Lawsuit filed to determine Catholic diocese's assets

By: SCOTT MARSHALL - Staff writer | Thursday, May 31, 2007 10:15 AM PDT

SAN DIEGO -- A lawsuit was filed Tuesday in federal bankruptcy court to determine whether the Catholic diocese in San Diego or individual parishes are the owners of certain property in a dispute in the church's bankruptcy case.

A committee of creditors who have a claim to money from the diocese, including victims of alleged childhood sexual abuse at the hands of priests, are asking for court orders declaring that the parishes are not separate from the diocese and that the diocese is the owner of the property at issue.

At a May 10 hearing, U.S. Bankruptcy Judge Louise DeCarl Adler instructed attorneys for the creditors committee to file the lawsuit so she can decide what assets belong to the diocese and what belongs to the parishes. The lawsuit involves four specific parishes, including St. Margaret's in Oceanside and St. Mark's in San Marcos.

The diocese filed for bankruptcy Feb. 27, bringing a halt to sexual abuse litigation on the eve of the first trial of an abuse case in San Diego.

The diocese has offered to pay $95 million to settle the more than 140 sexual abuse claims filed against it, but attorneys for alleged abuse victims have said a fair settlement would be closer to $200 million.

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5 comment(s)[-]Go to Top

MIKE IN LSM wrote on May 31, 2007 7:26 AM:So we get to a very interesting issue. Not just for possible payment to the abuse victims, but also for operation of the parishes.

Patriot wrote on May 31, 2007 10:54 AM:I don't think in the last analysis that the outcome will effect the operation of the parishes one way or another. I think that the parishes and those who are in charge of the day to day operation of the parishes are fully controlled by the diocese and therefore by the bishop. If a pastor or associate pastor fails to obey his commands, the bishop can simply relieve them of their position (even by transfer, if he wants to avoid the appearance of disciplinary action). For the diocese or the parish committees to deny that relationship exists is counterintuitive to even a modicum of transparency. Any arguments offered to the contrary are spurious, contrived, disingenuous...a pity.

Dan wrote on May 31, 2007 11:37 AM:Mike is absolutely right! The RC churches outrageous strategy to deny, delay and refuse to co-operate will now result in unforeseen and unintended consequences that will affect the church in ways they will deeply regret for the next millennium, not just for the San Diego Diocese but for the entire US church. Not very smart and certainly NOT pastoral.

American woman wrote on May 31, 2007 5:03 PM:The Catholic Church MUST PAY! This bigoted "religious" body of hypocrites has belittled God's word. They should be ashamed of themselves, but not so! They insinuate themselves into the illegal alien invasion here in America for one reason: MONEY! Well, of course they need funding! When you make a mockery of worship and disguise it as goodness and compassion, the devil will be a part of your every action! The priests and hierarchy know the illegal aliens will give 'til it hurts, so of course they want to protect them. It's disgusting.

Amy wrote on Jun 1, 2007 9:10 AM:Well, American woman it seems is full of hate and anger. The San Diego Catholic Diocese must be able to pay out to the victims, while still maintaining its current flow of work and service to its catholic parishoners. This is why we have a justice system, regardless of how slow and backwards it can be, decisions and results will follow the end of its accord. Patience seems the viable option, and understanding for both sides is an absolute must.

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