Duluth Catholic diocese latest to file for bankruptcy over sex abuse payouts

MINNESOTA
Washington Post

By David Gibson | Religion News Service December 7

The Roman Catholic Diocese of Duluth announced on Monday (Dec. 7) that it had filed for bankruptcy protection following a jury verdict last month that held the Minnesota diocese responsible for more than half of an $8.1 million judgment on behalf of a victim of sex abuse by a priest.

The Chapter 11 filing makes Duluth the 13th of nearly 200 U.S. Catholic dioceses to file for bankruptcy since 2004 because of the clergy sex abuse scandals. Regional organizations of two religious orders have also sought bankruptcy protection.

The Duluth award was one of the highest single monetary compensations for a survivor of clergy abuse, experts said. It was made possible thanks to a Minnesota law that lifted the statute of limitations on civil claims for sex abuse.

The plaintiff is a 52-year-old man who was a 15-year-old altar boy when the abuse happened in 1978.

The diocese has an annual operating budget of about $3 million and church officials said that even with insurance and savings it could not cover its $4.9 million share of the overall award.

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