Iowa diocese goes bankrupt
Diocese in Iowa files for bankruptcy
By TODD DVORAK, Associated Press Writer 1 hour, 5 minutes ago
IOWA CITY, Iowa - The Roman Catholic Diocese of Davenport filed for Chapter 11 bankruptcy Tuesday, the fourth diocese in the nation to seek financial protection to deal with priest sex abuse cases.
Bishop William Franklin said the diocese was left with no other alternative to settle more than two dozen claims against priests accused of sexual abuse of children. He said the move would ensure the financial health of the church.
"While providing just and fair compensation to victims/survivors, we also believe that the decision to reorganize is the best way in which we will be able to continue the Church's mission," Franklin wrote in a letter to members posted on the diocese Web site.
The Davenport diocese joins Portland, Ore., Spokane, Wash., and Tucson, Ariz. Like those diocese and others nationwide, Davenport has been hit hard by allegations that its leaders either knew or should have known about its priests' misconduct with young boys and girls, yet failed to discipline them.
Since 2004, the diocese has paid more than $10.5 million to resolve dozens of claims filed against priests, including a $9 million settlement reached with 37 victims in fall 2004. Since then, the diocese or former priests under its supervision have been held liable by juries in civil trials.
But the decision to file for bankruptcy now is being driven by a new set of claims aimed at the diocese and retired Bishop Lawrence Soens, church officials and others say.
Dear Speaker Hastert,
If you think this pedophile problem will go away, read the above story.
posted by Steve @ 12:10:00 AM