“Overwhelming” vote pushes Archdiocese of N.O. bankruptcy closer to resolution

NEW ORLEANS (LA)
Fox 8 [New Orleans, LA]

October 30, 2025

By Thanh Truong

NEW ORLEANS (WVUE) – For the bankruptcy case of the Archdiocese of New Orleans to move ahead, it needed a “yes” vote from two-thirds of the people who sued the archdiocese for alleged clergy sex abuse. Court documents filed Thursday revealed the $230 million proposed settlement got more than 99 percent approval. But not every survivor is on board with it.

The results came one day after a crucial voting period in the archdiocese bankruptcy case ended. The $230 million deal to settle hundreds of clergy sex abuse claims was approved by virtually every person who filed those lawsuits. Johnny Krummel says he reluctantly voted yes.

“I voted yes for the other victims in this ordeal,” Johnny Krummel said.

Krummel says he was a little boy in the early 1980s when he was abused at the Madonna Manor orphanage in Marrero. He says the lawsuit he filed against the archdiocese eight years ago was aimed at accountability, not money. Krummel says that holds true for his recent vote.

“You know, it’s not just about the money. I just feel the way they treated us in the almost eight years, they don’t really care about us. They didn’t really care about us when we were kids here (Madonna Manor), they still don’t care about us,” said Krummel.

“The question I think should be asked of everyone at this point is why didn’t we do this four years ago?” Richard Trahant said.

Richard Trahant represents 82 survivors of alleged clergy sex abuse in the bankruptcy proceeding. He says the five-year process leading up to the vote has been full of pain and frustration for his clients.

“It’s a continuous trigger for the survivors, every twist and turn. And again, this did not have to take six years. By the time it’s all said and done and payments are made and approved, it likely will be over six years,” Trahant said.

There was a time when the case seemed to be in jeopardy. Roughly $50 million in attorney fees had been spent, but all parties could not agree on a settlement. Earlier this year, the federal judge overseeing the bankruptcy threatened to throw out the case if a deal could not be reached. When a $180 million deal was proposed, a significant number of survivors said they could not approve it. Trahant says he and other attorneys for survivors held that line until the deal reached $230 million. Yet, he emphasized this is not a moment for celebration.

“There is no joining of the hands. There is no kumbaya moment. It’s the best that we thought we could do for our clients,” said Trahant.

While the bankruptcy can now move ahead, Johnny Krummel says he plans to opt out of the settlement and won’t take a single dollar from it. Krummel wants to preserve his option to sue the archdiocese on his own again.

“I want my day in court. I want to be able to tell what happened to me,” Krummel said.

The Archdiocese of New Orleans issued a statement Thursday afternoon, saying in part, “We are grateful to the survivors who have voted in favor of moving forward with this plan and continue to pray that both the monetary settlement and the nonmonetary provisions provide each of them some path toward their healing and reconciliation. We remain hopeful and committed to moving forward through the court processes as we look ahead to the confirmation hearing set to begin on Nov. 17.”

By Thanh Truong

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https://www.fox8live.com/2025/10/30/overwhelming-vote-pushes-archdiocese-no-bankruptcy-closer-resolution/