Creditors in Delaware diocese bankruptcy meet

by Tom Gallagher

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Today officials of the Catholic Diocese of Wilmington are answering questions from an attorney representing the U.S. trustee's office regarding the diocese's Chapter 11 bankruptcy filing.

The diocese's unsecured creditors, mostly alleged victims of priest sexual abuse, were to have their own chance to question diocese representatives later Tuesday.

Msgr. Thomas Cini, vicar general for the Wilmington diocese, explained how the diocese operates and said the bankruptcy filing was the best course for the diocese in the face of more than 130 lawsuits alleging childhood sexual abuse by Catholic clergy.

It's worth remembering the valiant effort by San Diego Judge Judge Louise DeCarl Adler who oversaw the San Diego diocese's bankruptcy.

"After four years of failed settlement talks, Bishop Robert Brom said seeking bankruptcy protection was 'the best way available for us to compensate all the victims as fairly and equitably as our resources will allow.'”

Judge Adler did not shrink from the hi-jinks presented by the San Diego diocese and its lawyers.

Said Judge Adler about the diocese's accounting system: “the most Byzantine accounting system I've ever seen.” She ordered a forensic expert to analyze the diocese's accounting system.

San Diego diocese settled its sexual abuse suits for $198 million.

Let's hope the bankruptcy court in the Wilmington diocese case acts with similar clarity of mind and purpose.

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