MINNESOTA
Reuters
BY DAVID BAILEY
A Catholic diocese in northeastern Minnesota filed for bankruptcy protection on Monday following a jury’s decision in November that found it 60 percent responsible for a judgment involving a clergy sex abuse victim, the organization said.
A jury awarded the man more than $8 million, and reorganizing under Chapter 11 bankruptcy protection became a necessity after failed efforts to reach a resolution to assist all abuse victims, the diocese said in a statement.
“Given the magnitude of the verdict, the diocese was left with no choice but to file for reorganization,” said diocese Vicar General James Bissonette.
The award stemmed from a case brought by a man who said he was abused in 1978 by a priest at a church in the diocese.
The diocese’s last fiscal year operating budget was less than $3.3 million. That was insufficient even if insurance and savings were used to cover the judgment, and would leave no resources for other victims who have brought claims, the diocese said.
Note: This is an Abuse Tracker excerpt. Click the title to view the full text of the original article. If the original article is no longer available, see our News Archive.