relief in the face of accusations of sexual abuse.
The Chapter 11 bankruptcy action, planned for Tuesday afternoon, puts an immediate halt to a priest abuse case scheduled to begin in Portland on Tuesday. It involves the Rev. Maurice Grammond, who was accused of molesting more than 50 boys in the 1980s.
(Excerpt) Read more at boston.com ...
And what will now be accomplished by this, other than to clean out every nickel, penny and dime donated by catholics over the years.
Here's the news release:
http://www.archdpdx.org/newsrel/letter.html
i wasn't aware of this.
And there is nothing here:
http://www.sentinel.org/
Office of the Archbishop
July 6, 2004
Dear brothers and sisters in Christ,
Today I am doing something I hoped I would never have to do. The Archdiocese of Portland in Oregon is filing for Chapter 11 reorganization in bankruptcy court. When I first mentioned this possibility, in February 2003, I promised that we would do our very best to avoid taking this step. We have worked hard to prevent it.
At this point, circumstances beyond my control have created great financial risk. If I am to be a prudent steward of our resources, I believe that the best choice is to seek protection in bankruptcy. This step should allow the Archdiocese and our parishes and schools to operate in normal fashion while difficult financial issues are resolved.
This is not an effort to avoid responsibility. It is, in fact, the only way I can assure that other claimants can be offered fair compensation. We have worked diligently to settle claims of clergy misconduct. In the last four years, we have settled more than 100 such claims. Last year alone the Archdiocese paid almost $21 million from its own funds. Major insurers have abandoned us and are not paying what they should on the claims.
Two cases are set for trials beginning today. One plaintiff seeks more than $130 million in compensatory and punitive damages, the other $25 million. We have made every effort to settle these claims fairly but the demand of each of these plaintiffs remains in the millions. I am committed to just compensation. These demands go beyond compensation. With 60 other claims pending, I cannot in justice and prudence pay the demands of these two plaintiffs.
There is always risk in going to trial. Attorneys for the plaintiffs claim that the assets of all the parishes and schools and of various trust funds holding charitable contributions are available to pay their clients. Under canon law, parish assets belong to the parish. I have no authority to seize parish property. I have assured you that this is something I would not do. Neither can I, nor would I, use other assets held in charitable trust.
Seeking the protection of bankruptcy is a just and prudent course of action. This action offers the best possibility for the Archdiocese: to resolve fairly all pending claims, to manage a difficult financial situation and to preserve the ability of the Archdiocese to fulfill its mission. It will also allow us to continue our good works without fear of an impending large verdict. The operation of our parishes and schools will continue as usual. We encourage you to continue your contributions as in the past.
Before I made this decision, I sought the advice of the Archdiocesan Finance Council (mostly lay financial advisors), the College of Consultors (who represent the clergy of the Archdiocese), my attorneys and various others. I listened carefully to what they said and concluded that the step I am taking will best ensure the financial stability necessary for the continuation of the good work of the Church in Western Oregon.
Once more, I express my profound apologies to those who have been harmed by abuse and I renew my commitment to help you to heal. This decision will help me to do that.
Sincerely yours in Christ,
Most Reverend John G. Vlazny
Archbishop of Portland
I thought Boston Archdiocese did this too. Am I mistaken here?
This may answer your question from the other thread.
The Boston Archdiocese settled their claims. To cover expenses, the diocese sold off some property. They did not declare bankruptcy. I believe this is the first time a diocese has been pushed into such a decision.
The good news is that they can sell off Churches more easily than in the past since most of them have been wreckovated and will be more appealing to other faith communities.
We shouldn't be surprised. God always hobbles or destroys whatever it is that fosters rampant homosexuality.
Thanks...it does, yet it doesn't..you never know what the trial lawyers will attempt.. what's YOUR take?
Well ... you mentined "deep pockets". Recently, we had the reverse situatin here in the Albany Diocese. The bishop was alleged to have been personally involved in a scandal. He spared NO expense to clear his name. He retained the services of Mary Jo White, US Attorney for the Southern District of Manhattan. Invariably described as "smart" and "tough," White is regarded as a relentless prosecutor — someone, in other words, criminals don't relish running into. During her eight years heading the U.S. attorney's office for Manhattan, the Bronx and six counties north of the city, White has faced off against everyone from international terrorists to Mafia hit men. Most have suffered under White's prosecutorial zest, including Marc Rich and his partner Pincus Green, who were initially prosecuted by then–U.S. attorney Rudy Giuliani but were pursued vigorously during White's tenure as well.
She charged the bishop $770/hour for her own personal time, plus additional fees for other staff members, transportation, etc. In the end, they both got what they wanted. His name was "cleared" and she got a new wardrobe.
Frankly, I am no fan of lawyers.
The Catholics will be smart enough to hold back their donations...
"Fool me once, shame on you; fool me twice..."
They sold property (including the Cardinal's residence, I believe), and just recently announced the closing of seventy Churches (which were probably requiring some kind of subsidy that could no longer be sustained).
I don't see his pectoral cross; the ring looks pretty sharp, though.
He should sell these worldly possessions in an attempt to make the victims whole, rather than seek legal protection from the judgements...
I heard that later today. "First" time for a diocese/archdiocese to do this.
I wonder how many others will follow suit.
As I understand the situation, all parish holdings are in a charitable trust and cannot be touched.
Actually not too much wreckovation going on out here. I know our parish was talking about building a new church and the design was totally traditional with stained glass windows, etc.
All donations do not go to the Archdiocese.
Catholics can also choose to donate directly to other ministries such as St. Vincent dePaul Societ, the Knights of Columbus, Marriage Encounter and Beginning Experience to name a few.
In the event you missed the Knights of Columbus in Boston, they "loaned" the Archdiocese millions of dollars that the Archdiocese would have a difficult (if not impossible) time paying back.
That happened over a year ago; I haven't dropped a penny in one of their buckets ever since.
While I disagree with many positions taken by Voice of the Faithful, I wholeheartedly support the idea of the donors maintaining control over the funds collected. I don't think they should control the actions of their ordinary with this money, but the MILLIONS that have been paid out IN SECRET would never have been p!ssed away like that...
I'm disappointed that some of the hierarchy involved in the scandal have not been imprisoned; some of them definitely deserve it. Let them go out and work their @sses off to raise the money to pay these suits, rather than squeezing the faithful for more money. After all, it was the children of those "faithful" that were victimized by the criminals; to ask the same group to cough up the money for it is rather absurd.
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