Diocese: Bankruptcy won’t affect local parishes

MINNESOTA
Mesabi Daily News

Posted: Wednesday, December 9, 2015
Jerry Burnes Managing Editor

VIRGINIA — A bankruptcy protection filing by the Diocese of Duluth isn’t expected to affect day-to-day operations at the local level.

Rev. James Bissonette, vicar general of the diocese, said his knowledge of the process is that the diocese’s assets go under review and not its services.

“My understanding is that the day-to-day operations of the parishes and schools will remain the same,” he said.

The diocese filed for Chapter 11 bankruptcy Monday, a month after a victim of priest sex abuse was awarded $8 million in damages. The diocese was found responsible for $4.8 million. On its website, the diocese says the award is greater than its annual budget of $3.2 million.

“If you put together the diocese’s limited assets and its insurance coverage, it doesn’t add up to anywhere near $4.8 million,” said Susan Gaertner, an attorney representing the diocese.

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