Bankruptcy for Twin Cites Archdiocese Considered

By Jay Olstad
KARE
April 2, 2014

http://www.kare11.com/story/news/local/2014/04/02/archdiocese-catholic-bankruptcy-twin-cities/7234809/

[with video]

ST. PAUL, Minn. – As Twin Cities Archbishop John Nienstedt finished a day of answering questions under oath about priest abuse Wednesday, the speculation over whether the archdiocese he leads will file for bankruptcy continued.

"I expect them to file bankruptcy," said Barbara May, a Twin Cities bankruptcy attorney.

May is surprised the church has not filed already and expects officials will soon.

According to BishopAccountability.org, there have been 11 U.S. Catholic dioceses to file bankruptcy in the last 10 years.

"Every time they file for bankruptcy they save a fortune," she said of dioceses. "It's good business for them."

The closest to Minnesota to file was the Archdiocese of Milwaukee in 2011, who reportedly offered around $6,000 dollars per victim two months ago. That's a fraction of what church officials likely would have had to pay outside of bankruptcy court.