Bankruptcy filing provides rare window into church finances

ALBUQUERQUE (NM)
Associated Press

December 5, 2018

New Mexico’s largest Catholic diocese has spent hundreds of thousands of dollars in recent months on lawyers to fight claims of clergy sex abuse and to prepare for a potentially lengthy battle in U.S. Bankruptcy Court.

The Archdiocese of Santa Fe’s petition for reorganization provides a rare look into the finances of a religious organization that for decades has been wrestling with the financial and social consequences of a scandal that rocked churches across the country.

Archbishop John Wester describes the filing as an equitable thing to do as church reserves dwindle. He says compensating the victims is a top priority.

National watchdog groups and attorneys for victims of clergy sex abuse said Tuesday the archdiocese’s actions suggest otherwise.

They point to the money spent by the archdiocese on lawyers over the last three months and the tens of millions of dollars in real estate that has been transferred to parishes in recent years, effectively reducing the amount of assets held by the archdiocese.

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