NORWICH (UNITED KINGDOM)
Norwich Bulletin [Norwich CT]
September 7, 2024
By Matt Grahn
After declaring bankruptcy three years ago due to abuse lawsuits, The Roman Catholic Diocese of Norwich has announced a plan for moving forward.
The diocese announced that it’s filing a joint Chapter 11 Reorganization Plan, in agreement with The Association of Parishes of The Roman Catholic Diocese of Norwich and the Catholic Mutual Relief Society of America. The plan includes a $30 million trust for survivors of clerical abuse, while letting the diocese recover from bankruptcy, a Friday press release stated.
The Official Committee of Unsecured Creditors, representing survivors and other creditors, had reached an agreement with the Diocese of Norwich on a reorganization plan over a year ago, but the Committee abandoned and withdrew from that plan in June, and then filed its own plan, which the Diocese claims will “result in years of litigation, substantial legal fees, and uncertainty as to any recovery for the survivors,” the press release stated.
The judge presiding over the bankruptcy granted the Diocese permission to make its own plan in August. The Diocese has not had “constructive discussions” with the Committee, but remains optimistic that a consensual plan can be made, the press release stated.
Why was there a bankruptcy?
The Diocese declared bankruptcy in July 2021 due to dozens of lawsuits alleging sexual abuse at The Academy at Mount Saint John in Deep River during the 1990s.
Though others were named, most of the allegations pertain to the actions of Brother Paul McGlade and music teacher Brother Pascal Alford, both deceased. The suits claim individuals were between 10-15 years old when victimized between 1986 and 2000.
Sixty former academy residents filed suit, with damages in excess of what the Diocese could pay.
St. Bernard’s was saved
As a part of the bankruptcy proceedings, the land where St. Bernard School stands was sold to The Mohegan Tribe for $6.55 million in 2023. The Diocese obtained a 20-year lease with the sale. The Mohegan Tribe has alumni among its members, and it wants to maintain a good relationship with the community.
“We didn’t want (incoming freshmen) to have to wonder if in two years they’d have to switch schools,” Chairman James Gessner, Jr. said in 2023.
While others bid for the land, it’s important that the Mohegans secured the property, Head of School Donald Macrino said in 2023. “If the Mohegans procured the land, it would go back to its rightful owner, and they revealed at that point they were going to support the school, so it was really a win-win for all of us.”