America’s poorest diocese set to file for Chapter 11 bankruptcy amid sex abuse claims

NEW MEXICO
NBC News

[statement from the bishop via BishopAccountability.org]

By Mary Wisniewski, Reuters

The Roman Catholic Diocese of Gallup, New Mexico, plans to file for Chapter 11 bankruptcy this month to cope with mounting costs of litigation arising from claims of child sexual abuse by members of its clergy, the church confirmed on Tuesday.

The Gallup Diocese, which includes several Native American reservations, would become the ninth U.S. diocese or archdiocese to file for bankruptcy protection since 2004 in financial fallout from child molestation cases against the church.

Child sex abuse litigation has cost the U.S. Catholic Church some $3 billion in settlements in the two decades since the ongoing scandal erupted with a series of molestation cases uncovered in Boston in 1992.

In a letter read to parishioners over the weekend, Gallup Bishop James S. Wall denied that the diocese was filing for Chapter 11 “to avoid responsibility for what happened or to hide anything.”
“I firmly believe that the process of Chapter 11 is the best and only way that will allow us to work constructively with all those who suffered from sexual abuse,” wrote Wall, who became bishop in 2009. “Those who have been abused deserve the church’s respect, compassion and love.”

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